31 Dec: Nifty View

The expiry is done. Nifty closed near 6100 levels this expiry. At this point, I would like to remind our readers of our Nifty View of 28 Dec. You can read it by clicking here. Nifty had closed near 5990 levels on 27 Dec. From the Options OI data, we sensed some unusual activity at strikes of 6100 CE. At that time also, we sensed that this could be the level where Nifty could try to close near expiry. Two days gone, and the unusual activity at 6100 CE has finally been explained!

The Options OI data for Jan shows big OI build up of over 50lac+ at 6000 PE levels. This would act as a support now at least in the beginning of this series. 6100 is the 50:50 levels for now and the battle would be fought around this level for now. As expected, 6200 has more OI at Calls than Puts. Some more days into the series would give more clarity on the emerging range.

For tomorrow, watch the levels of 6110-6115 on Nifty spot. If Nifty manages to trade and stay above them in morning trades, it will try to test 6130-6150 levels on the upside. On the downside, support now exists at 6070/6065 Nifty spot. below this, we will again see slide upto 6035-6005 levels. Another important thing to note is that Nifty has closed above its 50 DMA after more than a month and then has given a follow-up move on the upside. Hence, consider the trend as Up and try to Buy on Dips for more upsides till we get signals of exhaustion from the market.

31 Dec: Nifty spot resistance at 6105-6115-6130-6150. Support 6070-6050-6035-6005 - www.niftypower.com

Visit here for Nifty Option Tips

29 Dec: Nifty View

Nifty put in a lackluster day today two days before expiry. Whole day it kept hovering between our first resistance of 6015 and support of 5990.

The Options OI data has an interesting pattern to show. The OI added at 6100 CE yesterday was cleared today. However, the data shows addition at 6000 CE today. Some people sure has guts! January Options OI data shows big addition of over 7.5 lacs OI at 6000 PE levels. Seems like the Bulls are getting confident of taking the Nifty higher in coming days.

For tomorrow, initial resistance for Nifty Spot again comes at 6010-6015 levels. If it manages to stay above these levels, it will again try to target 6035-6060 kind of levels. On the downside, good support exists at 5975-5970 levels. Below these levels, Nifty will try to test lower levels of 5955-5935. Below 5935, we will some panic in the market. Trade the range of 5975 to 6030 till we get a confirmed breakout/ breakdown on either side.

29 Dec: Nifty spot resistance at 6015-6035-6060-6080. Support at 5990-5975-5955-5935 - www.niftypower.com

Visit here for Intraday Nifty Option Tips

28 Dec: Nifty View

In Yesterday's Nifty View, it was given to watch the action at 6035 Spot for upside moves and Support at 5995 Spot for downside moves. Once Nifty opened and moved above 6035 in morning trades, it was struggling to stay above 6035 with overbought indicators. We sensed the move and went short at that level for a cool gain of 50+ points. Nifty spot went till our Support of 5995 and would have given some points to anyone who went long at those levels also.

The Options OI data is normal near to expiry with covering at almost all the strikes, except for 6100 CE. As said yesterday also, do not read much into Options data in the last week of expiry. However addition of OI at any strike level so near to expiry would not make sense as the Risk:Reward ratio would be heavily against the writers. Hence, the addition of OI at 6100 CE does seem strange. Will Nifty try to move near 6100 by expiry? We will know in a couple of days.

For tomorrow, watch the action near 6010-6015 on Nifty spot. If it manages to stay above it in initial trades, it will again try to test higher levels of 6035-6050-6060. On the downside, support comes at 5990 and then 5970/5965 levels. Below 5970/5965, Nifty spot will try to test lower level of 5940. break of 5940 spot would create real panic in market.

28 Dec: Nifty spot resistance at 6015-6030-6045-6065. Support at 5990-5965-5940-5905 - www.niftypower.com

Visit here for Intraday Nifty Future Tips

27 Dec: Nifty View

In our last Nifty View, the downside supports were mentioned as 5970, 5955 and 5935 while the upside resistances were 5995-6005 and 6030. Nifty opened near our support of 5935 (5941), went up till 5975 near to our breakdown point of 5970, came back and tested our support of 5955 and then made a smart recovery to end near day's highs at 6014.

