Nifty(4706.45): The move from 5325 has been one of the strongest ‘extended’ waves I’ve have seen in recent times. When a market extends so strongly, relief rally that follows such extensions tend to be quite weak. So given this technical backdrop, the odds of this market exceeding 5000 now looks quite low. The ideal level for the relief rally to stop would be 4985, assuming the low markets made yesterday holds.

Supports remain the same: 4650 and 4530

Resistance are projected at 4790 and 4835

Open position(s):

Silver: Short with revised stop of $33.5 from $34.2

Positions closed yesterday:

Nifty November Long Guts(4900 put and 4800 call): Opening spread 184; Closing spread 250