After a good rally on Monday, Nifty Future declined and gave up some of the gains on Tuesday, closing near support line of 6070. It is broadly trading within the range as shown in the chart. As we approach the November Expiry, a breakout/breakdown may be just around the corner. It has also formed an inside day on Daily Charts. If it sustains beyond yesterday's range, intraday traders can trade for a breakout/breakdown. However, broad trend remains sideways till the time we are trading between 6000 to 6250. Hence, don't expect any big moves till then and book early profits of 20-30 points in intraday trades. Positional traders can initiate Short Positions if Nifty Future gives a close below 6000 with 50 Point Stoploss.
On 5 min. Intraday Chart of Nifty Future, a bullish Wolfe Wave formed just at the close. It will be considered active above 6065/6070 Nifty Future level. Valid only for the first hour on Tuesday. Afthat, forget this pattern.
Market Profile Charts also show rangebound trading between 6000-6100. Although Nifty declined yesterday, the Value Area was similar to Monday's. Also, it was a Normal Profile day. Breakout/ Breakdown from the profile area can give a good trending move.
27 Nov - Nifty Future resistance at 6070-6090-6115-6135. Support at 6045-6030-6000-5980
Premarket Trade Plan:
Intraday Nifty Future and Nifty Nifty Option:
1. Sell Nifty Future / Buy 6000 PE (Dec) near or below 6070 Nifty Future level with Stop and Reverse above 6095 Nifty Future Level. Targets 6050 and 6030
2. Buy Nifty Future / 6100 CE (Dec) above 6095 Nifty Future level with Stop and Reverse below 6070 Nifty Future level. Targets 6115 and 6135.
3. Buy Nifty Future / 6200 CE (Dec) above 6120 Nifty Future level with Stoploss at 6100 Nifty Future Level. Targets 6140-6160-6180.
Positional Nifty Future:
1. Sell Nifty Future below 6000 Nifty Future level. Stoploss above 6050. Targets later
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