Short Market Report
The rally has been continuing but Nifty has put up some interesting numbers which suggests that resistance is there at 18100, 18200 & 18300 with equal strength. Support is similarly strong between 17900-18100.
So, expiry looks to be range bound in next two days. This will hold true if some big fish decides to do otherwise.
Bank nifty is far more interesting. A spinning top has been formed with a long wick which is suggestive of buying pressure. Also, the call writer at 38500 is not as strong as the put writer sitting at 38000. I give you a level of 38550. if this level is broken decisively, a 300 point rally will come due to short covering.
Nifty
Conviction Bullish
Bias Neutral
Bank Nifty
Conviction Bullish
Bias Bullish
Two Negative points
1) There is some divergence in price and RSI on hourly charts which will be of significance in case of a break down of structure on the downside which would need further confirmation based on price action at that time
2) Price has travelled too far from the 21 EMA
The rally has been continuing but Nifty has put up some interesting numbers which suggests that resistance is there at 18100, 18200 & 18300 with equal strength. Support is similarly strong between 17900-18100.
So, expiry looks to be range bound in next two days. This will hold true if some big fish decides to do otherwise.
Bank nifty is far more interesting. A spinning top has been formed with a long wick which is suggestive of buying pressure. Also, the call writer at 38500 is not as strong as the put writer sitting at 38000. I give you a level of 38550. if this level is broken decisively, a 300 point rally will come due to short covering.
Nifty
Conviction Bullish
Bias Neutral
Bank Nifty
Conviction Bullish
Bias Bullish
Two Negative points
1) There is some divergence in price and RSI on hourly charts which will be of significance in case of a break down of structure on the downside which would need further confirmation based on price action at that time
2) Price has travelled too far from the 21 EMA