NIFTY analysis for tomorrow 22 May

As we discussed, Nifty ended sideways today.
If we look at the chart now:
The market is trading at the higher side of the channel. Right now, the market is in a mini-channel. If it breaks to the downside, it can result in bearishness in the market to 200 EMA levels. NIFTY seems more bullish than Banknifty, where Banknifty is preparing for a bearish structure. It might force NIFTY to be sideways as NIFTY still has good support for lower levels.

If we look at the OI data:
PCR = 1.10 shows the market's bullish structure. 22500 is Maxpain, while 22400, and 22500 have good PE writing, which is going to act as a nice support zone. PCR has fallen from 1.25 to 1.10, which shows that the CE windup today was good.

I expect the market to go sideways or bearish.

Reasons:

1. Price ~= EMA(13) and Price >> EMA (200). NIFTY might retrace to 200 EMA levels.
   
2. RSI is 40-60, showing a market sideways structure.\
   
3. Fall in PCR from 1.25 to 1.10 shows Bears are increasing their position in the market.
   
4. Price < VWAP, which indicates the price is weak, might correct itself.
   
5. The market is in a consolidation phase, trading at the higher side of the uptrend channel.
   

Verdict: SIdeways or Bearish

Plan of action: Sell 22550 CE and 22400 PE (Hedge it with 10/-)