Nifty - Big move coming...(But wait for direction before entry!)
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Nifty has been trading within the range of ~10,850-10,700 for the past 5 days.
So now we can expect some violent move in either direction sometime soon.
A break below 10,700 should lead to a downside till 10,600-10,550 region which is close to the high of the previous swing and a gap region on the chart.
If Nifty starts to move up and crosses 10,840, then we can see a good rally up and the next logical levels would be 10,900-11,000 region.
Currently, a lot of people would be bearish and this could also be a good opportunity for market makers to trap people. So don't build any blind positions. Wait for key levels to break before entering.
We can also, see a big red candle being formed on the 15 min. chart (see the chart above) which may be due to long covering or the making of fresh short positions.
Time will only tell what it was and in hind-sight, everything will be obvious like always. :D :D
For option sellers, this may be a time to create positions to leverage volatility to make some gains.
Key levels:
10,850 - for upside
10,700 - for downside
Please note: These are my views and not trading advice. Please consult your financial adviser before making any trading decision.
Daily RSI:
Nifty - 68
. “If you can learn to create a state of mind that is not affected by the market’s behavior, the struggle will cease to exist.” - Mark Douglas
Before you start reading kindly hit that like button. It motivates me to keep doing such work for free.
Thanks
Nifty has been trading within the range of ~10,850-10,700 for the past 5 days.
So now we can expect some violent move in either direction sometime soon.
A break below 10,700 should lead to a downside till 10,600-10,550 region which is close to the high of the previous swing and a gap region on the chart.
If Nifty starts to move up and crosses 10,840, then we can see a good rally up and the next logical levels would be 10,900-11,000 region.
Currently, a lot of people would be bearish and this could also be a good opportunity for market makers to trap people. So don't build any blind positions. Wait for key levels to break before entering.
We can also, see a big red candle being formed on the 15 min. chart (see the chart above) which may be due to long covering or the making of fresh short positions.
Time will only tell what it was and in hind-sight, everything will be obvious like always. :D :D
For option sellers, this may be a time to create positions to leverage volatility to make some gains.
Key levels:
10,850 - for upside
10,700 - for downside
Please note: These are my views and not trading advice. Please consult your financial adviser before making any trading decision.
Daily RSI:
Nifty - 68
. “If you can learn to create a state of mind that is not affected by the market’s behavior, the struggle will cease to exist.” - Mark Douglas