EquityCompound2

31st Jan' 2022 (Evening)  --  | Written at 9.00 PM | Specially driven by the rally in US on Friday, Indices opened to strong global cues today. After opening gap up, the indices continued to hover in the positive territory for most of the time. While Bank Nifty for a small time, got into red, Nifty never even came close to Friday close. Nifty made a a small bullish candle with a higher high and higher low compared to yesterday, Bank Nifty actually made an inside candle and is playing in a range.  Nifty  Support First support at 17250 Second support at 17075 Resistance  First resistance at 17425 Second resistance at 17650 Bank Nifty Support First support at 37650 Second support at 37975 Resistance  First resistance at 38200 Second resistance at 38425 While the levels above are technically visible on the charts, my conviction is not high as the markets would be driven more from the news flow, rather than the technical levels. Trending price action may see sud...

28th Jan' 2022 (Evening)  --  | Written on 30th Jan' 2022 at 5.30 PM | So after a very volatile and interesting Jan series, Feb started with the anxiety driven from the Budget 2022. FII started the Jan series with 66% longs on Index futures and closed their longs to enter the Feb series with just 33% longs.  Indices on Friday opened gap up and tried to make further gains, however faced stiff resistance at the day highs and were eventually sold off to cool a bit. Nifty lost almost 300 points and Bank Nifty 800 points in the last two hours of Friday. Nifty Support First support at 17025 Second support at 16825 Resistance First resistance at 17225 Second resistance at 17375 Bank Nifty Support First support at 37500 Second support at 37000 Resistance First resistance at 37975 Second resistance at 38400 US markets on Friday made a decent up move and that could help improve the sentiment on our streets as well. Expect to see positive Cues tomorrow. However, keep in mind that to...

25th Jan' 2022 (Evening)  --  | Written on 26th Jan' 2022 at 10.00 PM | After some disappointing days, what a day it was. Nifty making 440 point recovery from the lows and Bank Nifty making almost 1300 point recovery from its lows.  My notes on 24th (Monday) pointed that it is a news based volatile markets and sharp movements can be expected. Interesting is that the Indices picked support from the exact levels mentioned in my notes on Monday.  While on Monday there was practically no put writing, Tuesday was a day of unwinding. Be it long or short options on both sides, they were just unwound and exits taken. Probably because of the off, a day before the monthly expiry (one that is leading to the budget). Except Bank Nifty did see some reasonable put writing. Nifty  Support First support at 17175 Second support at 17050 Resistance First resistance at 17325 Second resistance at 17525 I would maintain a bullish outlook, till the Index is above 17050, be neutral be...

24th Jan' 2022 (Evening)  --  | Written at 11.30 PM | Markets opened to extremely weak global cues and opened gap down. A continuous relentless selling was seen since the opening and the Indices fell to a low of 16997 and 36375 on Bank Nifty. While Bank Nifty saw a reasonable recovery from the lows, Nifty kind of closed marginally above the lows. Almost all Global markets are seeing a sell off due to the concerns arising from the FED rate rise expectations and the Russia Ukraine tensions. US markets are currently trading 3-4% down. If the closing is as deep in US, we may see a serious gap down opening tomorrow and that could trigger further selling. Nifty  Support First support at 17825 Second support at 16675 Resistance First resistance at 17275 Second resistance at 17650 ( does not seem to be relevant as yet) Bank Nifty Support First support at 36375 Second support at 35400 Resistance  First resistance at 37075 Second resistance at 37750 (Does not seem to be releva...

21st Jan' 2022 (Evening)  --  | Written on 23rd Jan' 2022 at 9.00 PM | Page 1/2 seeing the strong sentiment in US on Thu evening, I was expecting the markets to open a bit strong on Friday. However, a sharp fall of all US Indices from their highs led to a decline in the sentiment on our streets also.  I mentioned on Friday morning that the US markets are entering into sell on rise mode and this would definitely put pressure on our markets as well. Both Nifty and Bank Nifty made Doji candles on the daily chart. The reaction to the further slip in the US on Friday would reflect on our markets tomorrow.  It would be important to note that while Nasdaq, Dow and S&P are 15%, 7% and 8% away from their all time highs. Nifty and Bank Nifty are 5.3% and 10% away.  On a weekly chart, both Nifty and Bank Nifty have made a bearish engulfing candles and market has to, now,  hunt for a support.  Nifty  Support First support at 17475 Second support at 17350 ...

