Fundamental News
- Nothing significant.
Global Markets
- US markets are higher. ✅
- Asian markets are mixed.
- SGX Nifty is showing a gap up. ✅
Pre-Market View
SGX Nifty indicates another gap-up opening. Hence the plan would be more or less the same as the previous day. If the gap is too high, there could be initial sell- off followed by support at previous day's levels. Hence gap-up short setup is in play.
Intraday Trade Setups
Gap-up Short:
- Both Nifty and Bank-Nifty opened gap-up of around 0.75%.
- The first candle was a bearish candle in both of them. Generally in such gap-up scenarios, if the first candle is a doji or bearish, there is high chance that there could be an initial sell-off.
- At 09:20 am, the low of the first 5-min candle is breached giving a short signal.
Retracement Trade:
- Both the markets had a short down-leg impulse followed by a retracement.
- While bank-nifty retraced quite steeply, nifty had a fairly slow angular retracement charted by a trendline.
- At 10:20 nifty broke below this trendline, creating a shorting opportunity.
Trade Plan for Next Session:
- Today markets were intraday wise range-bound, but on a close to close basis, they closed positive.
- Today, FIIs were net sellers for 15 crores while DIIs were net buyers for 447 crores.
- Markets bounced back from today's low creating a range-bound intraday movement with good volatility. As US markets rise higher, Indian markets may resume their rally to the upside.
- If markets open gap-up or flat, markets may trend to the upside.
- If markets open down, they may may remain range-bound.