Inspite of a positive gap up opening Nifty failed to hold upper levels as expected and taken out all three gaps in a single go. To be precise 3 points gap still exist in Nifty futures but overall Nifty has filled all targets in a single days, thereby showing clearly the rising concerns of 20 April policy announcement. On charts Three Lower tops are formed which could act as crucial points in the coming days.
Next level to watch out for the downside is 5245 which is a major swing point for the Nifty Futures. Volumes with which Nifty Futures have fallen down were impressive.
Interestingly FIIs sold 17 lacs of Nifty today and Open Interest increased by the tune of 2 lacs which keeps the hopes of bulls going that 5200 will hold on downside. In Options chain 5300 call and put has seen some nice action.
Open interest unwinded by 5.8 lacs in 5300 put and at the same time impressive buildup is seen in 5300 call of 13 lacs, clearly 5300 will be the next big resistance for the coming days.
Review of Todays Picks:
Clearly Nifty has out shined every call for the day. Bajaj Hindustan, Tata Steel and Jindal Steel though opened positively and held for a long time but couldn't bear the pressure created by the Nifty and closed in red. But against all odds Steel will continue to be a strong bet for longs as buyers are entering at lower levels in most of steel counters. Sugar pack is still in hope and can burst out any day as it still consolidating in the ascending triangle.
Hope you liked it.
Happy Trading.
No comments:
Post a Comment