Fundamental News
- Auto companies declared very bad monthly auto sales.
Global Markets
- US markets ended mixed.
- Asian markets are mixed.
- SGX Nifty is up by 50 points. ✅
Pre-Market View
SGX NIfty indicates a gap-up opening. If it sustains the gap, we can go higher. Hence opening drive setups to the upside may be in play. To the downside in the first half, the risk-reward is no that good as gap-up is not too high.
Intraday Trade Setups
Reversal Trade:
- Both Nifty and Bank-Nifty both opened gap-up of 0.5%.
- Nifty immediately had a sell-off. Bank-nifty more or less held its level.
- At 09:45 am, both nifty and bank-nifty created a hammer candle after a bear leg.
- Late in the day, both the markets had a trend reversal again.
- At 01:00 pm and 01:10 pm, nifty and bank-nifty created opportunity for a short trade.
Pullback Trade:
- Nifty trended to the downside in the first half whereas bank-nifty held its level.
- At 11:05 am, bank-nifty broke out of its triangle consolidation.
- At 11:25 am, bank-nifty after pulling back closed on a green candle.
Range-breakout:
- After a strong trend reversal in the second half, both the markets retraced a bit.
- At 02:30 pm, both the markets gave a strong closing below their intraday lows.
Market Breadth:
- Nifty psu bankwas the only gainer.
- Nifty pharma was the lagger.
- SBILIFE was the top gainer in Nifty 50 with 2.65% gain.
- TATACONSUM was the top loser in Nifty 50 ending at -4.30%.
- Nifty 50 advances: 16
- Nifty 50 declines: 34
Trade Plan for Next Session:
- Today both the markets trended to the downside in the second half.
- Today, FIIs were net sellers for 1772 crores while DIIs were net buyers for 987 crores.
- Market is at a higher timeframe support. Markets have expanded, therefore the swings would be large, providing good intraday setups.
- If market opens flat or gap-up, markets can go higher to upper resistances.
- If market opens gap-down, there can be another bear trend.