AD Code

Friday 27 September 2013

Nifty - 27 Sept 2013 - Series start with Nifty in equilibrium

Nifty remains directionless after a narrow range expiry session. Watch today's close.

As discussed yesterday, Nifty was in equilibrium on expiry day. The Nifty opened flat, traded flat in a narrow range of 48 points for the entire trading session before ending the day and the series at a flattish note. The same mood carries forward and the next direction may emerge by the end of day today. None of our trading plans got triggered yesterday and we were happy to sit on the side lines.

1) The Elder Ray readings : Bull Power rises from +62 to +64 Bear Power reduces from -38 to +10 indicating that the Bears surrendered their advantage within one trading session. For today, the Bulls need to overcome the levels of 5925 to maintain their upwards momentum whereas the Bears need to breach the levels of 5855 to regain their lost grounds.

2) The stochastics are in the neutral zone and are pointing flattish.

3) The Nifty has yet again closed below its 8EMA but has closed above its 13EMA and 21EMA. The Nifty has also closed above all its key DMAs.

 


4) In the above chart, the volumes have increased with the Nifty remaining flat indicating rising indecision amongst traders. The MACD continues with its attempted short signal, but stops short of signaling the same. The ADX is also suggesting a loss of momentum for both the Bulls and the Bears. The Parabolic SAR continues with its sell signal with the SL now shifted down to 6123.

5) Considering the above, our trading plan for the day is as under.

a) Around 5960 we will open fresh short positions with a SL of 5985 and a target of 5830. We will add to these short positions only below 5780.

 b) Around 5810 we will open fresh long positions with a SL of 5780 and a target of 5935. We will add to these long positions only above 5985

Happy Trading !!!
 
Also visit Just Nifty and the Nifty Range blogs.


For cash market recommendations see our Daily Pre Market calls on NSE

Nifty - 27 Sept 2013 - Series start with Nifty in equilibrium

Nifty remains directionless after a narrow range expiry session. Watch today's close.

As discussed yesterday, Nifty was in equilibrium on expiry day. The Nifty opened flat, traded flat in a narrow range of 48 points for the entire trading session before ending the day and the series at a flattish note. The same mood carries forward and the next direction may emerge by the end of day today. None of our trading plans got triggered yesterday and we were happy to sit on the side lines.

1) The Elder Ray readings : Bull Power rises from +62 to +64 Bear Power reduces from -38 to +10 indicating that the Bears surrendered their advantage within one trading session. For today, the Bulls need to overcome the levels of 5925 to maintain their upwards momentum whereas the Bears need to breach the levels of 5855 to regain their lost grounds.

2) The stochastics are in the neutral zone and are pointing flattish.

3) The Nifty has yet again closed below its 8EMA but has closed above its 13EMA and 21EMA. The Nifty has also closed above all its key DMAs.

Thursday 26 September 2013

Nifty - 26 Sept 2013 - Equilibrium on expiry day

Nifty attains equality for Bulls and Bears on the eve of expiry. Volatility to rule.

As discussed in our last post, we expected the "Nifty to turn directionless". During the past two trading sessions, the Nifty has moved between 5940 on the upside and 5810 on the downside and closing around 5885 on both days. In yesterday's session, the Nifty opened positive and then nosedived, only to recover late in the day and close with a loss of 19 points. We did not take any trades as we expected trades to be clueless.

1) The Elder Ray readings : Bull Power reduces from +94 to +62 Bear Power rises from +10 to -38 indicating that the Bears have now regained their ground, but need to keep up their pressure, else the Bulls may still be able to hold on. For today, the Bulls need to overcome the levels of 5925 to maintain their upwards momentum whereas the Bears need to breach the levels of 5810 to maintain their downwards momentum.

2) The stochastics are in the neutral zone and are pointing downwards.

3) The Nifty has closed below its 8EMA but has closed above its 13EMA and 21EMA. The Nifty has also closed above all its key DMAs.

