viswaram

viswaram

Again we had a 4 support & resistance zone in play today, the price action formed is also quite tricky. The most commendable part is the conviction of bulls to rally NSE:BANKNIFTY in the last 90mts and close it in green. In essence who could have really predicted the close in green, just look at where it opened 39856 right near the SR zone of 39839 makes an...

viswaram

There were 4 support & resistance zones in play today, 3 supports broken & 1 held. No pull back rally - just a consolation flat type trading last 3hrs today. Lets analyze it one by one. The accusations against Adani group companies by Hindenburg research caught the lime light today, markets reacting more seriously than on 25th Jan. Many of the Adani group...

viswaram

What a day today ! I had to take some for things to sink in. We literally had 3 support & resistance in play today & that should make an amazing post mortem today. The open was inline at 42703 very near to the close yesterday, i was hesitant to go in with a debit ratio spread of 42500/42400 PE 2:4 ratio when it had only 28pts premium. The major reason i didnt...

viswaram

Yesterday we started discussing on the habit of NSE:BANKNIFTY taking out the support & resistance via gaps. Thats what happened today also. We opened gap up at 42994 above the resistance level of 42888. This was the same resistance level that had a breakout failure yesterday, so today we took that out in open. The 09.30 candle was pretty strong and i almost...

viswaram

Another boring price action today, the minimal variance in options premium after the morning jump shows the lack of volatility today. NSE:BANKNIFTY Gap up opening at 42891 right at the resistance level of 42888, The first candle showed a brief rejection, but the 3rd and 4th candles were quite strong and surged ahead. BN hit HOD of 43005 at 09.50 and from there...

viswaram

Pretty unconvincing price action by NSE:BANKNIFTY today morning esp after US markets SP:SPX fell 0.76%, TVC:DJI 0.76% and NDQ -1% overnight. This is in addition to the fall on 18th. SPX has now fallen consecutively for 3 days from the resistance level of 3991 & now 3945. We hit the resistance of 42573 in the 2nd candle itself and a consistent rally from...

viswaram

Honestly was expecting a turbulent and volatile expiry day today after SP:SPX fell 1.56% & TVC:DJI 1.81% overnight. I was quite shocked to see NSE:BANKNIFTY pre-open rate of only -0.1% & i assumed we may tank close to 1.5 to 2% today. But what turned out was a boring choppy day in a narrowest possible range i have seen after Covid 2022 lockdown. I got into...

viswaram

Quite an uneventful day today, NSE:BANKNIFTY did not break the nearest support or resistance level which means the range bound trade continues. Open was inline wrt previous day's close, but we started falling in the first 20mts. Nothing major and we had a quick reversal & bullish rally. From the LOD we went up 1.04% ~ 436pts by 11.40 and stopped by the...

viswaram

We had another interesting day today, technically the open & close of NSE:BANKNIFTY was near the same - but there was some price action thats worth analyzing. The opening candle was long red body with a short tail, by the 2nd and 3rd candle BN recovered what was lost in the 1st. From there it started building up gains till 10.00 where it kind of ran out of...

viswaram

Lets go by the crowd's mindset - What would you have done today morning just after the pre-open wherein NSE:BANKNIFTY indicated a gap up opening & HDFCBk (most weighted component) had a superb results QoQ. Ans: You would have gone long today - right? And thats where the smart money would have trapped you. Gap up opening at 42622 above the resistance line and...

viswaram

The bullish bounce that was overdue is done today, remember we had discussed over last 2 sessions that the option premium data is showing a short term bullish stance. If we look at the 5mts chart of NSE:BANKNIFTY , apart from the opening 30mts of volatility - we had a smooth day of trade…banknifty.medium.com So it was just an ultra short term target, we also...

viswaram Updated 

Well for starters - yesterday's bullish call didnt go that well. NSE:BANKNIFTY ended 0.21% lower. Luckily its only down 37 odd pts because at 13.35 we were 595pts ~ 1.41% from the HOD. If you had read by bullish call before that - you would have thought i am crazy. From an expiry trading perspective today proved to be an ideal day for traders both bulls & bears,...

viswaram

If we look at the 5mts chart of NSE:BANKNIFTY , apart from the opening 30mts of volatility - we had a smooth day of trade today. Inline open at 42071 and dip below the support level by 09.20, the next candle perfectly closed below the SR and might have indicated further pain ahead. The option premiums even indicated that the market may fall further - but quite...

viswaram

NSE:BANKNIFTY fell 1.33% ~ 568 pts today, but the option prices were behaving like we had a 5% fall intraday. Yeah the intensity of the fall was quite strong, but the level in which options premium jumped - its quite hard to believe. What i feel is the Finnifty expiry on tuesday is creating unwanted speculation in Banknifty. This can be proved right if tomorrow...

viswaram

If you go by the levels US markets closed on Friday - SPX 2.28%, NDQ 2.78% we should have started much more strongly today. NSE:BANKNIFTY opened 42404 up 0.44% only and then closed the gap within the first 15mts. The buying momentum was surging in NiftyIT index and Nifty50 which prompted buying in bank stocks as well. We had a rally of 520pts from 09.25 to...

viswaram

Today's 5mts TF shown below - when you look at the last 3 day's price action together, what forms is a continuous falling chart. Price line is moving similar to the EMAs in a 45 degree downward slope. Is this technical? I dont think so, this has to be more fundamental based - thats why FIIs are continuing to sell - i think its the 10th day of selling now. Are the...

viswaram

Take a look at the chart below, 5mts TF its a perfect continuation from yesterday - we broke the 1st support at 09.40 and 2nd support at 13.15 in the single leg. And then we had a retracement back to the SR level (yellow dotted lines) and final close there. So what do we infer from the charts today Expiry level positioning worked out very well today, all the...

viswaram

Probably you would feel it repetitive when i said the nifty and bank nifty made moves when the US markets were on holidays.  Look what happened today with bank nifty - we have negated the 2 day's of price action ie. 02 Jan and 03 Jan. Which means we have closed today at the same value as of 30th Dec The child was having a nice time when the mom was on leave, now...