- US published strong jobs data.
- US markets are higher. ✅
- Asian markets are higher. ✅
- SGX Nifty is showing a gap up of 120 points. ✅
SGX Nifty indicates a gap-up opening. If the initial first candles are clean, opening drive setups can be taken. However the gap-up shouldn't be too much. If it is, pole flag setups can be taken to the long side after an initial sell-off.
Intraday Trade Setups
- Both Nifty and Bank-Nifty opened gap-up of around 0.3%.
- There was a strong bullish candle in both of them.
- At 09:15 am, bank-nifty closed strong on a power green candle.
- Since bank-nifty was above resistance, it was the ideal candidate.
- At 09:50 am, nifty broke out of its range after creating inside bars.
- There was a similar upmove in bank-nifty, but it was a pullback buy.
- Both nifty and bank-nifty after a rally in the first half, gave up all their gains and created a strong impulse move to the downside.
- Then both of them retraced. In such a scenario, price goes down again to retest the recent low.
- At 12:05 pm, both of them broke below the trendline and continued the downmove.
Trade Plan for Next Session:
- Today markets again remained range-bound with large volatile movements.
- Today, FIIs were net sellers for 1494 crores while DIIs were net sellers for 483 crores.
- Again markets failed to make any directional move. It seems as if markets may move only after expiry.
- If markets open gap-down or flat, markets may trend to the downside.
- If markets open gap-up, they may face resistance at upper level and fall again to remain range-bound.