As expected in yesterday's update of nifty- 8727 is a key level till this level is intact, we are having a triangle at hand- vow once market opened nifty went close to 8727 & made session high@8723 -giving us d-leg of the triangle- amazing
. These are amazing risk reward opportunities with a risk of 4-5 points -Nifty slipped sharply to 8685-8690 making session low@8684.
Scenario-1 - Going Short once 8690 is broken for short targets 8660-8670 (20-25 points)
Scenario-2 - Taking Long positions in the zone 8650-8665 with strict stops below 8635
Scenario-3 - Going Long above 8730 for target zone 8775-8785 with stops slightly below day's low.
Possible Running Triangle in B-wave
Poked above 8730. Likely it should head up for target zone 8780 & above that a bonus of 20 points till 8800-8805 - Downside our strict stoploss is day's low-8683 for current up move.
Nifty is struggling to hold 8730 -8735 zone -problem zone. Likely let us exit & re-enter again after looking at the trend because it is fishy at the moment
Ok with Strict Stop loss below 8690- One can hold buy positions but likely this up move should start fast-it cannot spend or take so much time to move up. The reason for doubt since it is spending so much time in the zone 8730-8735
Thats why it was bothering me -Nifty struggling between 8730-8735 & Bank Nifty not going above 19900 was another clue.
Shifting our stops slightly below 8680 - we are still bullish & going above 8733-8735 -it will head upside.
Avoid taking any shorts
Bad Luck NSE closed
Abhishek H. Singh, CMT
India Regional Manager
India Markets-BSE, NSE chat room- https://in.tradingview.com/chat/#b4sFOMIVqPkq8gfQ