Closing Range - 19616/19845
Extended range - 19533/19928
Low volumes, Bearish Harami candlestick pattern and unwinding of 1.4 Cr puts, all indicuate that Nifty will go lower from present levels. The only saving grace is a 4% jump in Indiavix indicating a restricted down side, which is expcted will about 19700. That said, nifty has formed a small uptrending channel and risk reward seems in favour of bulls. HFDC bank results are also good, if it provides leadership to Bank Nifty, Nifty cn can also move upwards. Oveall, it appears to be an uptrending or a sideways market.
Possible trade: Observe price action on HDFC Bank tomorow and accordingly take trade in Nifty keeping the 2 day ranges in mind mentioned above.
P.S. - 0.5%-1% return on capital can be considered good in intraday.
Extended range - 19533/19928
Low volumes, Bearish Harami candlestick pattern and unwinding of 1.4 Cr puts, all indicuate that Nifty will go lower from present levels. The only saving grace is a 4% jump in Indiavix indicating a restricted down side, which is expcted will about 19700. That said, nifty has formed a small uptrending channel and risk reward seems in favour of bulls. HFDC bank results are also good, if it provides leadership to Bank Nifty, Nifty cn can also move upwards. Oveall, it appears to be an uptrending or a sideways market.
Possible trade: Observe price action on HDFC Bank tomorow and accordingly take trade in Nifty keeping the 2 day ranges in mind mentioned above.
P.S. - 0.5%-1% return on capital can be considered good in intraday.
Comment:
HDFC Bank hasn't gven a move today. Markets opened at the upper edge of our range 1 and is likely to be sideways unless move comes in bank nifty in the 2nd half.
Comment:
A golden day to create short strangle if the market doesn't move much on the penultimate day to Nifty expiry!