Last Session: π‘ #Nifty Fut traded in narrow range of 17820-17935. Lack of participation before weekend. Expansion will give direction. π΄ #BankNifty faced resistance near 38112.75. Bullish trades can be initiated once it clears this headroom resistance. π΄ FII's were net seller of 1000cr. DII's also sold 515 cr equities. Monthly expiry; lets wait for more data formation.
Technicals: π‘ Momentum indicators RSIStairs continues to remain overbought in Nifty D(77.00), W(80.87), M(79.90). ADX D(45.96) π’ Everyday 1-2 #Nifty heavyweights come to rescue rising by 3-5% and helping markets move higher. No sign of exhaustion. π’ Result season also can give some more boost. This bull market doesn't seem like to take any pause at all & move high.
Global markets (Last Session): π’ US markets closed flat. As #Long as Dow trading below 34876/35097 this may be considered as a pullback from breakdown. π΄ European markets closed lower. Chart setup on daily TF looks weak in DAX/UKX/CAC40. Need to wait for further direction. π΄ US 10YR bond yield saw some traction last 2 days. It rose by 6.52% this week with RSIStairs breaking out above 55 mark. π΄ Brent Crude trading at 3 year high of 78.01. On monthly it has given broken out above 12 years trend line resistance. π΄ Dollar index has been sustaining above 93 CMP @93.27. Awaiting #CupAndHolder and #DoubleBottom BO above 93.60. Caution. π΄ Precious metals Gold/Silver down by 3.5/6.5% this month & looks weak and has potential to correct even more from here.
Global markets (Morning Cues): π’ Asian markets are trading higher. SGX Nifty trading higher indicating a gap up opening in the Indian benchmark indices. π’ US futures trading higher with 0.5% gains. Europe futures also trading higher with 0.5% gain. Global cues very bullish.
News & Other Data: π’ FED FOMC meeting was a nonevent. Markets took it positively & bounced. Lets see if its a pullback or bullish reversal. π’ Trend/momentum in favor of bulls. This week, Nifty could make record longest rally of 377 days without 10% correction. π΄ India VIX rose by 87% from the last week low of 9.02. Rising volatility will lead to increase in IV & option premiums. π’ Apart from rising Crude/DXY and 18000 psychological level the bulls are placed comfortably even after such a Long rally.
π£ All levels to be considered on 15M candle closing basis #TradePlan #PreOpenUpdate #IndexFutLevels #27SEP2021
TradePlan: π’ Trading and sustaining below 17666 will give any sign of weakness. Can be a SL for #Long. So far all is well & bullish. π’ Below 37594 on HCB we may see some profit booking in #BankNifty. Buy if #BankNifty trade & sustain above 38115 for 15M. π Selling 17900 #Straddle with some hedge/protection can be a good idea with balance funds to adjust in case of move. π’ HDFCBank, M_M, TataChem can be looked for #Long side. Metal & IT stocks may see profit booking going forward.
π’ 17900 #Straddle lost 25 premium from opening. Good π’ HDFCBank (1.47%), M_M (+4.09%), TataChem (+3.09%) π’ #BankNifty above 38115 made high of 38395 (+285)