Nifty outlook 9th Oct 2023
Updated
Closing Range - 19547/19758
Extended range - 19469/19836
Extremely low volumes with an indecision candle again calls for a caution. A confirmation candle in the next session is important to be studied to confirm an up/down trend. Nifty might come down to fill the gap at 19575 before resuming upward journey or directly move into the uptrending channel. The latter looks unlikely though in a single session. Downside also looks restricted to about 80-100 points only for the next session.
Possible trade can be a no trade! We can get 80-90 points on either side depending upon price action if Nifty gives closing above/below high/low of the last sessionbut chances of hitting SL are high. Complusive trader can creaet a short strangle 100 points above and below of day ranges mentioned above with a strict SL maintaining a risk reward ratio of 1:2.
P.S. - 0.5%-1% return on capital can be considered good in intraday.
Extended range - 19469/19836
Extremely low volumes with an indecision candle again calls for a caution. A confirmation candle in the next session is important to be studied to confirm an up/down trend. Nifty might come down to fill the gap at 19575 before resuming upward journey or directly move into the uptrending channel. The latter looks unlikely though in a single session. Downside also looks restricted to about 80-100 points only for the next session.
Possible trade can be a no trade! We can get 80-90 points on either side depending upon price action if Nifty gives closing above/below high/low of the last sessionbut chances of hitting SL are high. Complusive trader can creaet a short strangle 100 points above and below of day ranges mentioned above with a strict SL maintaining a risk reward ratio of 1:2.
P.S. - 0.5%-1% return on capital can be considered good in intraday.
Note
So now we know reason for the low volumes. The big hands probably had an idea about the war already!
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