The Options OI data show the Bears covering calls from 5800 to 6100 strikes, the most being at 6000 strike. The Bulls also added OI in Puts of 6000 and 6100 strikes. The Bulls have now built strong support at 5900 and 5800 levels and are working hard at the 6000 level. This is a 50:50 levels as of now. 6000 can act as pivotal to Nifty's movement for the earlier part of next week. However, do remember that next week is Expiry week. Any addition in OI from now on can be termed as speculative Selling/ Buying of Options at Best. Hence, we would take today's Option OI data as that for the entire next week and give more importance to other indicators from now on. Thus, the Options data indicate an expiry very near to 6000 levels with the expiry range being 5900 to 6100.

For tomorrow, watch the action near -6035 Nifty spot for further upside moves towards 6060-6080 and higher. On the downside, look out for support near 6000-5995 Nifty spot. If these levels break, Nifty may slide further towards 5970-5955 levels. Once again, do remember that Puts at 5900 and 6000 strikes have been added very recently and these guys would panic first in case of any downmove. Hence, Positional Longs should have strict stoplosses at 5955-5935 Nifty Spot for Now. Till Nifty is trading above 5935 Spot, trend should be considered to be Up Only.

27 Dec: Nifty spot resistance at 6020-6035-6065-6080. Support at 5995-5970-5955-5935 - www.niftypower.com

Intraday Nifty Options

Wish All Readers Merry Christmas and a Happy New Year!

24 Dec: Nifty View

This month has turned out to be an Option writers paradise. Will it end this way too?

Last few days, we have seen Volatility dipping sharply on the Nifty. Options writers are really making merry this month and it shows in the Options OI table. The Bears are busy writing away Calls at 6000 and 6100 strikes, while the Bulls are working their way with Puts at 6000 and 5900 strikes. 6000 is acting as the pivot for Now. Last few days compression on the Nifty has sure given Option writers some confidence. However, we would advise them not to forget the extreme Volatility we got so used to just few days back. A breakout above 6000 or a breakdown below 5900 would be really fun to watch before expiry, which can give the traders quick 100+ points. Looking at the Options table, we do not expect Nifty to expire outside of the range of 5800 - 6100 as of now. Having said that, breakout/ breakdown above/ below 6000/ 5900 can change the picture quickly. If the writers of either 5900PE or 6000 CE cover, we will have an action packed Expiry.If not, then keep scalping small profits on intraday basis.

For tomorrow, watch the action near 5995-6005 spot for upside moves. If Nifty manages to trade above 6005, it will again attempt 6030 and 6060 on the upside. If it sustains above 6060, we can see some short covering towards 6100 levels. On the downside, watch 5970 Spot for some support. Below this, Nifty may again attempt 5955-5935 and lower levels. Sustained move below 5950 would cause the 5900 CE writers to panic and cover. Do remember that Puts at 5900 and 6000 strikes have been added very recently and these guys would panic first in case of any downmove. On the contrary, the 6000 CE writers had their positions from the start of the series and are already in decent profits. Hence, they would not be in a hurry to book out unless Nifty sustains above 6000 for sometime.

24 Dec: Nifty spot resistance at 5995-6005-6030-6065. Support at 5970-5955-5935-5905 - www.niftypower.com

Visit here for Nifty Future Tips

21 Dec: Nifty View

In yesterday's Nifty View, 5910 to 5970 was the range given for Nifty spot. Nifty violated on both sides by about 10 points. Looking at the support near the lower part of the trading range in the morning, we were able to spot a very good Long opportunity for a good gain of 50+ points. As it turned out, Nifty did all our targets and then finished almost at the same level where it had closed Yesterday.

The Options OI data suggests some sort of support building for the Nifty at 5900. However, the strong OI build up at the 6000 CE strike still suggests that it will be a big mountain to climb for the Bulls. This along with the large difference in OI of 6100 CE and 6100 PE levels (6100 PE being very less compared to 6100 CE), suggests that even if we go above 6000, the Bulls are not very hopeful of Nifty expiring above 6100 at this stage. 5800 - 6000 is still the range that is indicated by the Options OI data and unless one of these levels is crossed convincingly, traders can very well trade this range for decent profits, whenever they get an opportunity.

