Nifty is so precariously poised, that it is anybody's market now.As discussed yesterday, in a two way swinging market, the Nifty traded between 4633 and 4741. Today, given the global cues, the nifty is likely to open positive, but is nearing short term resistances, where the bears could strike with venom.1) The Elder Ray readings : Bull Power increases from -44 to -9 Bear Power reduces from -150 to -116, showing that all the efforts by the Bulls over the past 2 sessions have still not got them into the positive, and now the bears need to show some strength, else the nifty can run away upwards.2) The 8EMA has now turned flat, while all the rest EMAs and the DMAs continue to point downwards. The nifty is trading near its 13 EMA which is at 4749 and could be considered a pivot point for launching fresh positions.3) The stochastics are now out of the oversold zone and are pointing upwards.4) In the above chart, the volumes in yesterday's rise have depleted, indicating suspicion on the rise. The top and the bottom Bollinger Bands are turning flat, indicating volatile consolidation. The MACD is still in the negative, but is rising, which is in favor of the Bulls. The ADX is showing that though the strength of the downfall has come down, it is still stronger than the upswing, indicating that the bears might come in any time now.5) Considering the above, we have devised our trading plan for the day as undera) Below 4770, we will open fresh short positions with a SL of 4790 and a target of 4690. We will add to these short positions only below 4640.b) Above 4665, we will open fresh long positions with a SL of 4645 and a target of 4730. We will add to these long positions only above 4800.Happy Trading !!! For cash market recommendations see our Daily Pre Market calls on NSE
Nifty is so precariously poised, that it is anybody's market now.
As discussed yesterday, in a two way swinging market, the Nifty traded between 4633 and 4741. Today, given the global cues, the nifty is likely to open positive, but is nearing short term resistances, where the bears could strike with venom.
1) The Elder Ray readings : Bull Power increases from -44 to -9 Bear Power reduces from -150 to -116, showing that all the efforts by the Bulls over the past 2 sessions have still not got them into the positive, and now the bears need to show some strength, else the nifty can run away upwards.
2) The 8EMA has now turned flat, while all the rest EMAs and the DMAs continue to point downwards. The nifty is trading near its 13 EMA which is at 4749 and could be considered a pivot point for launching fresh positions.
3) The stochastics are now out of the oversold zone and are pointing upwards.
4) In the above chart, the volumes in yesterday's rise have depleted, indicating suspicion on the rise. The top and the bottom Bollinger Bands are turning flat, indicating volatile consolidation. The MACD is still in the negative, but is rising, which is in favor of the Bulls. The ADX is showing that though the strength of the downfall has come down, it is still stronger than the upswing, indicating that the bears might come in any time now.
5) Considering the above, we have devised our trading plan for the day as under
a) Below 4770, we will open fresh short positions with a SL of 4790 and a target of 4690. We will add to these short positions only below 4640.
b) Above 4665, we will open fresh long positions with a SL of 4645 and a target of 4730. We will add to these long positions only above 4800.
Happy Trading !!!
For cash market recommendations see our Daily Pre Market calls on NSE
With the Nifty in neutral zone, the whipsaw might start again. As discussed yesterday, the relief rally on the Nifty did emerge late into the trading session. The Nifty closed at 4693 before just touching our target of 4710. Today, the Nifty is likely to open flat and is likely to swing both ways in a range bound market.1) The Elder Ray readings :Bull Power increases from -124 to -44 Bear Power reduces from -230 to -150. This shows that the Bulls have tried hard, but have not managed to get into their positive zone. The Bears have given up some of their ground, but are still safe in their negative zone.2) The EMAs continue to point downwards, reminding of the intermediate downtrend on the Nifty. The DMAs are also sliding down.3) The fast stochastics have moved out of the oversold zone, and are pointing upwards, hinting that the uptrend might continue for a while.4) In the above chart, the nifty has left the lower Bollinger Band, which is expanding downwards. With the upper Bollinger Band flattening, the indication is that the Nifty may slip back to its lows in a few sessions. The MACD is in the negative but is rising, indicating that the uptrend might continue. The ADX is suggesting a strengthening of the up-move but the strength of the down-move is still more than the strength of the up-move, and there is no buy signal yet from the ADX.5) Considering the above our trading plan for the day is as undera) Below 4725, we will open fresh short positions with a SL of 4755 and a target of 4660. We will add to these short positions only below 4635.b) Above 4665, we will open fresh long positions with a SL of 4640 and a target of 4710. We will add to these long positions only above 4760.Happy Trading !!! For cash market recommendations see our Daily Pre Market calls on NSE
With the Nifty in neutral zone, the whipsaw might start again.
As discussed yesterday, the relief rally on the Nifty did emerge late into the trading session. The Nifty closed at 4693 before just touching our target of 4710. Today, the Nifty is likely to open flat and is likely to swing both ways in a range bound market.
1) The Elder Ray readings :Bull Power increases from -124 to -44 Bear Power reduces from -230 to -150. This shows that the Bulls have tried hard, but have not managed to get into their positive zone. The Bears have given up some of their ground, but are still safe in their negative zone.
