Nifty Forms Outside Bar EOD Analysis

By | December 16, 2021 9:30 pm

  • FII bought 9.4 K  contract of Index Future worth 828 cores, Net OI has decreased by 9.5 K contract 30 Long contract were covered by FII and 9.4 K Shorts were covered by FII. Net FII Long Short ratio at 1.26 so FII used RISE to EXIT longs and EXIT Shorts.
  • As Discussed in Last Analys  As Fed event is out now we should see trending move. Plan remains the same for Swing Traders Bulls need to move above 17325 for a move towards 17374/17440/17506. Bears will have chance below 17225 for a move towards 17158/17095/17000. Nifty opened with gap up and once below 17225 failed tp do any target on downside so we got whipsaw and we have formed an Outside bar pattern which is strong reversal pattern. Now Bulls need to move above 17323 for a move towards 17381/17447/17512. Bears below 17174 for a move towards 17108/17049/16983.

  • MAX Pain is at 17300 PCR at 0.69, Nifty Rollover cost @ 17538 closed below it
  • Nifty Dec Future Open Interest Volume is at 1.08 Cores with liquidation of 11.6 Lakh with increase in cost of carry suggesting LONG positions were closed today.
  • There is total OI of 3.84 Cores on the Call side and 2.24 Cores on the Put side, So, the activity is more on the CALL side, indicating option writers are  in BEARISH zone.
  • FII have bought significantly more number of options than writing them today. It matches with our estimate yesterday that, a direction is round the corner. Diffrence is almost double between Call Writers and Put Writers  indicating market can rally on Upside to take Call Writers by Surprise.
  • The Option Table data indicates decent support at 17100 and reasonable resistance at 17400.
  • FII’s sold 3407 cores and DII’s bought 1553 cores in cash segment.INR closed at 76.22
  • Many people know that FII’s control the ebb and flow of the markets, but what many people do not read is the trades executed by these institutions in futures and options which have a large bearing on the immediate trend.
  • In the markets Buyers make money, Sellers make money–it’s the pigs who get slaughtered ! Definition of a Pig : Greedy short term player, looking for small profits with big risk and no knowledge of the markets. Same is happening in last few days.
  • For Positional Traders Stay long till we are holding Trend Change Level 17316 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 17283 will act as a Intraday Trend Change Level.

Buy Above 17280 Tgt 17312, 17343 and 174376 (Nifty Spot Levels)

Sell Below 17225 Tgt 17201, 17177 and 17143 (Nifty Spot Levels)

As always I wish you maximum health and trading success

Category: Nifty Technical Analysis

About Bramesh

Bramesh Bhandari has been actively trading the Indian Stock Markets since over 15+ Years. His primary strategies are his interpretations and applications of Gann And Astro Methodologies developed over the past decade.

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