See the line on risk-reward and last nine. Its always important to assess the overbought or oversold nature of market while chasing

good morning folks. I am not in today. Have a good day

Good morning

SOFT GLOBAL CUES
All eyes on Nancy Pelosi’s proposed Taiwan visit
White house wary of military provocation by China
Asian mkts down as inflation remains a concern
Back home, biggest FII buying in this financial year
((SGX Nifty))

TRADE SETUP
Today will again test the market’s recent texture
Market momentum strong, even small dips getting bought
If Nifty closes above 17,394 it will be major milestone
A close above 17,394 would mean 66% recovery of entire fall
Anecdotally if recovery doesn’t stop at 66%, it hits new high
Above 17,394, a swift move to 18,000 opens up
Index futures: FIIs add 24,300 net longs yesterday
FIIs now 66.6% long and 33.3% short in Index futures
Midcap index up 20% from lows, within 9% of highs
Small Cap up 18% from lows, within 12% of highs
Market might go through one shakeout to remove weak longs

As we discussed momentum too strong and every dip getting bought

Good morning

TAIWAN FACTOR: AN IRRITANT?
Market took the Taiwan factor in its stride yesterday
As of now, Geopolitics unlikely to derail the rally
Dollar inches up a bit, DXY back to 106.5
Back home, FIIs buy and Rupee becomes strong
((SGX Nifty))

TRADE SETUP
Risk-reward not favourable for a fresh long immediately
Yesterday’s high of 17,395 represents big resistance
FII data indicates huge long unwinding yesterday
Index futures: FIIs unwind 23,000 longs, add 8,400 shorts
Index Options: FIIs buy 46,400 Puts, unwind 14,200 Put shorts
On Nifty, 2 closing levels are now most important
Close below 17,215 negative, close above 17,394 positive
17,394 is 66% recovery level of entire losses on closing basis
Above 17,394 close, a swift move to 18,000 opens up
Bank Nifty remains strong, consumption also very strong
First signs of any halt in rally will come from market breadth
Market breadth has been very strong through the rally

See Nifty high: 17,385. I said don't buy around 17,395

You always weigh in risk-reward

Bank Nifty at a big support now. If day low holds, it can be interesting.

Didn't hold. Day low broken

Both the high and low end of range have been defended by 10 points so far 🙏

Today the setup has worked beautifully. Nifty respected both the boundaries.

Good morning

EXPIRY DAY: STRONG CUES
Global markets take off in sync with Nancy Pelosi’s plane
Leadership firmly back with Nasdaq in US
Dollar and Brent remain benign for Indian market
((SGX Nifty))

TRADE SETUP
Nifty defended lower end of range, ended at highs
Yesterday’s price action now gives 17,215 as line in sand
Nifty set to open above the 17,394 crucial level
Nifty negates a major channel top above 17,500
Above 17,500, no congestion on Nifty till 18,000
Market overbought but momentum is too strong
For today, weekly expiry factors will dominate
Key highlight yesterday was Call writing at 17,400 and 17,500
17,400 Call Open Interest at 58 lakh, premium at Rs 60
17,500 Call Open Interest at 80 lakh, premium at Rs 22
Options data indicates resistance at 17,460-17,520
IT stocks led the move yesterday, Banks underperformed