Short Market Report
Nifty closing above 17500 shifts things more towards the bullish bias. But don't confuse with bullish reversal. Today it formed a Doji with a long down wick. That's what we call a dragon fly Doji. It usually suggests a bullish reversal. But there are certain criteria to confirm that. It has to be at the end of a major down move, it has to form on a critical support and the next candle should be a bullish candle. Almost none of these criteria are fulfilled.
Nifty has just given an alert for bullish reversal which will be confirmed once it closes above 17800.
Bank Nifty has been sustaining above the gap up it did on the previous trading session. Gap covering is due. Also it closed below both 21 and 50 ema. This has some bearish bias and can drag down nifty.
Trading Ideas: Avoid trading in first 30 mins as we need to see if nifty sustains above 17500 at all. If it doesn't hold, you can go ahead with buying 17400 PE. In case bank nifty starts trading below 37000, you can buy 36800 PE once it crosses 36900.
Trading would be very difficult as no definitive direction could be discerned as of now. So, in case you're not sure... Do the wait and watch policy
Nifty closing above 17500 shifts things more towards the bullish bias. But don't confuse with bullish reversal. Today it formed a Doji with a long down wick. That's what we call a dragon fly Doji. It usually suggests a bullish reversal. But there are certain criteria to confirm that. It has to be at the end of a major down move, it has to form on a critical support and the next candle should be a bullish candle. Almost none of these criteria are fulfilled.
Nifty has just given an alert for bullish reversal which will be confirmed once it closes above 17800.
Bank Nifty has been sustaining above the gap up it did on the previous trading session. Gap covering is due. Also it closed below both 21 and 50 ema. This has some bearish bias and can drag down nifty.
Trading Ideas: Avoid trading in first 30 mins as we need to see if nifty sustains above 17500 at all. If it doesn't hold, you can go ahead with buying 17400 PE. In case bank nifty starts trading below 37000, you can buy 36800 PE once it crosses 36900.
Trading would be very difficult as no definitive direction could be discerned as of now. So, in case you're not sure... Do the wait and watch policy
