Nifty Trading Stratergy for 26 Nov

By | November 26, 2012 9:11 am

 

1. FIIs  bought 786 Contracts of Index Future (NSE Nifty Futures and Bank Nifty Futures combined),worth 14.3 cores with net Open Interest increasing by 6630 contracts.

2. As Nse Nifty Future was down by 7 points with Open Interest in Index Futures increasing by 6630, so FIIs book profit in longs of  Nifty and Bank Nifty Futures.

3. NS closed at 5627 after making a high of 5638 and low of 5594. 5594 was the rising trendline support and we have discussed the same in Weekly analysis So 5594 is the number to be watched. Any close below it will start new leg of downtrend. On Upside Range of 5636-5652 will tricky range.

4. Resistance for Nifty has come up to 5643 and 5652 which needs to be watched closely ,Support now exists at 5618 and 5594.Trend is Buy on Dips  till 5585 is not broken on closing basis.

5. Nifty  Future November  Open Interest Volume is at 1.27 cores with liquidation of  6  lakh in Open Interest,longs booked profits. Cost of Carry of NF decreased to 5. Rollovers have still not started in NF as Index Future expiry is just 3 days away with Wednesday being an Holiday, This is implying we will get one big move in any of the 3 trading days.

6. Total Future & Option trading  volume was  at 1.34 lakh  Cores  with total contract traded at  1.71 lakh,  PCR (Put to Call Ratio) at 0.95 and VIX  at  14.68.

7.  5800 Call Option  is having second highest Open Interest of 85 Lakhs with liquidation of 0.23 lakhs in Open Interest  ,5700 Call Option is having highest OI as it added 6.6 lakhs  total OI at 87 lakhs ,5600 Call Option liquidated 2.8 lakhs in OI as Nifty closed well above 5600 and should now act as support and 5700 as resistance. 5300-6000 Call Options liquidated 3.1 lakhs in OI.

8. 5500 Put Option is having  Open Interest of 84 lakhs with liquidation of 7.2 lakhs in OI. 5600 PE liquidated 9.2  lakhs in OI so Bulls are getting jittery at higher levels .5300-6000 Put Options liquidated huge 22 lakhs in OI.Such a huge liquidation shows Bulls getting scared at higher level till range of 5652-5672 is not crossed.

9. FIIs  buying in Equity in tune of  366 cores and DII  sold 184 cores in cash segment.Indian Rupee ,INR closed at  55.26 Live INR rate  @ http://inrliverate.blogspot.in/).

10. Nifty Futures Trend Deciding level is 5647(For Intraday Traders), Trend Changer at 5681 NF(For Positional Traders). (Above this Level Bulls will rule Nifty/Below this levels Bears have upper hand).  Bank Nifty Future Trend Changer Level 11505.

Buy above 5632 Tgt 5643,5652,5666

Sell below 5618 Tgt 5600,5584 and 5569(Nifty Spot Levels)

Disclaimer: These are my personal views and trade taken on these observation should be traded with strict Sl

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