For tomorrow, 5940 spot is the immediate support for Nifty, below which, it can quickly slide down till 5920-5910 levels. Lower level supports exist at 5880 and 5855 Spot. On the upside, 5970-5980 would offer initial resistance, above which the Bulls will again attempt 6000-6030-6060 levels. Watch the action closely near these levels and trade with tight stoplosses for good gains in Intraday Trade.

21 Dec: Nifty spot resistance at 5975-6005-6030-6055. Support at 5940-5920-5910-5880-5855 - www.niftypower.com

Visit here for Intraday Option Tips

20 Dec: Nifty View - Still Indecisive?

In our last Nifty View, we had written that Nifty was in an indecisive mode as of now. It is an Option Writers market as of now, which is operating within a range, although with high volatility. Thursday's decline below 5880 and then 5860 (although momentarily) gave us a false sense that the Bears are finally going to win the battle of 5900. However, it was not to be and we saw a fast short covering rally which took the Nifty up my almost 100 points from the lows.

Although Thursday's movement would have given the Bulls some heart, we would like to watch the movement on Monday to see whether the Bulls have strength to take this market above 6000. The Options OI data also show Call covering by the Bears at 5800, 5900 and 6000 levels and Put addition by the Bulls at the same levels. Still, there is massive OI at 6000 CE levels and we would like to see some balance between the OI of 6000 CE and 6000 PE, before Nifty heads higher.

For Monday, the levels to watch on the upside are 5950-5970 and 5910-5930 on the downside. On any correction, if Nifty again goes below 5915, that should set the alarm bells ringing for the Bulls. The downside support for Nifty then comes at 5880-5850 levels. On the other hand, if we open up above 5960, OR move above 5960/ 5970 spot and then are able to sustain it, then we can see some panic short covering from the 6000 CE writers which can take this market higher to 6030-6060 kind of levels. Keep this levels in mind and trade accordingly till we get a confirmed move either side.

20 Dec: Nifty spot resistance at 5955-5970-5995-6030-6060. Support at 5945-5930-5910-5880-5850 - www.niftypower.com

Visit here for Nifty Options Tips

16 Dec: Nifty View

The above Chart depicts the state of the Nifty as of now. And that is Indecisive. Both Bulls and Bears will be worried of their positions as of now. For the Bulls, a close/ decisive move below 5880 would be a first alert to reduce their positions and a close/ decisive move below 5820 would, in a all probabilities end this upward correction. For the Bears, Nifty holding 5880 and conquering 5930-5940 would be a cause for worry.

The Options OI data also gives 5900 as a 50:50 level, which has still not been resolved in these three days of traing. Tomorrow being the last trading day of this week (Friday is a holiday), it remains to be seen whether we get some decisive moves tomorrow or whether we will have to wait for next week to get a decisive move. 6000 is still the toughest resistance while 5800 is the strong support as per the Options data of today.

The silver lining in this indecisive period is the Volatility, which is giving the Day Traders some very good opportunities to earn both on the Long and Short sides. For tomorrow, watch the level of 5915-5935 Nifty spot for resistance and 5880-5860 Nifty spot for support. Anyside breakout can give some quick movement either side. Till we get a breakout, trade the broad trading of 5860 - 5935.

16 Dec: Nifty spot resistance at 5915-5930-5945-5965-5995. Support at 5880-5865-5850-5820-5805 - www.niftypower.com

Visit here for Nifty Option Tips

14 Dec: Nifty View

In our yesterday's Nifty View, we had mentioned that the time to go long was coming. 5800 was the strong support, while 6000 will be a resistance zone for the Nifty. Nifty gave a Golden opportunity to go long in the morning. Once it took support at 5800 after the initial sell-off, we were looking for signs for some strength to come above 5825-5830 spot. When it came, we grabbed it with both hands.

The options OI data still suggest the same thing. 5800 is the strong support, while 6000 is the strong resistance zone. 5900 is still the 50:50 level and it will be resolved tomorrow. There is also some interesting cutting of OI that happened today at 6100 CE strike. Now addition of OI at 6000 CE and reduction at 6100 CE does not make too much sense. We will get more clarity on such actions in the coming days.