20th Jan' 2022 (Evening)  --  | Written at 11.00 PM | Markets opened to a weak set of global cues and after an initial rise, started sliding, only to recover again. Both the indices kind of made a bearish candle with a reasonable lower shadow. There were clear symptoms of selling at the higher levels and at the same time, buying comes in at lower end of the day range. While, the pattern was similar yesterday and today, the DII were net sellers yesterday, while today they were buyers. FII have been selling heavily again. Today their selling was more than 4500Cr and they also heavily the Index longs and shorted the Index as well. A synergetic bearish position from their side. Seems there has been buying in an attempt to hold the markets from the DII side. Nifty Support First support at 17650 Second support at 17350 Resistance First resistance at 17850 Second resistance at 17975 If 17650 is taken down tomorrow, the next level comes in only at 17350, so a deep correction may be se...

19th Jan' 2021 (Evening)  --  | Written at 11.00 PM | Markets were choppy today, as they opened to weak global Cues with US closing deep in red and US Futures opening in red and Asian markets also subdued. The charm returned with a recovery in US futures and as the cuts shallowed, the Indian indices also breathed as sigh of relief. Bank Nifty was out performing Nifty heavily, it kind of help strong today as well. With Nifty closing almost 1% down, Bank Nifty was still just 0.5% down today. Nifty  Support First support at 17875 Second support at 17700 Resistance  First resistance at 18000 Second resistance at 18075 Bank Nifty Support First support at 37775 Second support at 37450 Resistance  First resistance at 38200 Second resistance at 38450 FII sold for a heavy 2700Cr today and DII also were net sellers though for a small amount. With an institutional selling of almost 2800Cr, I had expected the market to have closed much deeper today, somehow the indices held...

17th Jan' 2022 (Evening)  --  | Written at 11.30 PM | Due to paucity of time making it short today. Nifty Support First support at 18260 Second support at 18120 Resistance First resistance at 18450 Second resistance at 18600 Nifty closed above its resistance at 18300 today. If it sustains here tomorrow, then it would be looking at the next second highest level of 18450. So a new all time high could be on the cards from here. Bank Nifty Support First support at 38100 Second support at 37425 Resistance  First resistance at 38450 Second resistance at 38750 Bank Nifty was trading in a tight range today and could give a breakout tomorrow. With so much consolidation in the current range, a breakout could turn out to be fast and furious here. With US markets closed today, the action at our markets was low volume and thin. Tomorrow could be a strong trending day. Bank Nifty seems to be under pressure here. Partially driven by dilution of prepositioning on HDFC Bank.  We may ...

14th Jan' 2022 (Evening)   --  | Written on 16th Jan' 2022 at 5.00 PM | Page 1/2 Indices opened gap down on Friday and then slid further to test their support levels. Bank Nifty specially tested its support at 38025 that i mentioned in my notes on Thu and Nifty made a low of 18119, while i mentioned the support of Nifty at 18000. However, both indices recovered from their lows and then made a second dip to retest the above levels, but then made a strong recovery to close strong and made bullish candles on the daily chart. Nifty Support First support at 18125 Second support at 18000 Resistance First resistance at 18300 Second resistance at 18450 Bank Nifty Support First support at 38000 Second support at 37425 Resistance First resistance at 38450 Second resistance at 38750 Page 2/2 Price action vise Bank Nifty has already tested a critical support at 38000 on Friday, so a breach of this support could slide it deeper to 37500 levels. However, the price action was distorted ...

13th Jan' 2022 (Evening)  --  | Written at 11.00 PM | Responding to strong global cues, the markets opened flattish. While Nifty kind of consolidated in a range, Bank Nifty slid through the day. While Nifty closed exactly where it opened, Bank Nifty closed lower and made a bearish candle on the daily chart. Its first after 10 bullish candles. Nifty is now very close to its only resistance of 18350, before its all time high. If this one is taken down, Nifty would then be staring at its all time high and may be take it down. Nifty Support First support at 18175 Second support at 18000 Resistance  First resistance at 18350 Second resistance at 18450 Bank Nifty Support First support at 38375 Second support at 3025 Resistance  First resistance at 38750 Second resistance at 39200 FII sold for 1390Cr in cash today, however they created 17667 Longs on Index futures. Their stance is extremely bullish on this side. Dollar Index has now eased below 95 and is now trading at 94.7...

