20 day EMA stays below 50 day EMA signals the continuation of bearish sentiment. Evening star pattern in daily chart confirms the resumption of bearish sentiment. Expect the index to stay below 22000 level for this expiry.
Consider selling Nifty 30-April expiry
9100 Put option around 50
9600 Call option around 38
Max profit potential Rs 6600/-
Loss only if Nifty closes above 9688 or below 9012 on 30-April-2020
Take care & safe trading...!!!
Good Day Today for me. Mostly traded as per plan.
NIFTY is still in the large range of 8050 to 9150. But now, the breakout may have happened above 9050. Idea was to ride 8500 and 9200 OTM options. Then when NIFTY consolidated above 9000, I sold credit spread, which again turned out well as NIFTY expired above 9000.
Nifty has been very volatile and it has been swinging 500 points just like that....
What use to take months now is happening in a couple of hours...
So what can one do in such situation
Option 1 is stay away from market
Trade with more focus on risk management.
For the current market conditions
One may consider the following...
The stock is into dominant trend down and this pullback seems to be corrective. Now the stock has faced resistance and the momentum indicator is also taking a halt at the bearish extreme. Any failure to move above 85 will induce more correction and the stock may further correct to 65 & 44 levels. However a move above 85 may push the stock further towards 103 & 125 levels.
While Nifty did made some attempt to pullback, the same was absent on BankNifty. The movement on the index was weaker than that of nifty and a clear divergence was noticed. Disparity among these two index espically Banknifty lagging is not a sign of strength. While the RSI is into bearish zone below 20 the macd histogram is soaring red, indicating sellers are in...
In our last analysis for USDINR, the set target was 74, which was met this week. The minimum target of the pattern has been attained. The pair surpassed its previous highs and retraced back. The USDINR is trending up, a small divergence was created on RSI after which a correction took place on Friday. 73.55 is short term support for the pair, if it manages to...
The stock 1101 during the day pulling back to close at 1134. Comparing close to close the stock corrected 1.43% compared to Bank Nifty overall. Now the stock is at a support. RSI being heavily oversold the stock may pullback from the current levels to 1160 – 1180 levels, however failing to cross them or creating bear candles at the levels may result into further...
Nifty ended up in a state of confusion. There was no defined action, being the week ending on weekly expiry this was much expected. However Nifty seems to be under pressure. The 12300 levels are intact from last few weeks and has been acting as a effective resistance. If nifty fails to move above 12300 then most probably it will test 11990, 11850 & 11600 in the...
The index closed at a very important level. 30800 level may provide support to the index. The RSI is into neutral zone (a momentum weakness is eminent ) The MACD is below the zero line indicating weakness. Above 31880 levels may act as resistance, giving away supports below 30800 may push the banknifty to 30070, 29630 & 28950.
The stock has closed below and important pivot zone. The next support levels are close to 490 zones, below it the stock may resume trend down again and test 435 – 350 levels. To reclaim bullish structure it has to close above 580levels. The RSI is into bullish zone MACD is displaying positive momentum, any dips to support may be an interesting place to create...
The weekly chart of Nifty displays strong comeback from buyers. The piercing bull candle in uptrend is a clear sign of strength. In the last session Nifty ended after a volatile session creating a narrow range candle, the daily prices halted at 61.8% retracement of the corrective leg. The RSI taking resistance at 45 ma and curling down while MACD is into bearish...