- U.S Markets closed higher yesterday.
- Right now Dow futures are higher.
- SGX nifty is higher
- Yesterday it was a highly Volatile expiry.
- Generally on volatile days we get a 2 way swing
- But what was surprising is it was a 3 way swing yesterday.
- Nifty from 15400 went towards 15630 then fell back to 15400 only to hit 15600 again.
- These types of volatility happen generally on monthly expiry.
- This is because of huge volumes plus futures expiry also lead to such Volatility.
- Now a days weekly expirys have been witnessing such Volatility.
- This Volatility many say is good for option buyers & bad for option sellers etc.
- I don't agree to this.
- Volatility is not good for anybody.
- Yesterday buyers who expected more upmove / downmove also got trapped
- In such times it makes sense to wait till Volatility subsides
- Until then it's better to trade only small positions and most of it Intraday.
- Auto Stocks are looking to have bottomed out.
- They have been moving higher.
- Other sectors are still witnessing the pain.
- Yesterday I mentioned an important level of 15400 and Market bounced twice from these levels.
- Range of 15400 to 15700 is likely to continue with huge Volatility.
- stockmarketadvisory.in
U.S Markets closed higher yesterday. Most importantly , S&P 500 VIX crashed 10%. There was huge Volatility in global markets due to Fed event. Markets remain volatile only when they have topped out or have bottomed out. Right now I feel we have bottomed out at 16850. Asian markets are slightly lower now. Dow futures are lower. SGX Nifty is at 17500. Finally , the most awaited day has come. Budget 2022 is going to be presented today. Expectations are of a good and stable budget. Reasons are the Elections coming up and LIC IPO in March. Govt very well knows if LIC IPO has to go through , Market sentiment has to be good. Without good market spending it would be very difficult for IPO to go through. Market had already fallen a lot before the budget. Although we have rallied in last 2 days but still we have some upside left. Though I feel it's not favourable to chase today's gap up. Today's gap up is a good opportunity to book profits those who carried longs. Bud
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