12th Jan' 2022 (Evening)  --  | Written at 10.00 PM | Following strong global cues, The indices opened gap up today. Nifty opened 120 points up and Bank Nifty opened 280 points up. However, after making a sharp rise initially, they continued to trade in a narrow range. Nifty traded in a range of 100 points and Bank Nifty traded in a range of 250 points. There were clear signs of a tussle between the Bulls and Bears for the day. The narrow range has to explode now. Which side? Nifty Support First support at 18125 Second support at 17875 Resistance First resistance at 18250 Second resistance at 18350 Bank Nifty Support First support at 38600 Second support at 38025 Resistance First resistance at 38850 Second resistance at 39200 FII resumed their selling again by selling for 1000Cr today in cash. They were kind of neutral on FnO side. They sold as may calls as they sold puts and bought as many calls as they bought puts. As mentioned yesterday, a clear direction is yet to evolve. ...

11th Jan' 2022 (Evening)  --  |  Written at 10.00 PM  | Responding to the weak global cues, Markets today opened flat, but then consolidated and closed slightly higher compared to yesterday. While Nifty kind of rose gradually through the day, Bank Nifty was sold off to its support level immediately after opening and then picked support to close higher. The intraday range today was not very high but the recovery demonstrated was awesome. At one time it was trading 300 point lower than yesterdays close, but it managed to close in green.  While Nifty made a bullish candle, Bank Nifty made a small bullish candle with a large lower shadow, indicating buying at lower levels. Nifty Support First support at 18000 Second support at 17875 Resistance  First resistance at 18100 Second resistance at 18200 Bank Nifty Support First support at 38250 Second support at 38025 Resistance  First resistance at 38500 Second resistance at 38775 FII today bought for 111Cr in c...

10th Jan' 2021 (Evening)  --  | Written at 10.00 PM  | While the Global Cues were subdued this morning, our markets opened gap up, with Nifty around 100 points in green and Bank Nifty around 200 points in green. The Indices got sold off after an initial rise and then picked support at 17880 and 37930 respectively, consolidated from here and then zoomed in the second half to close higher. While Nifty closed just above its resistance at 18000, Bank Nifty was particularly strong today and it kind of convincingly breached its resistance at 38000, closing at 38347. Banks seem to be making the best of rising interest rates. Nifty Support First support at 17900 Second support at 17700 Resistance First resistance at 18125 Second resistance at 18200 Bank Nifty Support First support at 37925 Second support at 37430 Resistance  First resistance at 38450 Second resistance at 38775 FII sold today for a nominal 125Cr and DII bought for 481Cr, however, on the Index futures side, th...

7th Jan' 2022 (Evening)  --  | Written on 9th Jan' 2022 at 11.45 pm | After making some stellar move in the week, the indices felt some resistance on Friday. With Nifty making 3 bullish candles on a weekly chart and Bank Nifty making 2 bullish candles, they both made a Doji kind of candle on Friday. Markets faced a stiff resistance at 18000 and 38000 for Nifty and Bank Nifty, however, they had support on the lower side as well.  From an options OI standpoint, a wider range for the market could be anticipated for this week. This is logical as well, considering the level the markets have picked in one rally. However, i would look at the following levels : Nifty Support First support at 17700 Second support at 17650 Resistance  First resistance at 17900 Second resistance at 17975 Bank Nifty Support First support at 37425 Second support at 37050 Resistance  First resistance at 37850 Second resistance at 38150 FII bought for ~500Cr on Friday, DII on the other hand we...

