Trade setup for 11th may

Add caption
  1. Friday was another good day for the markets as we gained 50 points in nifty but banknifty was a little laggard. Banknifty lost around 130 points. Reliance was the major contributor for the nifty. Now Saudis are interested in jio.  I somewhat feel that Reliance has overrun in the short term. We have seen a V shape recovery from its lows. I have done a trade in Reliance.
  2. There might be some stimulus from govt. If that happens then we can expect 10k.
  3. Now the cases of Carona in India is close to 67,000. May and June will be the critical month as people seem to be forgetting the social distancing.
  4. Today ICICI bank will be in focus as they came with their result over the weekend. 
  5. 19th will be the bajaj finance result. I am planning to do an earning trade for this in youtube.
  6. The office spaces continue to weaken across the globe. 
  7. The aviation sector is also in bad shape. 
  8. Shanghai Disneyland opens up for the public. 
  9. Slowly we may forget carona and the US election will be in focus. 
  10. I will be doing intraday trades in banknifty and nifty and will be documenting them here 
  1. Last week reliance has gone up a lot due to Facebook, Vista buying stake in Jio. I have executed a call spread. 1600 is resistance both technically and OI also suggests that. So I executed a call ratio spread
    1. 1620ce X 1
    2. 1700ce X 3
  2. Executed some strangles for the weekly expiry. 
  3. The Bajaj Finance strategy which was done some days back is close to 2% profit.
  4. Will be coming up with an earning strategy for bajajfinance.
  1. Now all markets are optimistic about the economy getting opened.
  2. The US markets gained more than 1.5%
  3. Europe also gained more than 1%
  4. Today the Asian markets are also in green. SGX says that we may have a gap up of 100 points.
  1. FII have bought for 1700cr and DII have sold for 1500cr. This is wonderful data.
  2. We can go to 10,000 if this continues and we do not get any more surprises.
  1. $ is at Rs 75.54
  2. Crude is at $30.45 which is good for India and the consumptions across the world.