EquityCompound2

28th October' 2022 (Evening)   --   |  Written at 9.30 PM on 30th October' 2022   | The last month closed on a high note. Starting weak, the month of October saw decent gains and closed almost at month highs. Market was still strong and on the first day of the current series also, the indices were relatively strong.  #Nifty made 4 consecutive bullish candles on the daily chart. #BankNifty made a bearish candle after 3 bullish candles, however still made a higher high and a higher low. Levels : Both #Nifty and #BankNifty are in a range of 17650 to 17900 and 39825 to 41550 respectively. In this range #BankNifty saw some profit booking on Friday, while #Nifty is yet to test the upper level. I expected #Nifty to test 17900 on Friday, however this did not happen. This may probably get breached in the opening tomorrow. Important to see is that will this trigger a profit booking and a rejection of the level or will the level hold. On Friday, the first tr...

25th October' 2022 (Evening)   --   |  Written at 11.00 PM on 26th October' 2022  | 1. FII were net selling for 247 Cr today, while DII were buyers for 872 Cr. A net buying of 625 Cr from the institutional side. 2. FII's created 1390 longs and unwound 17862 shorts on the index futures 3. On the option front FII  unwound 7656 short calls and   unwound 28440 short puts. They also closed 34543 long calls and  closed 96232 long Puts. 4. For next week expiry, Nifty has the highest OI for PE at 17500 followed by 17600 and highest OI for CE is at 18000 followed by 17800. Highest Put writing was seen at 17700 and highest call writing was seen at 17800 levels. 5. For the next week expiry, Bank Nifty has the highest OI for PE at 40000 followed by 40500 and highest OI for CE is at 42000 followed by 41500. Highest Put writing was seen at 41100 and highest call writing was seen at 41500 levels.  6. Asian markets closed mostly in green today and ...

18th October' 2022 (Evening)  --  |  Written at 11.00 PM  | I mentioned in my last notes, in spite of the fall on Friday, US markets may drive a positive sentiment. This subject to the critical levels being held. I also suggested to watch this on the US futures. It was beautifully respected on Monday. Tuesday was a follow up. Taking cues from the US action, #DII today also went on a buying spree and see the result. The #FII were forced to cover more shorts.- The larger question is, now what? Before that, the levels :- After the move on Monday, the Indian Indices opened gap up today and also traded in a range. While this forced the #FII to cover shorts, we also saw some resistance at today's highs.  Both the Indices on the futures side, saw short covering. Fresh longs are yet to be seen. Also the Indices have left a gap, this needs to be plugged. Also after a strong move from Friday till Monday, some traders may like to book some profits. We may thus see a bit of...

14th October' 2022 (Evening)  --  |  Written on 16th October' 2022 at 9.30 PM  | Last week was an interesting one. US saw a new #Inflation level. Both #DowJones and #Nasdaq saw interestingly low levels. We will discuss this below... On Friday, both #Nifty and #BankNifty made strong bullish candles on the daily chart. However, the levels would be interesting to see : Following the move on #DowJones and #Nasdaq on Thursday night, Our Indices made a strong rebound on Friday. The Indices opened with a huge bang, However, #Nifty could not hold these levels. #BankNifty though could hold ground and kept its lows. The Index futures positions also show a short covering on #Nifty and long buildup on #BankNifty. This is good as #BankNifty is pulling some support.  As mentioned on my earlier notes, our Indices in near term are trying to take some cues from the US markets. So we may do this tomorrow as well. #Nasdaq and #DowJones both fell on Friday. However, I feel that in ...

12th October' 2022 (Evening)  --  | Written on 13th October' 2022 at 6.00 AM | Markets today seemed to be coping strong as compared to the previous days. After opening flattish, the indices consolidated and made some gains through the day to close strong. Both #Nifty and #BankNifty made strong bullish candles on the daily chart, though these were still like inside candles as compared to the previous day. The levels now look like : The consolidation yesterday helped elevate the first support a bit higher. While I do not hope so, watch for a breach of this support. If this support is held we may see some more buildup. A move towards the first resistance could very well be seen.  Being an expiry day today, watch for some sharp intraday moves  as the previous days were volatile and may result into some expiry related adjustments. #FII yesterday did not sell much. Their selling was limited to 560Cr or so. They however, build some long positions in Index futures at the sam...