 


4) In the above chart, the volumes have remained stagnant, with the Nifty also remaining stagnant, pointing to the indecision on the part of the traders. The MACD is attempting to signal a downward move, however, the signal has not developed yet. The ADX is also suggesting equality towards the Bullish and Bearish momentum. The Parabolic SAR continues with its Sell signal with the SL now shifted to 6136.

5) Considering the above, our trading plan for the day is as under.

a) Around 5815 we will open fresh long positions with a SL of 5790 and a target of 5925. We will add to these long positions only above 5965.

b) Around 5945 we will open fresh short positions with a SL of 5965 and a target of 5835. We will add to these short positions only below 5790.

Happy Trading !!! 

Also visit Just Nifty and the Nifty Range blogs.



For cash market recommendations see our Daily Pre Market calls on NSE

Nifty - 26 Sept 2013 - Equilibrium on expiry day

Nifty attains equality for Bulls and Bears on the eve of expiry. Volatility to rule.

As discussed in our last post, we expected the "Nifty to turn directionless". During the past two trading sessions, the Nifty has moved between 5940 on the upside and 5810 on the downside and closing around 5885 on both days. In yesterday's session, the Nifty opened positive and then nosedived, only to recover late in the day and close with a loss of 19 points. We did not take any trades as we expected trades to be clueless.

1) The Elder Ray readings : Bull Power reduces from +94 to +62 Bear Power rises from +10 to -38 indicating that the Bears have now regained their ground, but need to keep up their pressure, else the Bulls may still be able to hold on. For today, the Bulls need to overcome the levels of 5925 to maintain their upwards momentum whereas the Bears need to breach the levels of 5810 to maintain their downwards momentum.

2) The stochastics are in the neutral zone and are pointing downwards.

3) The Nifty has closed below its 8EMA but has closed above its 13EMA and 21EMA. The Nifty has also closed above all its key DMAs.

Tuesday 24 September 2013

Nifty - 24 Sept 2013 - Nifty may turn directionless

Nearing expiry, Nifty may consolidate in a narrow range and trading maybe dull.
As discussed yesterday, we had a Bearishly volatile trading session. The Nifty opened with a negative gap down of 66 points at 5946 and its early morning attempt to revive was thwarted at 5989 and the bears pulled down the Nifty below our decisive level of 5965 in the first 30 minutes of trade. The Bears kept on their selling pressure throughout the trading session thereafter and the Nifty closed the day with a loss of 122 points at 5890 after making a low of 5871. We took one trade on the short side and booked a profit of 80 points on that trade.

1) The Elder Ray readings : Bull Power reduces from +303 to +153 Bear Power rises from +105 to +35 indicating that the Bears have fallen short of their safe zone even after their sustained selling yesterday and the Bulls are still in the driving seat. For today, the Bulls need to overcome the levels of 6010 to maintain their upwards momentum whereas the Bears need to breach the levels of 5835 to regain their lost grounds.

2) The stochastics are in the overbought zone and are pointing downwards.

3) The Nifty has closed below its 8EMA(5903) but has closed above its 13EMA and 21EMA and also above all its key DMAs.

 


4) In the above chart, the volumes have decreased with the fall in the Nifty indicating that the fall may get arrested. The MACD is attempting to point downwards from the positive zone, with the histogram also reducing in the positive. The ADX continues to indicate a rise in the bearish momentum and a fall in the bullish momentum. The Parabolic SAR continues with its buy signal with the SL now shifted to 5871.

5) Considering the above, our trading plan for the day is as under.

a) Above 5895 we will open fresh long positions with a SL of 5870 and a target of 5975. We will add to these long positions only above 6010.

b) Around 5985 we will open fresh short positions with a SL of 6010 and a target of 5900. We will add to these short positions only below 5870.

Happy Trading !!! 

Also visit Just Nifty and the Nifty Range blogs.