For tomorrow, initial resistance for Nifty comes at 5915-5920 spot above which Nifty spot can attempt 5960-5970 kind of levels. We expect some consolidation/ supply to come around 5950-5970 if these levels are reached in the morning session itself. If however, Nifty declines first in the morning session, then 5880/5875 spot can be a good area to try some longs again. Till it stays above 5830 spot now, longs look to be more rewarding.

14 Dec: Nifty spot resistance at 5915-5930-5965-5995. Support at 5880-5860-5830-5820 - www.niftypower.com

Visit here for Nifty Future Tips

13 Nov: Nifty View - Time to go Long??

Nifty made a smart recovery on Friday, to keep the hopes of the Bulls alive. Now when the world is turning Bearish, I would like to bring the attention of the readers to our post of 8 November. You can read it by clicking here. The world was highly Bullish on that day, when we were turning Bearish. Now when the world is turning Bearish, We would like to remind you of another post written sometime in October. That post read, "...We have been advising against positional longs from the beginning of the week. The time for going long will definitely come. Grab it with both hands when it does and do not miss out due to fear...".

Well... is it the time to go long?? Not Yet. Nifty has to show strength in this upmove . The levels to watchout for on the upside are 5850, 5900 and 5930 spot.Only a close above 5930 would make positional longs Safe for now. This would also mean that 5690 has been saved by the Bulls, a higher Low has been formed keeping the uptrend intact. Hence, watch these levels with lot of interest. If Nifty sustains above these levels, then we would definitely advise Positional longs with a proper stoploss.

The Options OI of Friday show more than 8 lacs OI addition at 5800 PE levels and not much additions at 5800 CE. This level would be a good support in the coming days. 5900 is still an undecided level while 6000 is strong resistance. Nifty movement at the start of next week would give more clarity on who takes over the level of 5900.

For tomorrow, watch the levels of 5875/5880 on the upside and 5820/5825 on the downside for first signs of strength or weakness. Above 5880, Nifty will try to test 5900-5930 on the upside. Above 5930, we wills see some panic short covering from the Bears. on the downside, break below 5820 spot would again invite some selling from the Bears and we can see a revisit of 5800-5750 type of levels .

13 Dec: Nifty spot resistance at 5880-5895-5930-5970-5995. Support at 5850-5820-5800-5775-5750 - www.niftypower.com

Visty here for Nifty Option Tips

9 Dec: Nifty View

The chart above tells the complete story of Yesterday. Nifty opened below our reference level of 5960 spot, moved below Our lower support at 5930 Spot, Took resistance multiple times at 5930 to finally breakdown and have a visit below our last support of 5885 (actual low of 5878). From there, we got a bounce of around 30+ points. For anyone, who follows only the charts and not his emotions, yesterday should have been an easy day of trade.

Now once again, the previous supports of 5930 and 5960 spot will act as resistances for the Nifty. Nifty should give a minimum close above 5960to be back into the range of 5930 - 6070. Till then, it is a sell on rises market.

The Options OI also indicate big amount of OI addition at 6000 CE and 5900 CE levels. While OI of 6000 PE and 5900 PE was reduced by a decent amount yesterday. The Options data suggest some more pain left for the Bulls. They will have to give a minimum close above 5960 to scare away the 5900 CE ariters first. Any close above 6000 now will lead to panic covering from these writers. However, that is just wishful thinking at this stage.

For today, watch the resistance at 5915 spot and then 5930 Spot. If Nifty manages to trade above 5930, it will again try to target 5950/ 5960 levels where again it will see some selling pressure. On the lower side, minor support exists at 5880/5885 spot. Below this,we will see 5860/5850/5820 kind of levels. 5800 is still a strong support according to Options data and that would be a good buying zone if at all Nifty goes near 5800-5825 zone.

