Foreign Institutional Investors (FIIs) displayed a Bullish approach in the Nifty Index Futures market by Buying 3774 contracts worth ₹234 crores, resulting in a decrease of 2808 contracts in the net open interest. FIIs covered 2574 long contracts and added 5892 short contracts, indicating a preference for covering long positions and adding short positions. With a net FII long-short ratio of 0.89 , FIIs utilized the market rise to exit long positions and add short positions in Nifty futures. Clients added 11242 long contracts and covered 6149 short contracts.
Nifty moved above the 24638 level and closed above it. As long as the bulls hold 24638 , they maintain the upper hand. If they fail to do so and the price closes below 24638 , it could revisit 24500. Today, with Moon Declination in play, we can expect a volatile move.
Nifty continued its higher high formation as the price rallied for five consecutive days. According to Gann’s Rule, if the market rises for five consecutive days, there is a high probability that a correction will last for three days (following a 5:3 ratio). For the correction to commence, the price needs to close below 24,654. However, if the price moves above 24,800, the probability of reaching a new all-time high increases. Additionally, with the Sun moving into Virgo tomorrow, it’s wise to keep PSU stocks on the radar for potential opportunities.
Nifty Trade Plan for Positional Trade ,Bulls will get active above 24757 for a move towards 24836/24914/24992. Bears will get active below 24601 for a move towards 24522/24444/24300
Traders may watch out for potential intraday reversals at 09:38,11:43,12:43,01:05,02:30 How to Find and Trade Intraday Reversal Times
Nifty Aug Futures Open Interest Volume stood at 1.07 lakh cr , witnessing a liquidation of 0.54 Lakh contracts. Additionally, the increase in Cost of Carry implies that there was a covering of SHORT positions today.
Nifty Advance Decline Ratio at 37:13 and Nifty Rollover Cost is @24503 closed below it.
Nifty Gann Monthly Trade level :24592 close above it.
Nifty closed above its 20SMA @24502 Trend is Buy on Dips till above 24592
Nifty options chain shows that the maximum pain point is at 24800 and the put-call ratio (PCR) is at 1.34 Typically, when the PCR open interest ranges between 0.90 and 1.05, the market tends to remain range-bound.
Nifty 50 Options Chain Analysis
The Nifty 50 options chain indicates that the highest open interest (OI) on the call side is at the 24800 strike, followed by 24900 strikes. On the put side, the highest OI is at the 24700 strike, followed by 24600 strikes. This suggests that the market participants are expecting Nifty 50 to remain range between 24600-24900 levels.
In the cash segment, Foreign Institutional Investors (FII) sold 799 crores, while Domestic Institutional Investors (DII) bought 3097 crores.
Traders who follow the musical octave trading path may find valuable insights in predicting Nifty’s movements. According to this path, Nifty may follow a path of 23889-24600-25310 This means that traders can take a position and potentially ride the move as Nifty moves through these levels.Of course, it’s important to keep in mind that trading is inherently risky and market movements can be unpredictable.
If you have just experienced a significant loss in the market, you are going through emotional pain whether you know it or not. To be clear, a big loss is relative to the trader. For some perfectionist, a big loss could be losing 2% on a trade or for the riverboat gamblers; it could be a larger figure.
For Positional Traders, The Nifty Futures’ Trend Change Level is At 24554 . Going Long Or Short Above Or Below This Level Can Help Them Stay On The Same Side As Institutions, With A Higher Risk-reward Ratio. Intraday Traders Can Keep An Eye On 24754 , Which Acts As An Intraday Trend Change Level.
Nifty Expiry Range
Upper End of Expiry : 24973
Lower End of Expiry : 24626
Nifty Intraday Trading Levels
Buy Above 24820 Tgt 24864, 24920 and 24973 ( Nifty Spot Levels)
Sell Below 24770 Tgt 24729, 24687 and 24610 (Nifty Spot Levels)
Wishing you good health and trading success as always.As always, prioritize your health and trade with caution.
As always, it’s essential to closely monitor market movements and make informed decisions based on a well-thought-out trading plan and risk management strategy. Market conditions can change rapidly, and it’s crucial to be adaptable and cautious in your approach.