Trade setup for 18th Dec

Yesterday was a massive day for us. We made an all-time high. Nifty gained more than 100 points and banknifty gained 166 points.  Not only us, but even the US markets also made an all-time high. The US manufacturing data surpassed expectation.

TRAI has regulated various charges for telecom companies. They have fixed So all telecom stocks were up.
Trade was fears were down, so all the metals were shining.
Because of brexit news, tata motors shot up.
Markets are not showing any signs of consolidations. The VIX is lower and signifies that there is not much turbulence in the market.
Today we have the GST council meeting which will put the roadmap of the GST. There is speculation in the market that GST rates may be hiked. But, the finance minister has somewhat given the sign that it may not be done. The massive move in the last few days has also somewhat confirmed me that it may not be hiked. Initially, I also thought that rates would be hiked. But now I feel that rates may not be hiked.


  1. There are some times in the market where no trade is the best trade. I think this is the time for that. VIX is low so are the option premiums. The risk would be higher if more premium options are chosen. 
  2. I do not have any position for this week. I have old positions in monthly expiry which is in good shape. 
  3. From now to Jan end, I may not be trading much aggressively. 
  4. May the pre-budget rally may help in giving an opportunity. 
  5. I am short of ITC futures. I have sold 3 lots as of now. I am planning to carry that to budget by rolling over. I expect cigarettes to be hiked. Will average more if needed.
  1. The US markets also closed with an all-time high. The trade war fears are going down. Yesterday the US markets closed in a flat note but slightly higher
  2. European markets closed slightly negatively. 
  3. Today the Asian markets are slightly negative. SGX suggests that we may open on a flat note.
  1. Now FII's are buying. But still, FII activity is not clear. One day, they buy than the other day they sell.
  2. Yesterday FII bought 1248cr and DII sold for 908cr
  1. Crude is now at $65.81
  2. $ is Rs70.97