Closing Range - 19171/19390. Extended range - 19090/19471.
Nifty saw around 300 points down move in the last trading session and formed a Bearish Kicker candle with close under 100 DMA, but with a low volumes. Nifty is at a critical support level and risk reward ratio is in favour of bulls but if this level breaks on closing basis, Nifty can open to fill gaps at 19170 and then at 19000 in coming days. Brent & bullion has cooled down a bit & can give some relief from the falling Nifty. On the upside we can see a recovery of around 70-80 points as per Options data but that should be trusted only if closing candle negates the Bearish Kicker.
Possible trade: Trade in the direction of Nifty post 1 hour with SL of the top/bottom of the 1st hour candle.
P.S. - 0.5%-1% return on capital can be considered good in intraday. Trade with strict SL within the ranges mentioned above.
Nifty saw around 300 points down move in the last trading session and formed a Bearish Kicker candle with close under 100 DMA, but with a low volumes. Nifty is at a critical support level and risk reward ratio is in favour of bulls but if this level breaks on closing basis, Nifty can open to fill gaps at 19170 and then at 19000 in coming days. Brent & bullion has cooled down a bit & can give some relief from the falling Nifty. On the upside we can see a recovery of around 70-80 points as per Options data but that should be trusted only if closing candle negates the Bearish Kicker.
Possible trade: Trade in the direction of Nifty post 1 hour with SL of the top/bottom of the 1st hour candle.
P.S. - 0.5%-1% return on capital can be considered good in intraday. Trade with strict SL within the ranges mentioned above.
Large price movements with low volumes signal retail going bonkers. So, though it wasn't supposed to be panic day, it appeared to be so & has led to a negative sentiment.