Nifty breaks 8656 and does 8600, Oct Expiry Analysis

• FII’s sold 4.7 K contract of Index Future worth 232 cores ,3.8 K Long contract were added by FII’s and 8.6 K short contracts were added by FII’s. Net Open Interest increased  by 12.5 K contract, so fall in market was used by FII’s to enter long and enter shorts  in  Index futures.  Why Do Traders Lose? Part-I

•  As discussed last Analysis 8710-8732 is crucial range for bulls as its gann resistance  and 8601-8610 is support on downside below which bears will start   warming up again. Between the range choppy move continue. High made today was 8722 so bulls were unable to breach the gann resistance zone, Its been 4 trading days in which bulls were not able to break the resistance zone, Low made was 8663 so bears were unable to break 8656. Now bears if they break below 8656 can see fast impulsive fall towards 8600/8555. Bullish only on close above 8750 for a move towards 8840/8900. Nifty opened at 8657 and as soon as 8656 bears became active and pushed nifty towards, now closing below 8600 can see nifty correcting 8555/8511. Bullish only above 8656.   Nifty Bank Nifty breaks 19700 and does 19500 same day,EOD Analysis

• Nifty Oct Future Open Interest Volume is at 1.23 core with liquidation of 16.5 Lakh with decrease in cost of carry suggesting short position were closed today, NF Rollover cost @8777,corrected 250 points.
  

• Total Future & Option trading volume was   at 6.20 Lakh core with total contract traded at 1.66 lakh , PCR @0.84 , Trader’s Resolutions for the New Financial Year 2016-17

• 8800  CE  is having Highest OI  at 60.4 lakh, resistance at 8800 .8600/8800 CE  added 35.3 lakh so bears  added in 8700-8800 range  .FII sold 0.02 K CE longs and 4 K CE were shorted by them .Retail bought 92.6 K CE contracts and 12 K CE were shorted by them.
  

• 8500 PE OI@50 lakhs having the highest OI strong support at 8500. 8500-8700 PE liquidated 31 Lakh in OI so bulls  ran for cover in 8700-8600 PE as Nifty continue to close below 8750. FII bought 4.1 K  PE longs  and 11.6 K shorted PE  were covered by them .Retail sold 56 K PE contracts and 13.8 K shorted PE were covered by them.

• FII’s sold 1450 cores in Equity and DII’s bought 989 cores in cash segment.INR closed at 66.83
  

• Nifty Futures Trend Deciding level is 8690 (For Intraday Traders). NF Trend Changer Level (Positional Traders) 8688 How to trade Nifty Futures and Bank Nifty Futures as per Trend Changer Level

Buy above 8625 Tgt 8649,8670 and 8700 (Nifty Spot Levels)

Sell below 8585 Tgt 8560,8530 and 85001 (Nifty Spot Levels)

Upper End of Expiry:8680

Lower End of Expiry:8550

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