Nifty Analysis for 05 Jan

• FII bought 7666 contract of Index Future worth 661cores, Net OI has decreased by 7.1 K contract 259 Long contract were added by FII and 7.4 K Shorts were covered by FII. Net FII Long Short ratio at 2.65 so FII used RISE to ENTER Longs and EXIT Shorts.

• As discussed in last analysis Mercury Ingress and  Mercury Trine North Node aspect  happened on 02 Jan, Mercury  is ruling plannet of Nifty and North Node generally creates havoc in market and same we saw today with a big rally in Nifty. Bulls need to move above 17650 for a move towards 17712/17777/17844. Bears below 17581 for a move towards 17515/17449/17383. Low made was 17593 so bears unable to break 17581 , and Bulls once above 17650 did 3 target on upside and now till we are holding 17773 -17742 range rally can extend towards 17890/17976. Bears will have chance below 17705 for a move towards 17656/17600

• Intraday time for reversal can be at 9:37/10:36/11:09/1:07/2:01 How to Find and Trade Intraday Reversal Times

• MAX Pain is at 17700 PCR at 0.86, Rollover cost @1728 closed above it. 

• Nifty Jan  Future Open Interest Volume is at 1.05 Cores with liquidation of 0.92 Lakh with increase in cost of carry suggesting LONG positions were closed today.

• There is total OI of 4.4 Cores on the Call side and 6.6 Cores on the Put side, So, the activity is more on the PUT side, indicating option writers are  in BULLISH zone.

• Retailers have bought 242 K CE contracts and 182 K CE contracts were shorted by them on Put Side Retailers bought 266 K PE contracts and 172 K PE contracts were shorted by them suggesting having BEARISH outlook,On Flip Side FII sold 9.8 K CE contracts and 636 CE were shorted by them, On Put side FII’s bought 14 K PE and 21.3 K PE were shorted by them suggesting they have a turned to BULLISH Bias.

• The Option Table data indicates decent support at 17500 and reasonable resistance at 17900.

• FII’s bought 1273 cores and DII’s bought 532 cores in cash segment.INR closed at 74.78

• December series had a maximum roll-overs of around 242 Lakh contracts in last 4 days of trading . The NF was trading in the range between 17332-16984. Whenever, the price band is approached, expect some violent reactions. — Closed at 17409 and today gave bumper rally. 

• We will have Weekly,Monthly,Quaterly,Yearly closing tommrow its a rare event , Nifty is  up by just 23 % for the whole year. Bulls would like to close in range of 17325-17343  for a good begining in New Year 2022. Closed at 17354 and today gave bumper rally. 

• For Positional Traders Stay long till we are holding Trend Change Level 17505 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 17757 will act as a Intraday Trend Change Level.

Buy Above 17830 Tgt 17860, 17890 and 17925 (Nifty Spot Levels)

Sell Below 17773 Tgt 17742, 17710 and 17666 (Nifty Spot Levels)

As always I wish you maximum health and trading success