NateshBhat

Bulls scenario number 2

NSE:NIFTY   Nifty 50 Index
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When i thought being a bear today was an original idea, social media hype on bear i realised is all time high so i thought how could bull screw the bears.


Oi data suggests range for this expiry might be within 16700-16200.

When scenario number 1 for bulls said buy the dip It might so happen before a mean reversion to the 16400 area in a bullish case bulls might be trapped this week with a lure of i wont give a dip buy the rise and then say screw you may be πŸ˜…, at the end as usual straddle sells of the week winning huge πŸ˜…
Comment: With 3 high probability scenarios 1 for the bear 2 for the bulls in mind, how does one chalk out a trading plan i see 3 juicy potential trades

1.Trade 1:Buy on Rise above 16625 and keep trailing after 16700 which is the target every 100points or a drop of 25points from highs even if it meant taking a loss to get in on a hyper bullish scenario.

2. Trade 2: Sell if 16550-600 is a hurdle with stops at 16625 ( above which our bull plan comes in) for a very optimistic bear target of 16200 however trail after a gap close every round number gets passed upstairs, for eg 16600-16450-16510-1trade exit enter again if cuts 16500 on say 10mins/3mins. This is required and will give us chops which cant be avoided. But bears get killed if they dont keep taking profits on the table and thats a fact. One can always reenter.

3. Trade 3: This is when 16700 is broken or 16700-750 acts as resistance for the week for a sell on decisive resistance at highs for a strict target of 16450-500.

One or more of the above trade might come this week and we take if it goes as per plan. If it doesnt go as per plan we dont trade what we dont understand and wait for the next ideas to come.

Comments

Every trade to be taken with 25point stop with a minimum target of 75 after which a trail of 25points or round number. This is the most important part and is my regular trading plan. Give every trade a breathing space at the stops or trails for a candle close at whichever time frame one follows before exit.
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NateshBhat NateshBhat
@NateshBhat, as per our plan short at 16550 and took gains when gap acted resistance at 16500 twice and second trade will only follow below 16500,
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NateshBhat NateshBhat
@NateshBhat, very quick 70points there will ut sustain
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NateshBhat NateshBhat
@NateshBhat, trailed
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NateshBhat NateshBhat
@NateshBhat, next trade is below 16400
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NateshBhat NateshBhat
@NateshBhat, now it seems like the first bull scenario is happening. Classic dip buying. But will it turn into a trend or will it be a consolidation is the question we will see the same after the close. Im not buying the dip and stick with plan only always.
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