Trade Setup for Tuesday: Top 15 things to know before Opening Bell

Jayant Manglik of Religare Broking said Nifty has crucial support at 11,600 and its breakdown could trigger further fall.

The market ended a rangebound session in the negative on June 24 with the Nifty 50 closing a tad below 11,700 levels. However, the index managed to hold the lows made multiple times near 11,630-11,640 levels.

The broader markets also participated in the fall with the Nifty Midcap and Smallcap indices declining 0.3-0.4 percent. About three shares declined for every two shares rising on the NSE.

The BSE Sensex slipped 71.53 points to 39,122.96, continuing the fall for a second consecutive session while the Nifty 50 dropped 24.40 points to 11,699.70 forming a bearish candle which resembles a Spinning Top kind of pattern on daily charts.

For the last few sessions, the Nifty has been trading in a range of 11,625 on the downside & 11,850 on the upside, but the overall structure remains bearish, experts said.

The larger picture shows that the index has been sliding down within a downward sloping channel. The recent bounce faced resistance near the upper channel line & the index is currently moving towards the lower end of the channel. The momentum indicators on various time frames are in agreement with the bearish price structure. Thus the Nifty is likely to maintain the downward trajectory going ahead," Gaurav Ratnaparkhi, Senior Technical Analyst, Sharekhan by BNP Paribas told Moneycontrol.

On the downside, 11,625-11,591 is the key support zone to watch out for; once that breaks, the Nifty can tumble towards 11,250-11,200, he said.

Jayant Manglik, President - Retail Distribution, Religare Broking said Nifty has crucial support at 11,600 and its breakdown could trigger further fall. "We advise keeping positions on both sides in such scenario and waiting for a decisive break for the next directional move."

All sectoral indices except FMCG closed in the red with Nifty Metal and Realty falling a percent each.

We have collated 15 data points to help you spot profitable trades:

The key support and resistance level for Nifty

Nifty closed at 11,699.65 on June 24. According to the Pivot charts, the key support level is placed at 11,661.93, followed by 11,624.17. If the index starts moving upward, key resistance levels to watch out are 11,745.73 and 11,791.77.

Nifty Bank

The Nifty Bank closed at 30,602.05, down 26.30 points on June 24. The important Pivot level, which will act as crucial support for the index, is placed at 30,492.16, followed by 30,382.23. On the upside, key resistance levels are placed at 30,747.86, followed by 30,893.63.

Call options data

Maximum Call open interest (OI) of 42.76 lakh contracts was seen at the 12,000 strike price. This will act as a crucial resistance level for the June series.

This is followed by 11,800 strike price, which now holds 34.73 lakh contracts in open interest, and 11,900, which has accumulated 29.70 lakh contracts in open interest.

Significant Call writing was seen at 11,700 strike price that added 4.28 lakh contracts, followed by 11,800 strike price that added 3.9 lakh contracts and 11,900 strike price, which added 1.84 lakh contracts.

Call unwinding was seen at the strike price of 12,100, which shed 2.95 lakh contracts, followed by 12,200 strikes that shed 1.05 lakh contracts and 12,300 strikes which shed 1.04 lakh contracts.

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