NIFTY AND BANK NIFTY ANALYSIS 03 NOV 2022

03 Nov 2022 Thu 0855 Hrs
1. US and Europe are in red as expected. US i had mentioned is at crucial 200 SMA resistance and they all have bounced lower.
2. Asia after a gap down is recovering with minor gains.
3. SGX Nifty is indicating gap down by 60 points @ 18100 odd points. This amounts to 180 points gap down to Bank nifty @40900 levels.
4. Reliance is neutral because it is above 200 SMA but looking bearish. HDFC twins it seems has over stretched and may retrace a bit. ICICI bk is bearish with two consecutive days of red candles. Infy has given a bearish reversal for short term.
Nifty has sp at 18000 and resistance @ 18100 and bank nifty has sp at 41000 and resistance at 41500.
Verdict
1. TODAY IS EXPIRY.
2. Since US has tanked by 2 % the same will be reflected in indian market also.
3. As such all heavy weights are overstretched and need some pull back to consolidation.
4. I expect a bearish expiry today and will be a buyer of puts incase any trend emerges.
5. I will not go long even though the market moves up.
6. I will trade lightly.
THE VIEWS ARE PERSONAL PLEASE USE IT TO AID YOUR DECISION MAKING.