Nifty’s outlook for November 11, 2022: Go long at current levels and 18,330

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The equity bulls are raging as the markets across Asia have made substantial gains. This was followed by a strong close in the US markets last night.
Global market influence
The US indices like S&P 500 (3,956) and Dow Jones (33,715) had posted a gain of 5.5 and 3.7 per cent. Following this, the equity indices in Asia rallied. Among the majors, Nikkei 225 (28,289), ASX 200 (7,158), Hang Seng (17,276) and KOSPI (2,484) have advanced between 2.8 and 7.5 per cent. Hang Seng is the top gainer, up by 7.5 per cent.
The Indian market, too, appears to have been heavily influenced by the strong performance elsewhere. Both Nifty 50 (18,310) and Sensex (61,600) witnessed considerable gap-up open. They’re now up by about 1.6 per cent each. Considering how other Asian indices have been performing, we will most likely to see a sharp rally today from the current levels, as bulls are not yet done for the day.
Nifty 50 futures
The November futures of the Nifty 50 index opened significantly higher at 18,332 versus yesterday’s close of 18,092. It has gone further up to the current level of 18,380. But taking a look at the intraday price action so far today, after the initial spurt immediately after the session opened, the contract has largely been charting a sideways movement.
However, that is no sign of weakness where the Nifty futures appear strong enough to rise more. Given the momentum, we’ll likely to see the contract touching 18,500 today. On the downside, the price region of 18,320-18,350 will strongly support it.
Trading strategy
Traders can go long on Nifty futures at the current level of 18,380. Add more longs if the price declines to 18,330. Place initial stop-loss at 18,280.
When the contract rallies past 18,425, move the stop-loss up to 18,340. Book profits at 18,500.
Supports: 18,350 and 18,320
Resistance: 18,400 and 18,500