9 Dec: Nifty spot resistance at 5915-5930-5950-5960-5985. Support at 5900-5885-5860-5850-5820 - www.niftypower.com

8 Dec: Nifty View

First a false breakout above 6030 Spot. Next a false breakdown below 5960 spot? As the Breakout above 6030 happened with overbought indicators, we did not believe it, Similarly, today the breakdown happened with oversold indicators. At NiftyPower, we took two short trades today. One near 5965 spot levels, which gave us a profit of 20+ points. The other trade we took was in late afternoon near 5985 levels. This also gave us quick 35+ points. Overall, it was a good trading day for us.

The Options OI data today show an almost equal amount of OI addition at 6000 CE and 6000 PE. 6000 will be the level of tug and war between the Bulls and the Bears. Once the OI at this level is resolved, we will have more conviction in the Breakout or the Breakdown. Till then trade the range of 5960/5930 to 6030/6070.

For tomorrow, once again watch the level of 6010 on the upside and 5960 on the downside. A move above/ below these levels can give quick movement of 25+ points. If Nifty trades in a rangebound manner, then trade this range of 5960 - 6010 with tight stoplosses.

8 Dec: Nifty spot resistance at 5990-6010-6030-6060-6070. Support at 5970-5955-5940-5915-5905-5885 - www.niftypower.com

Visit here for Nifty Option Tips

7 Dec: Nifty View - False Breakout??

In our last Nifty View, we had mentioned the resistance at 6030 and support at 5935-5920 Spot. Nifty opened right at our breakout level and soon conquered it for good upside in the first half. However, we did not believe in the breakout from morning itself (due to the Overbought Indicators), and instead went short at around 6045 spot levels. What a Mistake! In Intraday trading, timing is everything. We made the mistake of going short a bit early while the actual Sell was generated about 2 hrs. later at the very same levels! Nifty just took our Stoploss in the first Short and then fell more than 60+ points. As a policy, we do not take a second call once the stoploss is hit in the first call. Hence, it was a Loss making day for our Subscribers.

For all those who went Long Positionally above 6030 Spot, 5960 should be a decent level of stoploss. Below 5960,Nifty may lose some more points and fall towards 5930-5900 levels. Till the time it is closing above 5930, trend should be considered to be Up only.

The Options OI data indicate more than 10 lacs+ addition at 6000 PE and 6100 PE and more than 8.5 lacs+ addition in 6000 CE and 6100 CE. The OI at 5900 CE and 5900 PE hardly changed. The OI data suggests range of 5900 to 6000 for the Nifty presently. What is surprising though, is the addition of more than 5 lacs+ OI at 6100 PE even on a down day like this. Once the writers of either CE or PE at 6000 & 6100 start to cover, we will see a trending market once again. Till then, trade the range.

For tomorrow, watch the action near 5960 spot and 6010-6015 spot. One can go short below 5960 for an intraday target of 5930-5900 and more. Above 6010 spot, Nifty will again try to test 6030 and then 6065 Spot and more. If manages to trade above 6065/ 6070, we may see some Panic Short covering from the Bears.

7 Dec: Nifty spot resistance at 6010-6030-6070-6120. Support at 5990-5960-5925-5900 - www.niftypower.com

Tips for Nifty

5Dec: Corrective Rally or Trend Reversal?

Is it a Corrective Rally or the Nifty has done a trend reversal and going again for all time highs? That is the question I am getting a lot from our Subscribers these days?

The answer is... Why Worry? Look at the chart posted above. Once Nifty broke out above 5870 kind of levels, it has already given 150+ points on the upside. Now, the earlier resistance of 6030 is again providing stiff resistance on the upside. For next week, we will be closely watching 6030 on the upside and 5935-5920 spot on the downside. Breakout/ Breakdown from these levels can again give a sizable move of 100+ points.

Plan your Trade and then Trade the Plan. Stop worrying where the market is heading. Just be unbiased and see what the charts are telling you. That should be enough to ensure consistent profits.

Happy Trading!

www.niftypower.com

Tips for Nifty

Daily Nifty View will be Back from Monday!

We could not update the blog all of past week. Actually, was busy refining the data that I had (Thanks to our Real Time Data Provider for That!). Found a lot of bugs and it took a real effort to clean all of it.

Now it is done, and we have also changed our Real Time Data Provider. Hopefully, this one will provide a better service and correct Data. We will update the weekend analysis with the updated charts shortly.

Happy Trading!

www.niftypower.com