Nifty forms short term bottom, How to trade next move

By | March 12, 2015

FII

  • FII’s bought 5.7 K contract of Index Future worth 125 cores,0.4 K Long contract were added by FII’s and 5.2K  short contracts  were squared off  by FII’s. Net Open Interest decreased  by 4.8 K contract.
  • Nifty after yesterday inside bar pattern, did a gap up open and did not fill the gap and closed at highest point of the day.  On Hourly charts nifty held on to its hourly trendline, closed above its 21 EMA and knocking the door on close above 34 EMA.  As per gann box close above 2X1 line@8800 will add bullishness.  8820 should be watched closely tomorrow once crossed will add to bullish momentum as we have weekly closing.   As discussed yesterday Time Analysis shows big move round the corner we got 1 today expect another up move tomorrow.

nifty hourly

NIFTY - Gann Box

 

  • Nifty March Future Open Interest Volume is at 2.49 core with addition of 0.88 lakhs with decrease in cost of carry.Today NF premium has come down from 52 to 37 points suggesting short term bottom is in place and we can see a rally.
  • Total Future & Option trading volume was   at 1.61 core with total contract traded at 3.1,lakh. PCR @0.91.
  • 9000  CE  OI at 55 lakh but saw liquidation of 5.5 lakh,wall of resistance @ 9000 .8700/8900 CE liquidated 1.6 lakhs,so profit booking done by bears but still holding 33 lakhs which will be test bear’s strength tomorrow. FII bought 7.3 K CE longs and 13.3 K  CE were shorted by them.
  • 8500 PE OI@ 43.4  lakhs so strong base @ 8500. 8700/8800 PE  saw addition of 7.3 lakhs in addition to 10 lakh so bulls are warming up, but test will come tomorrow. FII added 15.2 K PE longs and 3.8K shorted  PE were covered by them.
  • FII’s bought 733 cores  in Equity and DII sold 381 cores in cash segment.INR closed at 62.5.

 

Buy above 8800 Tgt 8820 ,8852 and 8891 (Nifty Spot Levels)

Sell below 8765 Tgt 8735,8720 and 8700 (Nifty Spot Levels)

Click Here to Like Facebook Page get Real time updates

4 thoughts on “Nifty forms short term bottom, How to trade next move

  1. Bramesh Post author

    Hi Ajay,

    TC level was 8881 NF made High of 8874 and turned back. If you would have followed the system you would have made money and not pointing mistakes.

    AS a trader you need to change view as per changing market condition and most important thing is to control your risk.

    Thats where trading system comes and help us. Follow System be at ease.

    Rgds,
    Bramesh

  2. Ajay

    Wrong analysis again. The market tanked 1.5% and you are again bullish in your analysis.

  3. Vinit

    Good evening sir. I too have the exact point to make. I always thought that If the nifty premium has increased, it means more of longs in futures are getting added. Now that, the premium has reduced… How is it ready for a rally? Kindly throw some light on it. Thanks.

  4. fan

    G.e sir..this line in ur blog made me curious to know how variation in nifty premium suggest direction of nifty .”Today NF premium has come down from 52 to 37 points suggesting short term bottom is in place and we can see a rally”
    Can u elaborate thru a blog on charscteristics of nifty premium and its variation for our studying,it will be helpful.thanks

Leave a Reply