Trade setup for 28th Feb 2020

Yesterday was the monthly expiry. I expected some recovery and short-covering might come. But that did not happen. It was a wide range-bound expiry. I was able to make around 80 thousand profit. Carona is taking over all the markets. Now there are more cases found in the USA, Italy and there are some confirmed deaths as well in the western world. The death toll in China is around 2800.
The US bond yield is at an all-time low. Yesterday the Dow fell another 1000 points. Now Dow has fallen 3000+ in just 4 sessions.
We have also fallen 500 points in the last 4 sessions. During these times, none of the technicals works. It is going to be one-way fall till something changes fundamentally.
I did not expect the market to fall so badly as we have the US election this year. The inversion yield curve seems to be working.
Now we have lost entirely what we gained after the budget. Now we may lose what we gained after corporate tax cut if the Carona fears extend.
Nifty 200 DMA is gone. Looks like banknifty 200 DMA will also go today.
Yesterday whoever bought the pullback rally which was purely expiry driven are seemed to be caught.
The best part only and only is that the crude is falling. Gold is shining more and more.
Everyone's mutual funds, SIP's which was in green would have become dark red in just 1 week.


  1. My portfolio is in red now. But, I have not lost more as I had hedged most of them in the options market.
  2. Most of my positions are closed yesterday. So now not much of my positions are in place. Will wait for the market to fall more and watch patiently.
  1. Dow fell 1000 points yesterday. In the morning, the dow futures were in green and everyone was expecting some recovery. But that was not in store.
  2. European markets also fell drastically. The major indices lost more than 2-3%
  3. Today morning the Asian markets are also not left behind. We have also lost more than 2%. SGX suggests a dark red start. We may gap down 200 points.
  1. Crude is now trading at $51.62. This is good news for India and the only good news. But carona effect is too much for this good news to have an effect.
  2. $ is at Rs 71.41
  1. Yesterday FII sold for 3127cr and DII bought for 3497cr. FII have sold more than 10000cr in last 4 sessions. This is really bad. 
  2. As of now, the DII especially LIC is supporting. How far can they support? Once they are exhausted, then??