NIFTY for 13th December

In first 10 minutes Nifty made a low and in first 35 minutes, Nifty made a high. Then for next 4 ½ hours it did NOT break those high and low levels. That told us 2 things – 1. If nifty was expected to go down after yesterday’s sharp upmove during last few minutes, it was not going to be, and 2. Since it was expiry day, second half move will definitely take place, meaning either a breakdown or breakout. So what shall it be? If you see Nifty chart on 5 min time frame, you would see subsequent higher lows made consistently, which means chances of breakout were more and then a long trade could have been taken for the remaining day.
Coming to after-market hours, IIP figures released paint sorry picture. A contraction of 3.8% in IIP for October (read -3.8%), CPI at 5.5 % (increase in inflation) and 18 out of 23 industry classified groups showing negative growth as compared to same period last year. Electricity output showing degrowth of 12.2%, consumer durables showing degrowth of -18% and non-durables showing degrowth of -1.1% - all show the extent of economic damage. Please check my video posted on youtube under channel name Market Movers India for slightly more content. I think these NSO figures will cast its shadow tomorrow on markets.
FIIs were net sellers by 684 Crs and DIIs were net buyers by 810 Crs today as per provisional figures. Option chain data show a clear cut bracket of 11900 to 12000. There is good PUT total OI and Put writing at 11900 so that will act as support and decent total OI and fresh Call writing at 12000 strike on CALL side makes it as a believable resistance.
On daily chart Nifty made a base like green candle with longer upper wick showing that some selling pressure did come from top when Nifty touched 12000. Unfortunately, there are no clear cut immediate levels other than those drawn on 15 min chart so we will have to take trade as per movement on chart tomorrow.
All the best. Happy trading.