2) The EMAs continue to point downwards, reminding of the intermediate downtrend on the Nifty. The DMAs are also sliding down.
3) The fast stochastics have moved out of the oversold zone, and are pointing upwards, hinting that the uptrend might continue for a while.
4) In the above chart, the nifty has left the lower Bollinger Band, which is expanding downwards. With the upper Bollinger Band flattening, the indication is that the Nifty may slip back to its lows in a few sessions. The MACD is in the negative but is rising, indicating that the uptrend might continue. The ADX is suggesting a strengthening of the up-move but the strength of the down-move is still more than the strength of the up-move, and there is no buy signal yet from the ADX.
5) Considering the above our trading plan for the day is as under
a) Below 4725, we will open fresh short positions with a SL of 4755 and a target of 4660. We will add to these short positions only below 4635.
b) Above 4665, we will open fresh long positions with a SL of 4640 and a target of 4710. We will add to these long positions only above 4760.
Happy Trading !!!
For cash market recommendations see our Daily Pre Market calls on NSE
With the Nifty nearing key support levels, a relief rally is on the cards now. As discussed yesterday, the Nifty consolidation was on throughout the session, with the Nifty unable to cross our resistance levels of 4630 and reached our targets of 4540. Today, given the global cues, the Nifty is likely to open with a positive gap up, and continue to rally throughout the session with some bouts of selling coming in.1) The Elder Ray readings : Bull Power rises from -175 to -124 Bear Power reduces from -242 to -230. This indicates that the Bulls are still long way from safety, and that the Bears may strike back any time.2) The EMAs and the DMAs continue to point downwards, and any rallies will be sold off quickly is what they indicate.3) The stochastics are well within the oversold zone and point to a short covering rally.4) In the above chart, the upper Bollinger Band is expanding upwards and the Nifty is touching the bottom Bollinger Band, indicating that a bounce back is to be expected. However, the MACD and the ADX are still suggesting that the bearish trend will continue.5) Considering the above, we have devised our trading plan for the day as undera) Above 4640, we will open fresh long positions with a SL of 4610 and a target of 4710. We will add to these long positions only above 4740.b) Around 4725, we will open fresh short positions with a SL of 4755 and a target of 4650. We will add to these short positions only below 4605.Happy Trading !!! For cash market recommendations see our Daily Pre Market calls on NSE
With the Nifty nearing key support levels, a relief rally is on the cards now.
As discussed yesterday, the Nifty consolidation was on throughout the session, with the Nifty unable to cross our resistance levels of 4630 and reached our targets of 4540. Today, given the global cues, the Nifty is likely to open with a positive gap up, and continue to rally throughout the session with some bouts of selling coming in.
1) The Elder Ray readings : Bull Power rises from -175 to -124 Bear Power reduces from -242 to -230. This indicates that the Bulls are still long way from safety, and that the Bears may strike back any time.
2) The EMAs and the DMAs continue to point downwards, and any rallies will be sold off quickly is what they indicate.
3) The stochastics are well within the oversold zone and point to a short covering rally.
4) In the above chart, the upper Bollinger Band is expanding upwards and the Nifty is touching the bottom Bollinger Band, indicating that a bounce back is to be expected. However, the MACD and the ADX are still suggesting that the bearish trend will continue.
5) Considering the above, we have devised our trading plan for the day as under
a) Above 4640, we will open fresh long positions with a SL of 4610 and a target of 4710. We will add to these long positions only above 4740.
b) Around 4725, we will open fresh short positions with a SL of 4755 and a target of 4650. We will add to these short positions only below 4605.
Happy Trading !!!
For cash market recommendations see our Daily Pre Market calls on NSE
Nifty all set to continue its consolidation before the next big move. As discussed yesterday, "Nifty is nearing key support levels, but Bears not ready to loosen their stranglehold. " the Nifty found supports at lower levels, and tried to rise. However, the bears did not allow it to close in the green and the Nifty had to close well below its previous close. Today, given the global cues, the Nifty is likely to open in the negative, but again may find support around 4520.1) The Elder Ray readings : Bull Power reduces from -10 to -175 Bear Power increases from -200 to -242, this indicates that the Bears are in no mood to let go their control on the Nifty and that the Bulls are so exhausted that they are unable to even claw back to their territory.2) The EMAs continue to point downwards and the Nifty is trading well below all its EMAs and DMAs.3) The stochastics are well in the oversold zone, indicating that a pull back on the Nifty cannot be ruled out.4) In the above chart, the volumes have depleted in yesterday's pullback from lows. The MACD is still holding onto its sell signal. The ADX is indicating of the strengthening of the bearish trend, and the Bollinger Bands are expanding to accommodate the further downfall in the Nifty.5) Based on the above, our trading plan for the day is as undera) Below 4630, we will open fresh short positions with a SL of 4650 and a target of 4540. We will add to these short positions only below 4505.b) Around 4520, we will open fresh long positions with a SL of 4500 and a target of 4580. We will add to these long positions only above 4655.Happy Trading !!! For cash market recommendations see our Daily Pre Market calls on NSE
Nifty all set to continue its consolidation before the next big move.