11th October' 2022 (Evening)  --  |  Written on 11th October' 2022 at 11.00 PM  | Markets today opened flattish with #Nifty in green and #BankNifty in red, made some gains and then eventually suffered a sharp sell off towards the end of the day. #Nifty closed 1.5% in red and #BankNifty closed half a percent in red.  Both #Nifty and #BankNifty made strong bearish candles on the daily chart. With #Nifty actually making a bearish engulfing candle. Let us now look at levels : As mentioned yesterday, the tussle between #FII and #DII is extremely strong. A strong selling by #FII is been bought by the #DII. This tussle is actually leading to ferocious movement of Indices in a range. Indices today again inched lower towards the lower end of this range.  #FII sold for 4600 Cr today and #DII bought for 2430Cr. I suspect this selling came towards the end of the day and probably also aggravated due to the Bank of England statement on UK financial stability. A buying su...

10th October' 2022 (Evening)  --  | Written on 11th October' 2022 at 6.00 AM | Following a sharp selling in US on Friday, our indices opened gap down yesterday. A gradual recovery was seen through the day, and the indices saw a close near the day highs. Both #Nifty and #BankNIfty made strong bullish candles through the day, with small upper and lower shadows. The levels indicated are as below : As seen through past some days, a strong #DII support comes in at lower levels of around16900 or so. Yesterday also the lower levels (17065) saw a strong buying from the #DII and the indices recovered from there. The #FII continue to sell in cash. The selling from their side was again 2000Cr plus yesterday. The #DII bough almost all of this. The determination from the #DII side is high, to protect the bottom. The larger question that looms is how much more liquidity still remains on the institutional side. While the #DOllarIndex eased a bit over the past few days, it saw some more stren...

07th October' 2022 (Evening)  --   |  Written on 10th October' 2022 at 6.00 AM | 1. FII were net selling for 2250 Cr today, while DII were buyers for 545 Cr. A net selling of 1705 Cr from the institutional side. 2. FII's created 1543 longs and created 2353 shorts on the index futures 3. On the option front FII  created 43825 short calls and   created 44956 short puts. They also bought 44831 long calls and  bought 47462 long Puts. 4. For next week expiry, Nifty has the highest OI for PE at 17000 followed by 17200 and highest OI for CE is at 18000 followed by 17500. Highest Put writing was seen at 17200 and highest call writing was seen at 17500 levels. 5. For the next week expiry, Bank Nifty has the highest OI for PE at 39000 followed by 37500 and highest OI for CE is at 40000 followed by 41000. Highest Put writing was seen at 39000 and highest call writing was seen at 39000 levels.  6. Asian markets closed in red and Europe also closed in red...

30th September' 2022 (Evening)  --  |  Written at 8.30 PM on 2nd October' 2022 | page 1/2 On Friday a combination of Some supporting cues globally, an expected MPC outcome and oversold domestic markets led to a short squeeze resulting in  #Nifty and #BankNifty ending up 1.6% and 2.6% respectively. Both #Nifty and #BankNifty made bullish engulfing candles on the daily chart, an outcome of a spectacular one sided intraday rally. The levels now look something like below .. Levels : Starting from last week Monday, when the markets opened gap down, the Indices have been moving in a range. Friday literally covering all the losses from Monday till Thu. I personally feel that the rally on Friday has confirmed two points. A conviction from the DII to buy the markets at 16800 or so and also that the range is here to play. A strong move will be seen only if this range is breached on either side. This range seems to be 16725 to 17200 for #Nifty and 37300 to 38825 for #BankNifty....