Trade setup for the day

Yesterday was a clear trending day on the downside. Nifty opened higher but traded below 11000 intraday and closed at 11050. Today is monthly expiry. Expect more roller coaster ride today. This month was a very bad month. We have fallen a lot. The global cues and our domestic issues were responsible for the fall.
Initially, we thought that FPI surcharge was the reason for the fall. But FII is still selling even after removing the surcharge. So, the global cues like trade wars and economic slowdown may be the reason for the fall.
NSE site has incomplete data to do the OI analysis.
Yesterday we got big-ticket FDI push from the govt in the coal mining industry, digital media, auto sector.
The government is trying to do its best to boost the market. They are playing it safe by not giving a huge single stimulus package. They are giving it in phases. Let's see if these things work.
There was good buying yesterday towards the end.


  1. I had a lot of positions on the downside which are in good profit. So in order to hedge them, I did buy a few lots of nifty futures in the next month series.
  2. Today is expiry day and we will be doing the expiry trades.
  1. Yesterday the US markets closed in the green. 
  2. European markets were mixed to negative.
  3. Today morning the Asian markets are in mild red. The SGX is suggesting that we may have a flat start.
FII and DII data
  1. FII's are in no mood to buy. Not sure how much more strength do our DII have to support the market.
  2. Yesterday FII sold 953cr and DII bought for 359cr. 
  3. I will not be bullish until FII begin to start buying.
  1. The US crude inventories have reduced. Today the crude is trading at $60.16. So crude is increasing and is now above 60 which is not a good sign for India.
  2. $ is trading at Rs71.77