NIFTY Triangle Consolidation I Is Nifty Going to burn?

Feb 24

Pro Tip
A decent red candle close below the current 15m chart consolidation
Stoploss at Entry Candle high
Wait For close Below the Entry Line (22,511.80)
Use Swing High or 10-EMA to trail Profits
Use the Entry Line to navigate Entry

Pro Tip - Option Traders
Use At the money Option strike price
Can use Straddle Strategy where we can use ATM Strike price of
22,500 or 22,600 CE & PE BUY

Target 1 - 22,436 Target 2 - 22,450

Technical View
A textbook breakdown of a head and shoulder And a retest pattern.
A Triangle Breakdown
An Inverted Penant on 1H Chart

Fundamental View

Market outlook
The U.S. stock market experienced a significant downturn on Friday, February 21, 2025, primarily due to several economic and policy-related concerns:

Economic Growth Worries: New data indicated slowing business activity and weakening consumer sentiment in the U.S., raising concerns about economic growth

Inflation Concerns: Persistent inflation and a high five-year inflation forecast contributed to investor anxiety.

Trump's Policies: Worries about President Donald Trump's policies, including potential tariffs, further unsettled investors.

Disappointing Earnings: Walmart's weaker-than-expected earnings guidance added to fears of slowing consumer demand.

On Friday, the S&P 500 fell by 1.7%, the Dow Jones Industrial Average dropped by 1.7%, and the Nasdaq Composite declined by 2.2%

Impact on Indian Markets

The U.S. stock market crash can affect Indian markets in several ways:

Global Economic Sentiment: A downturn in U.S. markets can lead to a decrease in global investor confidence, potentially impacting Indian equities.

Foreign Institutional Investor (FII) Selling: Persistent FII selling in Indian markets, partly due to global economic uncertainties, has already been a significant factor in recent declines.

Trade War Fears: Trump's tariff policies could exacerbate trade tensions, affecting Indian companies with exposure to global trade, particularly in sectors like pharmaceuticals and automobiles.

Inflation and Economic Growth: Rising crude oil prices and concerns over U.S. economic growth can also impact India's inflation and trade deficit, affecting market sentiment.


Not an Investment Advise

Feb 24

Trade active

Trade 1 SL Hit
Trade 2
A Red Candle on the entry line is the second entry
SL Candle high

Feb 24

Note

Trade 2 is an early morning trade