Index
S&P500In the so-called smooth market, functioning the S&P500 has had 14 gaps in the last 16 trading days. A correction seems quite near. The rise of crypto is also an expression of the societal collapse of trust in the monetary control of central banks and their credibility with the public.
Overstretched MACD , how long can this hold? The broader market is barely moving intra-day and the occasional dips are ferociously saved and bought followed by hours of tight range chop action. With most market gains entirely driven by overnight gap ups.
VIXVIX has been forming quite a lot of gaps lately. This chart suggests remaining risk lower into filling the open gaps still, but the pattern is tightening and looks to come to a resolution at any moment between now and in the next week.
This smaller pattern suggests room for a VIX breakout into the low to high.
The longer-term structures continue building for a much larger move still to come in the future.
It’s all part and parcel of a market that continues to live off.
The main message: New highs or not, volatility , it’s coming. At least for a while.
Banknifty in parallel channelNSE:BANKNIFTY
bank nifty is in parallel channel, wait till the market comes @ sopport area(lower parallel line) the you can go long, with good R2R ratio, stoploss would be plased below the support line.
But don't SHORT the market @ Resistance line(upper parallel line) because market is in uptrend, so try to cath the Dips
NIFTY FUTURE IS LOOKING VERY STRONG Nifty Future is looking strong, it will touch 16000 mark very soon. As per yesterday's option writing 14800PE has 34,696 Lots addition and 14800CE negative 12,261 Lots which indicate it will act as strong Support for the market near future or this month.
14900PE has 20,384 Lots addition and 14900CE -8089 Lots so no addition in Call side indicate it will also a strong support.
15100CE has 5426 lots addition and 15100PE 1650 lots will act as resistance (but if PE side more build-up happen today then can break)
15200CE has 7513 lots addition and 15200PE 1563 lots addition which is highest yesterday's option building in Index. Then 16000CE 4248 lots writing.
So I am expecting we will see 16000 mark very soon may be this month before expiry.
Note: All Option data is as per NSE F&O Bhav copy dated 17-05-2021 Cumulative Option OI.
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Nifty shows some potential even in bad phaseDue to corona, this is a bad phase for the market but Nifty shows potential to go up. It close over where it opened today. It means that it wants to go long. Bulls are looking in power. Nifty had tested the support at 14267 three times but did not break it even once. It is making here strong support. Nifty may give gap down opening but potentially it will up. This time corona is not going to affect the business that it did last time. If it breaks the support with the confirmation next support will be at 13600. This is very strong support and Nifty will be retraced from here.
Disclaimer- These are my personal views. I don't claim you to trade on my views. These are for educational purposes only. Trade at your own risk.
Comment your views What you think about it.
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Nifty Metal IndexIn this video I have tried to show some interesting aspects about Nifty, Banknifty and Nifty Metal Index. Also, i have discussed few of the interesting stock setups which an individual can use for studying.