NIFTY ON 11-01-2023
Despite being a range bound trading session it was a day full of volatility.
Bears succeeded to tighten their grip as Bulls failed to reclaim 18000 during intraday. This increased selling pressure which dragged Index towards the crucial 17800 in the first 15 minutes of session. However, a sharp recovery from this level was observed towards the day high of 17976.35.
The support came from BANK and FINANCIAL and METAL which gained 0.50% and 0.75% respectively.
NIFTY closed flat at 17895.70 Bearish candle on daily chart.
Technical View: Daily Chart
NIFTY has made a Bearish candle.
NIFTY is moving below EMA 13, 21, 34 and EMA 13< EMA21<EMA34.
RSI has fallen near 40 Level
As discussed, yesterday, the repeated attempt of Index to reclaim 18200 has been negated and the Index has been retesting 17800 again and again it may be assumed that Index is range bound and will be dominated solely by Global factors.
Hence, all these indicators are ignored as of now for any kind of analysis.
Support and Resistance : Daily Chart
As there is not much changes in the movement of the Index hence the levels remain the same.
17860-17817 will work as the first support level for NIFTY and below this 17775 will hold strong support.
On the upper side NIFTY will face resistance in the range of 17988-18040. Above this 18115 will hold strong resistance.
View for Traders:
As there is no change in any of the factors affecting the Index hence the view also remains the same as of yesterday.
“Until and unless the uncertainty gets over and volatility cools down the view will remain unchanged.
Hence, paraphrasing the yesterday statement, under present circumstances, in my view, there are two things which must be taken care of:
1. Follow the trend against all other odds
2. Do not hold any position overnight on either of the sides i.e. wrap up the trade the very same day”
As tomorrow is the weekly expiry. Hence, a bigger move can be expected on either of the sides. So, traders should take any trade with caution and it would be better to trade with hedging.
I am not going to suggest any Options strategy in the Blog as I prefer to leave it to the person specific.
Buy NIFTY in the range of 17860-880 for target of 17975-18000. SL may be kept below 17800.
Sell NIFTY in the range of 18040-18100 for target of 17950-925. SL may be kept above 18150.
PS. These levels are given after a detailed analysis of options chain data and based on various assumptions influenced by the past trend and global cues. Hence, following the two points mentioned above as 1 and 2 should always be kept in mind during tomorrow’s trading session.
INTRADAY PICKS
1. HINDALCO
Buy in the range of 486-488
Target 497.35
SL 480
2. CAMPUS
Buy in the range of 375-378
Target 1 390 Target 2 : 402
SL : 368
Despite being a range bound trading session it was a day full of volatility.
Bears succeeded to tighten their grip as Bulls failed to reclaim 18000 during intraday. This increased selling pressure which dragged Index towards the crucial 17800 in the first 15 minutes of session. However, a sharp recovery from this level was observed towards the day high of 17976.35.
The support came from BANK and FINANCIAL and METAL which gained 0.50% and 0.75% respectively.
NIFTY closed flat at 17895.70 Bearish candle on daily chart.
Technical View: Daily Chart
NIFTY has made a Bearish candle.
NIFTY is moving below EMA 13, 21, 34 and EMA 13< EMA21<EMA34.
RSI has fallen near 40 Level
As discussed, yesterday, the repeated attempt of Index to reclaim 18200 has been negated and the Index has been retesting 17800 again and again it may be assumed that Index is range bound and will be dominated solely by Global factors.
Hence, all these indicators are ignored as of now for any kind of analysis.
Support and Resistance : Daily Chart
As there is not much changes in the movement of the Index hence the levels remain the same.
17860-17817 will work as the first support level for NIFTY and below this 17775 will hold strong support.
On the upper side NIFTY will face resistance in the range of 17988-18040. Above this 18115 will hold strong resistance.
View for Traders:
As there is no change in any of the factors affecting the Index hence the view also remains the same as of yesterday.
“Until and unless the uncertainty gets over and volatility cools down the view will remain unchanged.
Hence, paraphrasing the yesterday statement, under present circumstances, in my view, there are two things which must be taken care of:
1. Follow the trend against all other odds
2. Do not hold any position overnight on either of the sides i.e. wrap up the trade the very same day”
As tomorrow is the weekly expiry. Hence, a bigger move can be expected on either of the sides. So, traders should take any trade with caution and it would be better to trade with hedging.
I am not going to suggest any Options strategy in the Blog as I prefer to leave it to the person specific.
Buy NIFTY in the range of 17860-880 for target of 17975-18000. SL may be kept below 17800.
Sell NIFTY in the range of 18040-18100 for target of 17950-925. SL may be kept above 18150.
PS. These levels are given after a detailed analysis of options chain data and based on various assumptions influenced by the past trend and global cues. Hence, following the two points mentioned above as 1 and 2 should always be kept in mind during tomorrow’s trading session.
INTRADAY PICKS
1. HINDALCO
Buy in the range of 486-488
Target 497.35
SL 480
2. CAMPUS
Buy in the range of 375-378
Target 1 390 Target 2 : 402
SL : 368