Nifty outlook 11th Oct 2023
Updated
Closing Range - 19572/19805
Extended range - 19488/19889
The volumes have returned to the market. Short covering on 10th Oct has given the momentum Nifty needed to get back into the uptrending channel. But I will wait for another day's candle before concluding on direction bias for Nifty. Especially since PCR is aruond 1.3 now, giving an indiation of an oversold market. 19770 & then 19810 will act as a resistance on the upside. Downside seems restricetd to 19425.
Possible trade can be a long side if we see shortcovering once 19800 is crossed on an hourly time frame but with a SL since PCR is around 1.3. Keep strict SL maintaint a risk reward ratio of 1:2.
P.S. - 0.5%-1% return on capital can be considered good in intraday.
Extended range - 19488/19889
The volumes have returned to the market. Short covering on 10th Oct has given the momentum Nifty needed to get back into the uptrending channel. But I will wait for another day's candle before concluding on direction bias for Nifty. Especially since PCR is aruond 1.3 now, giving an indiation of an oversold market. 19770 & then 19810 will act as a resistance on the upside. Downside seems restricetd to 19425.
Possible trade can be a long side if we see shortcovering once 19800 is crossed on an hourly time frame but with a SL since PCR is around 1.3. Keep strict SL maintaint a risk reward ratio of 1:2.
P.S. - 0.5%-1% return on capital can be considered good in intraday.
Note
Explore seling Puts of 19550/19600 today for the next weekly epiry today. SL Mandatory.
Note
Activity at 19800 strike in the last 1 hour - 1. 9.5L call added
2. 11.3L puts are unwound
Trade safe.
Note
Though option chain appears balanced, overall 1.2 Cr fresh Puts are written at 19800 strike today. Fresh writing should always be respected. Expiry volatility seems to have begun today only :} Doesn't look like this is a market to short. Please hedge your positions in case you are carrying shorts for tomorrow.
Trade closed: target reached
NIfty movement replicated our forecast yesterday. It went into the upwards channel but came down and closed just below it. Hope you guys had a profitable day today.
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