5th Jan' 2022 (Evening)  --  | Written at 11.00 PM | Markets continued to be in bullish mode today as well. While Nifty took some time to shoot, Bank Nifty on the other hand was bullish throughout the day and there was no sign of weakness.  Nifty Nifty made a bullish candle on the daily chart for the fourth (and the first four) consecutive days of this months series. Support First support at 17790 Second support at 17675 Resistance  First resistance at 18025 Second resistance at 18125 Nifty is now close to an important resistance at 18000. Beyond this we could see the momentum elevating up to 18125. What a move it is so far. Bank NIfty Bank Nifty actually surprised me today. After kind of struggling a bit yesterday, it gave a stellar rally today. While i was still bullish and expected it to move upto 37500, i did not expect it to happen today itself. Support First support at 37275 Second support at 36775 Resistance  First resistance at 37900 Second resistance at...

4th Jan' 2022 (Evening)  --  | Written at 10.00 PM | Markets opened gap up today, made some gains, gave an indication of some profit booking twice but then in the last two hours made a steep rise to close at the day highs. Reliance, HDFC Bank, SBI and some IT names were behind this second half rally. Nifty Nifty opened 60 points higher and then gained another 50 points before some profit booking was seen. This cycle was repeated once again and then in the second half a sharp rise was seen to close at day high. Nifty made a strong bullish candle on the daily chart with a decent lower shadow. Support First support at 17675 Second support at 17590 Resistance  First resistance at 17825 Second resistance at 17950 Bank Nifty Bank Nifty opened 130 points higher and then gained another 300 points, saw some profit booking and then again saw a sharp rise to close at the day highs. Bank Nifty made a bullish candle on the daily chart with a small lower shadow. Support First support a...

3rd Jan' 2021 (Evening)  --  |  Written at 11.00 PM | As mentioned yesterday, the markets shot like an arrow, right from the time of opening and then did not stop for even a breather. A classis day to make money. Hope it helped the readers of my notes. Nifty Nifty opened marginally in green and then made a strong bullish candle on a daily chart. The candle had practically no upper shadow, closing at upper end of the range today. Support First support at 17550 Second support at 17350 Resistance First resistance at 17650 Second resistance at 17825 Above 17650, seems Nifty has opened gates to climb to reach 17825. A close above 17825 would be vital for the next move. However, some consolidation at the current level (17350-17650) is possible before the next expansion. Bank Nifty Bank Nifty also followed a similar trajectory as Nifty, though with a higher intensity. Making a strong bullish candle and closing at the upper end of the trading range today. Support First support at...

31st Dec' 2021 (Evening)  --  |  Written on 1st Jan' 2021 at 9.20 PM  | Page 1/2 Wow, what an encouraging day, it was. First day of the January series and it sent out good vibes. Lets understand this better in the notes below. Lets look at some data points first.  FII buying in cash was complimented by a synergetic stance on the futures and options side. Cash buying was supported by creation of 10888 longs on Index futures and also a good number of longs on Stock futures. Decent unwinding of short on stock futures. Writing of a two puts for ever call. The options OI indicate a good amount of Put writing ATM and call writing at far OTM. Options OI indicate a support at 17300 for Nifty and 35500 for bank Nifty.  On the charts, on weekly time frame, Nifty made a second consecutive bullish candle and closed above its 9WEMA. On the daily chart, it is now close to its previous resistance level of 17380. A follow up trade tomorrow, could help take this down and su...

29th Dec' 2021 (Evening)  --  |  Written at 10.00 PM  | 1. FII were net sellers for 975 Cr today, while DII were buyers for 1006 Cr. A net buying of 31 Cr from the institutional side. 2. FII's created 6851 longs and created 8738 shorts on the index futures 3. On the option front FII  sold 64314 calls and   unwound 16367 puts. They also bought 75185 calls and  bought 23479 Puts. 4. For next week expiry, Nifty has the highest OI for PE at 17000 followed by 16700 and highest OI for CE is at 17500 followed by 17300. Highest Put writing was seen at 17100-17200 and highest call writing was seen at 17300 levels. 5. For the next week expiry, Bank Nifty has the highest OI for PE at 35000 followed by 34500 and highest OI for CE is at 35500 followed by 36500. Highest Put writing was seen at 35000 and highest call writing was seen at 35000-35500 levels.  6. Asian markets closed mixed today. Europe also trading mixed today 7. US markets trading mixed with...