By Chandan Taparia The Nifty50 index opened flat on Thursday to gradually extend its gains towards the 10,800 mark. Recently, it took support at the previous swing low of 10,585. The index has been forming higher highs and lows for last two sessions and formed a bullish candle on the daily scale on Thursday. Now, it has to hold above the 10,750 mark to extend its gains towards 10,820 and then 10,888 levels, while on the downside support exits at 10,680 level.On the options front, maximum Put open interest was at 10,700 followed by 10,400 levels, while maximum Call OI was at 11,000 followed by 10,900 levels. There was Put writing at 10,700 followed by 10,800 levels, while Call writing was seen at 10,900 followed by 10,950 levels. The option band signified a trading range between 10,650 and 10,929 levels.India VIX fell 6.78 per cent to 15.89 level. VIX now needs to hold below 16.50-16 zone to get short-term stability in the market. Bank Nifty has been forming higher lows for last three sessions and managed to hold above 27,000 on Thursday. It formed a Bullish Candle on the daily scale, which suggests dips are being bought into. Now it has to sustain above 27,000 to extend its gains towards 27,350 and then 27,500 levels, while on the downside, supports are seen at 26,850 and then 26,666 levels.Nifty futures closed positive at 10,807 with a gain of 0.51 per cent. Long buildup was seen in Apollo Hosp, CanFin Homes, Repco Home and Tech Mahindra while shorts were seen in YES Bank, Torrent Power, Concor and Godrej Industries.(Chandan Taparia is Technical & Derivative Analyst at MOFSL. Investors are advised to consult financial advisers before taking an investment calls based on these observations)