For cash market recommendations see our Daily Pre Market calls on NSE

Nifty - 24 Sept 2013 - Nifty may turn directionless

Nearing expiry, Nifty may consolidate in a narrow range and trading maybe dull.
As discussed yesterday, we had a Bearishly volatile trading session. The Nifty opened with a negative gap down of 66 points at 5946 and its early morning attempt to revive was thwarted at 5989 and the bears pulled down the Nifty below our decisive level of 5965 in the first 30 minutes of trade. The Bears kept on their selling pressure throughout the trading session thereafter and the Nifty closed the day with a loss of 122 points at 5890 after making a low of 5871. We took one trade on the short side and booked a profit of 80 points on that trade.

1) The Elder Ray readings : Bull Power reduces from +303 to +153 Bear Power rises from +105 to +35 indicating that the Bears have fallen short of their safe zone even after their sustained selling yesterday and the Bulls are still in the driving seat. For today, the Bulls need to overcome the levels of 6010 to maintain their upwards momentum whereas the Bears need to breach the levels of 5835 to regain their lost grounds.

2) The stochastics are in the overbought zone and are pointing downwards.

3) The Nifty has closed below its 8EMA(5903) but has closed above its 13EMA and 21EMA and also above all its key DMAs.

Monday 23 September 2013

Nifty - 23 Sept 2013 - Bearish volatility for expiry week

Nifty sells off post two big events, indicating end of rally and a reversal on cards.

We have been on a trading holiday (vacation) owing to Ganapati festivals and are happy to be back with the Nifty having sort of cleared the confusion that existed prior to two big events. The Nifty seems to be poised for a plunge, however, the expiry week may induce some volatility in the trading.

1) The Elder Ray readings : Bull Power reduces from +347 to +304 Bear Power rises from +244 to +106 indicating that the Bears are away from their safety zone and are gaining grounds. The Bulls seem to be complacent. For today, the Bulls need to overcome the levels of 6165 to maintain their upwards momentum, whereas the Bears need to breach the levels of 5855 to regain their lost grounds.

2) The stochastics are in the overbought zone and are attempting to point downwards.

3) The Nifty has closed above all its key EMAs and also above all its key DMAs.

 


4) In the above chart, the volumes have risen with the fall in the Nifty indicating that the fall may continue. The MACD is showing signs of topping out, with the histogram reducing from the positive zone. The ADX is indicating a rise in the Bearish momentum and a fall in the Bullish momentum. The Parabolic SAR continues with its Buy signal with a SL now shifted up to 5811.

5) Considering the above, our trading plan for the day is as under.

a) Around 5990 we will open fresh long positions with a SL of 5965 and a target of 6060. We will add to these long positions only above 6110.

b) Around 6085 we will open fresh short positions with a SL of 6110 and a target of 5980. We will add to these short positions only below 5965.

Happy Trading !!!
 

Also visit Just Nifty and the Nifty Range blogs.


For cash market recommendations see our Daily Pre Market calls on NSE

Nifty - 23 Sept 2013 - Bearish volatility for expiry week

Nifty sells off post two big events, indicating end of rally and a reversal on cards.

We have been on a trading holiday (vacation) owing to Ganapati festivals and are happy to be back with the Nifty having sort of cleared the confusion that existed prior to two big events. The Nifty seems to be poised for a plunge, however, the expiry week may induce some volatility in the trading.

1) The Elder Ray readings : Bull Power reduces from +347 to +304 Bear Power rises from +244 to +106 indicating that the Bears are away from their safety zone and are gaining grounds. The Bulls seem to be complacent. For today, the Bulls need to overcome the levels of 6165 to maintain their upwards momentum, whereas the Bears need to breach the levels of 5855 to regain their lost grounds.

2) The stochastics are in the overbought zone and are attempting to point downwards.

3) The Nifty has closed above all its key EMAs and also above all its key DMAs.

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.