As expected, the market opened with a gap down albeit only to kiss 22000 (Futures) for a couple of seconds right after open. The index managed to break yesterday's high but failed to close above 22250 for the second consecutive day. The market is turning a blind eye, as most global indices, to the plethora of negative news around, and, am afraid, might just keep going up while people keep building shorts anticipating a correction, just like it has trolled us many times in the past. However, a breach of the lower end of the trend channel will confirm the oncoming correction.
On the upside, if the market opens with a gap-up and sustains above 22400 for a while, it will try and test 22500-22600-22750. Counter-scenario would include a sell-off till 22250 (which will prove to be a pivot point for tomorrow).
On the downside, if the market opens with a gap-down, it will try and test 22120. A breach of that will take the index down to 22050-22000-21850. If the sell-off gathers momentum, it might even test 21500. In case the index manages to defend 22000, it will try and get back to the pivot level of 22250, a breach of which will then take it up to the above mentioned levels on the upside.
Expecting the expiry to be in the range of 22000-23000.
On the upside, if the market opens with a gap-up and sustains above 22400 for a while, it will try and test 22500-22600-22750. Counter-scenario would include a sell-off till 22250 (which will prove to be a pivot point for tomorrow).
On the downside, if the market opens with a gap-down, it will try and test 22120. A breach of that will take the index down to 22050-22000-21850. If the sell-off gathers momentum, it might even test 21500. In case the index manages to defend 22000, it will try and get back to the pivot level of 22250, a breach of which will then take it up to the above mentioned levels on the upside.
Expecting the expiry to be in the range of 22000-23000.