Nifty is bullishAs we know, the price does not move up or down like a rocket, it has to take a pullback or a pause.
So after a trending day most probably the market stays sideways.
As you can see today's market was in a trend and most probably tomorrow it will be a sideways market, and our analysis will be simple
if nifty opens above the previous day's high(PDH) market can get resistance from the 17970 level and will be in a range the whole day.
Note - I'm not sebi registered, this is only for educational purposes. Do your own analysis first.
Optiontrading
Rising wedge pattern breakdown in IGLIGL
Key highlights: 💡⚡
✅On 1Hr Time Frame Stock Showing Breakdown of Rising wedge Pattern .
✅ Strong bearish Candlestick Form on this timeframe.
✅It can give movement up to the Breakdown target of 390-.
✅Can Go short in this stock by placing a stop loss above 422+.
✅ breakout this can give risk:reward upto 1:6+
Descending broadening wedge pattern breakout in SBICARDSBICARD
Key highlights: 💡⚡
✅On 1h Time Frame Stock Showing Breakout of Descending broadening wedge Pattern .
✅ Strong Bullish Candlestick Form on this timeframe.
✅It can give movement up to the Breakout target of above 825+.
✅Can Go Long in this stock by placing a stop loss below 792-.
✅ breakout this can give risk:reward upto 1:8+
BANKNIFTY Important Breakout LevelsAs global sentiment looks week. We can Plan to short banknifty below the dec low line.
- In case of FLAT opening we can short it on the first candle or wait for 15 mint candle breakout.
- In case of GAP UP Opening we will wait for the negative price action or Look for upside scalping trades above PDH.
- In case of GAP DOWN Opening we will actively look at the price and enter the market. if we get the chance to short it around pivot level with a negative candle. It will be a JACKPOT.
Bullish flag pattern reversal in GLENMARKGLENMARK
Key highlights: 💡⚡
📊On 1H Time Frame Stock Showing bullish flag Pattern.
📊It can give movement upto reversal target of 432+.
📊It can give movement upto Breakout target of 458+.
📊There have chances of Breakout of Resistance level too.
📊Can Go Long in this stock by placing stop loss below 419 or last swing low.
Part 1: Equity Derivatives - A Beginner's GuideWhat are derivatives?
Basic interpretation : something which is based on another source.
A derivative is a contract or product whose value derives from the value of the base asset. The base asset is called the underlying asset.
i.e., Sugar prices will rise if sugarcane prices increase due to low production. It means sugarcane is the underlying asset of sugar because the value of sugar is associated with sugarcane.
There is a broad range of underlying assets:
Metals: lead, gold, silver, copper, zinc, nickel, tin, etc.
Energy: coal, natural gas, etc.
Agri commodities: corn, cotton, pulses, wheat, sugar, etc.
Financial assets: Stocks, bonds, forex, etc.
There are two types of derivatives:
1. Exchange-traded: A standardized derivative contract, listed and traded on an organized exchange.
2. Over-the-counter/off-exchange trading/pink sheet trading:
A derivative product in which counterparties buy or sell a contract or product at a negotiated price without exchange
Instruments of derivatives market:
There are four instruments in the derivatives market:
1. Forward:
Forward is a non-standard agreement or agreement between two parties that allows you to buy/sell the asset at the agreed price for a pre-decided date of the contract.
Forwards are negotiated between two pirates, so the terms and conditions of the contract are customized.
These are called over-the-counter(OTC).
2. Future:
Future contracts are similar to forwarding contracts, but the deal is made through an organized and regulated exchange rather than negotiated between two counterparties.
A futures contract is an exchange-traded forward contract.
3. Options:
A derivative contract that gives the right but not the obligation, to buy or sell an underlying asset at a stated strike price on or before a specified date.
Buyers of options- Pays the premium and buys the right
Sellers of options - Receives the premium with the obligation to buy/sell underlying assets.
4. Swap:
A swap is a derivative contract between two counterparties to exchange for the cash flows or liabilities from two different financial instruments.
It is an introduction article. I will cover all these topics in detail.
