Foreign Institutional Investors (FIIs) displayed a bearish approach in the Nifty Index Futures market by shorting 5,331 contracts worth ₹327 crores. This resulted in a decrease of 7,513 contracts in the net open interest.
FIIs covered 8,503 long contracts and added 5,874 short contracts, indicating a preference for exiting long positions while building short positions. With a net FII long-short ratio of 0.34, it is evident that FIIs utilized the market fall to exit their long positions and increase their short exposure in Nifty futures.
On the other hand, Clients covered 13,774 long contracts and 8570 short contracts, reflecting some unwinding activity in both directions.
Current Positioning:
- FIIs: Holding 35% long and 65% short positions in Index Futures.
- Clients: Holding 64% long and 36% short positions in Index Futures.
This data highlights a cautious and bearish stance by FIIs, while clients remain relatively more optimistic with a higher percentage of long positions.
The impact of Astro and Gann Cycles, which we have been discussing in previous analyses, led to a sharp rally in Nifty. From a low of 23,263, the index rallied to 24,351 in just three trading sessions.
This demonstrates the power of combining Gann and Astro time cycles with price analysis to capture big trends in the market. Always look for the confluence of time and price cycles to identify high-probability setups and capitalize on major moves.
Tomorrow, the Mercury Retrograde impact, as discussed in the video below, is expected to bring heightened volatility to the markets.
Currently, Nifty is trading near its SAP and Monthly Gann TC confluence level of 24,201-24,270, which is a critical range for the next two trading sessions.
- For Bulls: A close above 24,270 could trigger a quick move toward 24,389/24,500/24,729.
- For Bears: A close below 24,166 could lead to a sharp decline toward 24,050/23,900.
Traders should closely monitor these levels to make well-informed trading decisions.
Nifty faced rejection for the second time from the SAP and Monthly Gann TC confluence level of 24,201-24,270. The high made at the open was 24,343, but the price witnessed a quick decline. Despite this, Nifty showed some resilience by holding and closing above the previous day’s low.
With Mercury Retrograde beginning today, traders should carefully watch these levels:
- Long Positions: Above 24,343, targeting a move of 150-212 points upward.
- Short Positions: Below 24,125, which could trigger a decline of 150-212 points downward.
Caution is advised, and traders should closely monitor these levels during tomorrow’s session to make informed decisions.
How to Remove Stress from the Trading Equation: Effective Strategies for Better Decision-Making
Nifty Trade Plan for Positional Trade ,Bulls will get active above 24290 for a move towards 24368/24446/24523. Bears will get active below 24117 for a move towards 24039/23961/23883.
Traders may watch out for potential intraday reversals at 09:22,11:19,01:19,02:01 How to Find and Trade Intraday Reversal Times
Nifty Nov Futures Open Interest Volume stood at 0.79 lakh cr , witnessing a liquidation of 13.3 Lakh contracts. Additionally, the increase in Cost of Carry implies that there was covering of SHORT positions today.
Nifty Advance Decline Ratio at 22:28 and Nifty Rollover Cost is @25178 closed below it.
Nifty Gann Monthly Trade level :24201 close above it.
Nifty has closed above its 20 SMA @ 24021 Trend is Buy on Dips till above 24000.
Nifty options chain shows that the maximum pain point is at 24200 and the put-call ratio (PCR) is at 1.02Typically, 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 24300 strike, followed by 24500 strikes. On the put side, the highest OI is at the 24000 strike, followed by 23800 strikes. This suggests that the market participants are expecting Nifty 50 to remain range between 24100-24400 levels.
In the cash segment, Foreign Institutional Investors (FII) bought 1157 crores, while Domestic Institutional Investors (DII) sold 1190 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 23408-24105-24801 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.
A professional trader isolates himself from the herd and has trained himself to become a predator rather than a victim. He understands and recognizes principles that drive the markets and refuses to be misled by good or bad news, tips, advice, brokers advice and well-meaning friends. When the market is being shaken-out on bad news he is in there buying. When the Herd is buying and the news is good he is looking to sell.
For Positional Traders, The Nifty Futures’ Trend Change Level is At 24035 . 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 24219 , Which Acts As An Intraday Trend Change Level.
Nifty Intraday Trading Levels
Buy Above 24225 Tgt 24266, 24299 and 24343 ( Nifty Spot Levels)
Sell Below 24166 Tgt 24135, 24098 and 24066 ( 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.