Trade setup for the day

Yesterday was a massive rally in nifty. Nifty gained 159 points and banknifty gained 444 points.
I did not expect this rally in this month. I even thought 12000 would not be broken this week. But I was totally proved wrong by the market. Not only nifty crosses 12000 but also now attempting to make all time high. I will not be chasing the momentum. I will wait for some time now. I need some time to analyze what has triggered the market to go this way. Now 12000 which was resistance is now the support.


  1. I had to close some of the positions in a loss. I also did huge adjustments to the counters which were in danger. Now most of them are in a good state. I will not fight further. It's better to surrender.
  2. The good thing is that my underlying stocks which I have gained but that gain is small compared to the positions I am carrying in FnO
  3. I have bought nifty futures, banknifty futures, bought calls.
  1. China and US spoke to ease the trade deals and that helped in the gain of the US markets. 
  2. Nasdaq gained more than 1% and DJI gained around 0.6%
  3. European markets also gained and the topline indices gained more than 0.5%
  4. Today morning the Asian markets also gained. But nikkei and hang seng are off the highs. 
  5. SGX suggests that we may have a record opening.
  6. We may open at all-time high.
  1. FII's are on a buying spree. FII bought for around 960cr and DII sold for 213cr.
  1. $ is now at 71.72
  2. Crude is now at 63.71