As discussed yesterday, "Nifty is nearing key support levels, but Bears not ready to loosen their stranglehold. " the Nifty found supports at lower levels, and tried to rise. However, the bears did not allow it to close in the green and the Nifty had to close well below its previous close. Today, given the global cues, the Nifty is likely to open in the negative, but again may find support around 4520.
1) The Elder Ray readings : Bull Power reduces from -10 to -175 Bear Power increases from -200 to -242, this indicates that the Bears are in no mood to let go their control on the Nifty and that the Bulls are so exhausted that they are unable to even claw back to their territory.
2) The EMAs continue to point downwards and the Nifty is trading well below all its EMAs and DMAs.
3) The stochastics are well in the oversold zone, indicating that a pull back on the Nifty cannot be ruled out.
4) In the above chart, the volumes have depleted in yesterday's pullback from lows. The MACD is still holding onto its sell signal. The ADX is indicating of the strengthening of the bearish trend, and the Bollinger Bands are expanding to accommodate the further downfall in the Nifty.
5) Based on the above, our trading plan for the day is as under
a) Below 4630, we will open fresh short positions with a SL of 4650 and a target of 4540. We will add to these short positions only below 4505.
b) Around 4520, we will open fresh long positions with a SL of 4500 and a target of 4580. We will add to these long positions only above 4655.
Happy Trading !!!
For cash market recommendations see our Daily Pre Market calls on NSE
Nifty is nearing key support levels, but Bears not ready to loosen their stranglehold. On Friday, we had said "RBI monetary policy may stoke volatility in a already falling market."
and that is what was seen in the markets, with the Nifty traversing through 3 cents 4800 4700 and 4600, before closing at 4652. Today, given the global cues, Nifty is likely to open with a negative bias, but the double bottom formation, could lead to a relief rally.
1) The Elder Ray readings : Bull Power increases from -89 to -10 Bear Power also increases from -184 to -200. This indicates, that all the effort of Bulls on Friday, has not been able to recover lost grounds for them and that the Bears in one swift action have struck them down. However, this also indicates that the rate of increase in strength of the Bears has gone down, in turn which indicates that the fall from here might be limited for the time being.
2) The EMAs and the DMAs continue to point downwards indicating weakness in the Nifty.
3) The fast stochastics are well in the oversold zone, however, the slow stochastics are just hovering on the border line, indicating that there is still some room for the fall to continue.
4) In the above chart, the MACD histogram is in the negative and falling. Indicating that there should be caution in further selling and that the Buy signal is yet some distance away. The ADX also is indicating a slowing down of the fall ahead and a strengthening of buying action in coming sessions. However, the ADX has not yet given out any fresh buy signal as yet.
5) Based on the above, our trading plan for the day is as under.
a) Above 4580, we will open fresh long positions with a SL of 4555 and a target of 4680. We will add to these long positions only above 4720.
b) Below 4700, we will open fresh short positions with a SL of 4715 and a target of 4590. We will add to these short positions only below 4550.
Happy Trading !!!
For cash market recommendations see our Daily Pre Market calls on NSE
Nifty is nearing key support levels, but Bears not ready to loosen their stranglehold.
On Friday, we had said "RBI monetary policy may stoke volatility in a already falling market."
and that is what was seen in the markets, with the Nifty traversing through 3 cents 4800 4700 and 4600, before closing at 4652. Today, given the global cues, Nifty is likely to open with a negative bias, but the double bottom formation, could lead to a relief rally.
1) The Elder Ray readings : Bull Power increases from -89 to -10 Bear Power also increases from -184 to -200. This indicates, that all the effort of Bulls on Friday, has not been able to recover lost grounds for them and that the Bears in one swift action have struck them down. However, this also indicates that the rate of increase in strength of the Bears has gone down, in turn which indicates that the fall from here might be limited for the time being.
2) The EMAs and the DMAs continue to point downwards indicating weakness in the Nifty.
3) The fast stochastics are well in the oversold zone, however, the slow stochastics are just hovering on the border line, indicating that there is still some room for the fall to continue.
4) In the above chart, the MACD histogram is in the negative and falling. Indicating that there should be caution in further selling and that the Buy signal is yet some distance away. The ADX also is indicating a slowing down of the fall ahead and a strengthening of buying action in coming sessions. However, the ADX has not yet given out any fresh buy signal as yet.
5) Based on the above, our trading plan for the day is as under.
a) Above 4580, we will open fresh long positions with a SL of 4555 and a target of 4680. We will add to these long positions only above 4720.
b) Below 4700, we will open fresh short positions with a SL of 4715 and a target of 4590. We will add to these short positions only below 4550.
Happy Trading !!!
For cash market recommendations see our Daily Pre Market calls on NSE
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Disclaimer : We express our opinions on this blog primarily as a method of record keeping, i.e. archiving what was our opinion about the markets on any given particular day end. As such, trading in derivatives can be extremely dangerous to you and your finances. We strongly advice you to consult your financial advisor before trading based on the opinions published on this blog. We shall not be held responsible, under any circumstances, for any financial loss or profit, that may be accrued due to your trades being affected by our opinions.
