Has consolidated decently and given a good upmove. We can expect opening Monday session to make new high and then start taking High Price Rejection. Which will signify the beginning of a swing low.
I speculate the swing low to go at most till the Red horizontal line marked against 100ema.
Either it can be taken as an investment idea and bought around 500-570...
Sgx nifty as well as global markets suggest a range bound day. Might open a lil gap up however it isn't likely to continue upwards there after. Conclusion is to not go for Naked option buying. Put writing might be the safest bet
Even though 180points gap up sounds extremely positive day for long option buyers let us not forget that we are still in a down trend on daily as well as weekly chart.
So I expect market to start moving down either right after opening high and trap retailers or start its down swing after hovering around 15000 after a couple of hours.
Do not go short or by PE yet. There's a Vwap support right below the day's low. So wait till 11:00am for more clarity. If the Vwap is breached we can get a big down swing. If it isn't then another rangebound day. Another party for option sellers.
Shift in OI data as well demand for put contracts. The up move made in the first half of the day needs to be averaged and toned down now. Though we are still in a slight uptrend so don't hold for long.
Keep small targets and book profit quickly.
Looking at how flat the Vwap has been recently and adding the recent slow down of the bull run that started last week, we might see continued range bound movement.
Would suggest targeting selling moves rather than buying
Alright the expected reversal I quoted in my earlier post is here. Took its sweet lil time getting here coz of low Volatility as I mentioned before.
Buy call below 15100 and book quick profits. Don't get too greedy.
Even though Nifty is showing signs of a lil upmove on 15min time frame, I'd advise against going long using call buying yet.
Simply because the Volatility index is on a decline which would make theta decay outperform any delta you gain into your far OTMs.
Try selling calls.
Put side OI to Volume ratio is quite good.
Add in increasing short positions on 14800-14950 range as well falling strength/RSI. Definitely a small opportunity to make tiny profits.
Overall market direction is still skywards so careful to not lose to your greed.
Daily (SGX NIFTY) Bollinger Band is rooted at its median. So not expecting any big trends.
Since shorter time frames on sgx nifty show a brief upward movement might feint a Bollinger Band Blast/Breakout by the time Indian markets open.
Yesterday's Oi as well post indian market movement on sgx nifty futures show a decent support around 14850.
Hence expecting...
15min nifty candle opening and closing above previous candle. As well as breached days hlc average. Combine that with rising RSI (60+). We'll definitely see a short term upswing opportunity
