Nifty made a kind of Doji red candle which closed with higher high, higher low and higher closing price. The initial rise got capped at 12286 when Banknifty reached 32600 level and from thereon it started coming down. It went down heavily and made a low of 12213.8 before bouncing up from a buying area demarcated yesterday near 12207, and staged a smart recovery till 12255, the closing price. Please check my video posted on youtube under channel name Market Movers India for slightly more analytical content.FIIs were Net Sellers today and DIIs were net buyers but volume do not speak much and hence nothing can be concluded based on that data. As per option chain analysis, Nifty shows a bracket of 12200 (where there is strong support due to good total OI) and 12300 (where we see good total OI as well as decent Call writing) for tomoerrow. On 15 min chart, I have marked both buying and selling areas since Nifty and Banknifty both are at such juncture that due to strong momentum and robust FII cash flows it can still go up but due to weak economic outlook, rising food inflation and The RBI report (Financial stability report as prepared by RBI, released on Friday) outlining that Bank NPAs may further rise can trigger a fall after today's halt to rise.
So take any trade with strict SL.
All the best, Happy trading.
So take any trade with strict SL.
All the best, Happy trading.