Swap helps participants manage risk associated with volatility risk interest rate, currency exchange rates, & commodity prices.
Index:
Index = Portfolio of securities
An Index shows how investors experience the economy. Is it progressing or not?
A Stock market index gathers data from a variety of companies of industries. The data forms an overall picture and helps investors compare market performance through past and current prices.
Financial indices represent the price movement of bonds, shares, Treasury Bills, etc.
Importance of Index:
1. An index is an indication of a specific sector or gross market.
2. It helps investors to pick the right stock
3. An index is a statistical indicator. It represents an overall change or part of a change in the economy.
4. In OTC & exchange-traded markets, It used as an underlying asset for derivatives trading
5. An index helps to measure for evaluation of portfolio performance.
6. Portfolio managers use indices as investment benchmarks.
7. Index illustrates investor sentiments.
Types of index:
There are four classifications for indices:
Equal Weighted Index:
Each company is given the same weightage in the composition of this index. Equal-weighted indexes are more diversified than market capitalization-weighted indexes. This index focuses on value investing.
Free-float index:
In finance, equity divides into different among various stakeholders like promoters, institutions, corporates, individuals, etc.
A tradable stake for trading is called a free-float share.
i.g, If XYZ company has issued 5 lakh shares with the face value of Rs 10, but of these, 2 lakh shares are owned by the promoter, then the free-float market capitalization is Rs 30 lakh.
Free-float market capitalization: Free-floating shares * Price of shares
Index: BSE SENSEX
Market capitalization-weighted index:
In this index, each stock is given weightage according to its market capitalization.
High market cap = High weightage
Low market cap = low weightage
Market Cap= Current market price * total number of outstanding shares
i. e, if XYZ company has 1,000,000 outstanding shares and a market price of 55 rs per share will have a market capitalization of 55,000,000.
Index: Nifty 50
Price Weighted Index:
High price = More weightage
Low price = Low weightage
Popular price-weighted index: Dow Jones industrial average & Nikkei 225
I will upload second part soon.
Thank you :)
Money_Dictators
Double bottom Pattern breakout in CROMPTON.CROMPTON
Key highlights: 💡⚡
📈 On 2Hr Time Frame Stock Showing Breakout of Double Bottom Pattern.
📈It can give movement up to the Breakout target of above 382+.
📈 Can Go Long in this stock by placing a stop loss below 365-.
📈 Breakout can give risk: reward up to 1:6+.
Rising wedge pattern reversal in ZEEL.ZEEL
Key highlights: 💡⚡
📊On 1D Time Frame Stock Showing Reversal of Rising wedge Pattern .
📊 It can give movement upto the Reversal target of above 290+.
📊There have chances of Breakout of Resistance level too.
📊 After breakout of Resistance level this stock can gives strong Upside rally upto above 350+.
📊 Can Go Short in this stock by placing stop loss below 260 or last swing Low.
Symmetrical triangle pattern breakout in CHOLAFIN.CHOLAFIN
Key highlights: 💡⚡
📈 On 1D Time Frame Stock Showing Breakout of symmetical triangle Pattern.
📈 Strong Bullish Candlestick Form on this timeframe.
📈It can give movement upto Breakout target of 865+.
📈 Can Go Long in this stock by placing stop loss below 705 or last swing low.
📈 Breakout this can give risk:reward upto 1:4+.
