- U.S Markets closed higher Yesterday.
- Right now Dow Futures are lower.
- Asian markets are mixed.
- SGX nifty is up 70-80 points.
- Yesterday U.S GDP was announced.
- Estimates were -1.2% but it actually came in at -1.5%.
- So it was clearly worse than expected.
- In spite of the same U.S Markets rallied yesterday.
- Price action depicts that the news has already been factored in.
- Yesterday as expected Nifty traded within 15900 to 16200.
- But there were massive swings Intraday.
- As soon as Market opened with a gap up there was immediate selling.
- From 15900 Nifty made a huge short covering and rallied 300 points.
- Before yesterday for last 3 trading sessions Nifty was having recoveries of 100-150 points Intraday but all those were sold into by end of the day.
- Acticipating similar action yesterday , many traders have sold call options and these options went 7X-10X in no time.
- 16050 CE made a low of 6rs yesterday at 12 and closed at 120.
- Buyers have benefitted a lot and sellers got ruined.
- Clearly the Market is dangerous for option writing now so you have to focus on buying strategies or spreads would work the best.
- One should understand and adjust to market conditions than being stubborn.
- Nifty might Trade between 16100 to 16400 today.
- Nifty is in a range of 16k to 16400
- Big move would come only if any of this gets broken until then there's only consolidation.
- stockmarketadvisory.in
1. U.S Markets closed lower on Friday. 2. Dow Jones was flat. 3. Nasdaq was the underperformer. 4. Gift Nifty is down 30-40 Points. 5. Asian markets are mostly lower as well. 6. Friday the Nifty opened with a gap down of 200 points. 7. Within the next 10 minutes , Nifty recovered 100 points. 8. Bulls expected recovery is on the cards but Nifty started to Crack. 9. Bank Nifty was holding up Nifty for most of the while. 10. It couldn't be able to provide much of a support and Bank nifty also began to correct. 11. The issue now is market has had vertical rallies. 12. One way quick rallies so now the downfall will also be vertical. 13. When markets go up quick , they come down quicker. 14. Infy dragged the mood and also HUL didn't post extraordinary results so it was also a laggard. 15. Banks tried hard to hold the markets but couldn't. 16. Over the weekend , AU Bank and icici bank reported very good numbers. 17. These banks have already rallied a lot before results
Comments