Ashish Chaturmuhta, VP of Derivates and Technicals at IIFL Private Wealth Management, believes that the Nifty can drag down towards 4,700-4,800 levels, once it breaks below 5,000 levels, which has a lot of put writing.
Chaturmuhta told CNBC-TV18 that the market could witness strong resistance around 5,200-5,250 levels with some recovery coming in.
"If the Nifty crosses 5,200 levels on closing basis, then a lot of call writers will be ready to exit the short positions. Otherwise, we will face a strong resistance at 5,300-5,250 levels in every rally," he explained. Here is the edited transcript of Barratt
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