Trade setup for the day


  1. On Friday, the raging bull was paused for some time. We have had a short term bear movement and a short term bull run. Now we may consolidate for some time. 
  2. I don't expect the markets to make a knee jerk movement for this expiry. The charts also tell the same. This is the right time for straddles and strangles with protection. 
  3. We have Delhi results this week. The exit polls are giving a thumbs up for the AAP. So there might be some volatility on the results day. I still don't expect much volatility as it would have been priced in the next few days. 
  4. Now the entire control is given to Carona. I see this as a major player to take markets down. Last I saw that there were 900 deaths in China due to this.
  5. Coming to technicals, nifty bounced at 200 DMA last week and is now at the 20 DMA. This is a good sign that we may not fall below 12000 for some time. This will be confirmed if 20 DMA is crossed and closed which I believe will happen. I will be buying on dips and I will change my view if 20 DMA turns to be resistance and will go short aggressively if 200 DMA is broken again.
  6. Yesterday I ran a small query on my FB and Twitter. Now most of them are bearish. 


MY TRADES

  1. I am long on TCS futures. 
  2. I am carrying long puts in bajaj finserv
  3. I am long on tata motors futures.
  4. I am short on banknifty futures.
  5. I am having a mixed position in weekly expiry. 
  6. I am planning to go short on JSPL if Carona escalates.
  7. Now I am myself confused whether the markets should go up or should it go down. Will evaluate all today and make things simple.
INTERNATIONAL MARKETS
  1. The world markets are also slightly down for the obvious reason.
  2. The US markets have hit the all-time high last week. Even Dow fell on Friday after 4 days of run.
  3. European markets also closed in the red.
  4. Today morning the Asian markets fell but are now recovering. SGX was 25 point down but is now flat. 
FII AND DII DATA
  1. FII are net buyers on Friday. They bought for 161cr and DII sold for 178cr
  2. Let's see how FII will consider Carona fears.
CRUDE AND $
  1. Crude is at $54.43 . This is the only wonderful news we have for the moment. I would not recommend shorting crude. I would rather wait and go long when the Carona virus fears eases.
  2. $ is at Rs 71.45

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