BankNifty Daily Levels Update For Option Day Trading Key Levels For Easy Option Buying & Selling Strategy For Banknifty
Major Support Zones For Tuesday
First Support Zone For BankNifty – ( 38645 - 38663 )
Second Support Zone For BankNifty – ( 38300 - 38330 )
Third Support Zone For Bank Nifty – ( 38155 - 38187 )
Fourth Support Zone For Bank Nifty - ( 37942 - 37968 )
Major Resistance Zones For BankNifty on Tuesday
First Resistance Zone For BankNifty – ( 38800 - 38830 )
Second Resistance Zone For BankNifty – ( 38990 - 39025 )
Third Resistance Zone For BankNifty – ( 39240 - 39210 )
Nifty Daily Levels Update For Option Day Trading Support Zones For Nifty
First Support Zone For Nifty - 17046 - 17056 ( Minor Support )
Second Support Zone For Nifty - 16940 - 16955 ( Major Support -1 )
Third Support Zone For Nifty - 16742 - 16758 ( Major Support -2 )
Resistance Zones For Nifty
First Resistance Zone For Nifty - 17185 - 17168
Second Resistance Zone For Nifty - 17296 - 17283
Third Resistance Zone For Nifty - 17380 - 17370
BankNifty Daily Levels Update For Option Day Trading Banknifty Possible Trade in Option Day Trading
Major Support Zones For BankNifty On Tuesday
First Support Zone For Nifty – 38427
Second Support Zone For Nifty – 37942
Third Support Zone For Nifty – 37523
Fourth Support Zone For Nifty – 37055
Major Resistance Zones For BankNifty On Tuesday
First Resistance Zone For Nifty – ( 38960 )
Second Resistance Zone For Nifty – ( 39289 )
Third Resistance Zone For Nifty – ( 39715 )
Nifty Daily Levels Update For Option Day Trading for 27 Sept Key Levels For Day Trading in Nifty Fifty
Support Zones For Nifty On Tuesday
First Support Zone For Nifty - 16979 - 16992
Second Support Zone For Nifty - 16848 - 16862
Third Support Zone For Nifty - 16714 - 16723
Resistance Zones For Nifty On Tuesday
First Resistance Zone For Nifty - 17076 - 17060
Second Resistance Zone For Nifty - 17174 - 16160
Third Resistance Zone For Nifty - 17294 - 17279
Fotrh Resistance Zone For Nifty - 17422 - 17432
NIFTY 50 30-AUG-2022 PROFIT BOOKING PROFIT BOOKED 1:3.5💯💯
Used 5min Time-frame for Trading
Yesterday I gave my levels and setup for trade.
But as today market opened gap up, I updated new Levels.
Kindly check my Yesterday post pinned below.I have updated new levels in morning as market opened gap up
Used past analysis to find support and resistance level on 15min time frame.
On 5min Time-frame waited for breakout or breakdown.
As NSE:NIFTY breakout, ON 5min Time-frame then waited for pullback+Confirmation and took trade at 11:05
Hence profit booked.
What if didn't go my way?
Simple take my stop-loss. Because we can increase chances of profit by strong analysis. But no analysis is 100% perfect. Just obey stop-loss or Take profit.
You will be profitable.
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Nifty Daily Levels Update For Option Day Trading Moday Possible Trade In Nifty | Keep Eye on China Insight Updates
Call Side Posiible Trade in Nifty on Monday
First Possible Trade
Tread Entry
If Nifty sustain Above Support Zone (16720 -16705) You can Buy 16700 ATM CALL OPTION
Trade Target
Up side First Target is 16763 and If Any 1 Hour CandleCloses above first Target then Second target is 16800
Tread Stoploss
After Entry in Trade If any 30 min. Candle Closes Below Support 16700 then exit From Trade Or Take Stoplos of Maximum 20 /25 oints
Second Possible Trade - If Nifty50 Open Gap Down
Tread Entry
If Nifty sustain Above Support Zone (16606 -16588) You can Buy 16600 ATM CALL OPTION
Trade Target
Up side First Target is 16650 and If Any 1 Hour CandleCloses above first Target then Second target is 16705
Tread Stoploss
After Entry in Trade If any 30 min. Candle Closes Below Support 16588 then exit From Trade Or Take Stoplos of Maximum 20 /25 oints
Monday Put Side Posiible Trade in Nifty
Tread Entry
If Nifty Sustain Below Resistance Zone (16720 -16705) You can Buy 16350 ATM PUT OPTION
Trade Target
Down side First nifty Target is 16600 Second target is 16480
Tread Stoploss
After Entry in Trade If any 30 min. Candle Closes Above Resistance 16720 then exit From Trade Or Take Stoplos of Maximum 20 /25 oints