I know this looks crazy but the correction will facilitate a lot of buying interest in the market. 22400 is a major supply zone for NIFTY and usually price reacts there. I will be keeping a tight Stop Loss and look to average my positions if NIFTY stays within my SL area.
Just wanted to show you guys how this pattern worked out in Nifty this time.
This trade is very close to my ultimate target 22800. Please check out my posts few days back! Thanks
According to previous posts, NIFTY is in a great correction period and i shorted NIFTY at 23600 when it closed below the recent tendline. Though up and downs were there, we are on our way to 22800 levels. On Monday, NIFTY will open about 250-300 points down from current levels, Which with the options premium will give me an ROI of about 800% (8 times my capital)....
NIFTY has been forming a HEAD AND SHOULDERS pattern for a very long time. 24000 break was what its needed to take NIFTY back to 25000 or higher levels. Nifty didnt sustain above 24000 and hence went down to break the shoulder resistance. Where will it go? How low Nifty can go from here before we see some buying sentiment?
I have been waiting for this setup for a long time. As many analysts say, Indian share prices are very high and valuations are astronomical. Now the brief period between a major market crash and market pullback is over, market will look for comfortable valuation. Market knows its overvalued and we are seeing the results in the last few sessions. After market...