NIFTY Daily Technical Analysis

By | October 18, 2021 9:30 pm

  • FII sold 5.7 K contract of Index Future worth 606 cores, Net OI has decreased by 4.1 K contract 4.9 K Long contract were covered by FII and 813 Shorts were added by FII. Net FII Long Short ratio at 1.9 so FII used rise to exit longs and enter  shorts.
  • As discussed in Last Analysis  All Bullish target done. Till Bulls are holding 18214 rally can continue towards 18388/18456/18524. Bear will have chance below 18200 for a move towards 18148/18080/18013. We have double ingress of Monday Mercury and Jupiter going Ingress suggesting another big move coming. Another gap up day and all bullish target are done. FII’s are moving the index down only via gap up. In the entire day, the index is not giving much of movement.. Break of todays high and low will easily give 175-225 move in Nifty. Bulls need a close above 18450 for a move towards 18531/18586/18629. Bears will get active below 18430 for a move towards 18350/18275.

  • MAX Pain is at 18450 PCR at 0.95  , The PCR is in the neutral zone of 0.95
  • Nifty Oct Future Open Interest Volume is at 1.2 Cores with liquidation of 1 Lakh with decrease in cost of carry suggesting LONG positions were closed today.
  • There is total OI of 3.19 Cores on the Call side and .82  Cores on the Put side, So, the activity is more on the Put side, indicating option writers are bullishly confident.
  • The Option Table data indicates decent support at 18300 and reasonable resistance at 18600 .The option table is undergoing a real transformation – with each day one PE level is targeted with huge volumes of writing and the strike is giving way to much lower strikes.
  • Nifty has rallied 704 points in last 5 trading sessions and FII has bought just 1549 cr and DII’s jhave sold 5000 cr worth of equities so rally is driven by Retailers and today we had the highest Cash market volumes suggesting time to be cautious as rally is not driven by Instituions. 
  • Retailers have bought 581 K CE contracts and 485 K CE contracts were shorted by them on Put Side Retailers bought 511 K PE contracts and 490 K PE contracts were shorted by them suggesting having BEARISH outlook,On Flip Side FII bought 35.8 K CE contracts and 59.5 K CE were shorted by them, On Put side FII’s bought 60.9 K PE and 54.9 K PE were shorted by them suggesting they have a turned to BULLISH Bias.
  • FII bought 512  crore and DII sold 1703 cores. USD Closed at 75.41
  • For Positional Traders Stay long till we are holding Trend Change Level 17909 and stay short below it. That will help you stay on the side of Institutions and which has a greater risk-reward ratio. For Intraday Traders 18490  will act as a Intraday Trend Change Level.

Buy Above 18500 Tgt 18531, 18576 and 18600 (Nifty Spot Levels)

Sell  Below  18432  Tgt 18390, 18376 and 18336 (Nifty Spot Levels)

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