Nifty held 6150 zone and as i mentioned in the previous post apart from 6200 put we could not see any build up any strike on the put side. We could see India VIX settling close to 16 zone which was good sign for bullish sentiments in the market and the longs should be cautious once it comes below 15 where the IV's of options become very low and buying options would be benefiting more than selling options. Nifty demands much more time to take out the previous highs and we need to give it some time for buyers to accumulate stocks than jumping in for new highs.ICICI bank and Bank of Baroda can be top picks for this bounce back and see this as a bounce back rather than a major move. As mentioned 20-24 Dec can be crucial date for a major base and the rally might happen in Jan and don't expect it to happen immediately. ITC is another decent pick from the defensive pack. It has corrected well and i would expect the stock to rally to 330-335 levels with a stop below 309. We could see some build up happening in 5900,6000 puts of Jan and 6600 call in the whole month of Dec and the range can be a little more wider and it is good to see that market is not breaking below 6150. It can be a major support zone in the coming days too that can give a trend deciding move in the medium term.As per options data there can be some stiff resistance points close to 6350-6370 zone and it can be assumed that the long positions build up has happened in Jan futures and 6150 can be the stop for all long positions.
