Trade setup for 17th June

  1. Now its India-Chini border issue. Yesterday during the market there was news that 3 Indian soldiers were killed by China and we killed 5 Chinese soldiers. But in the evening there was a news that 20 of our soldiers were killed of which one was a commander who went to enforce an agreement which forced China to move 5 km away.
  2. It looks like this may not be escalated as both of us have a more serious problem. This is China's usual game to unite its people as it has enormous pressure due to carona. So they use a war-like situation to divert people attention. This has been done in the past as well.  So the probability of escalating is less.
  3. Carona cases are also increasing and Beijing has closed schools. Now US is also thinking of a 2nd lockdown. The UK scientist has found some positive trials for a drug, so this is the good news for now.
  4. The FII are selling continuously from few days.
  5. IMF says that the global growth will be slower than what they projected before.
  6. Yesterday the markets were more volatile. Nifty opened 200 points higher then moved to red and again closed in the green. Banknifty was all over the places. It is usually difficult to trade in this market condition. Reliance has again hit an all time high. The financials like HDFC twins also contributed for the nifty movement.
  7. Tata motor came with results yesterday and it was obviously bad. Initially, there was no movement but later tata motors fell close to 7%. I had a trade if there was a gap up which did not happen. So I just left it.

  1. In futures trading yesterday, I was able to capture 400 points in banknifty. I also identified 2 trades after that which also worked but I did not trade after the first trade. I had shared all 3 in the telegram. 
  2. Markets may fall if there is any escalation at the border. So I will be adding trades on the lower side by buying few puts to hedge my trades
    1. Will be buying 4 lots of 9500pe
  3. Will be executing butterfly for tomorrow expiry.
  1. The US markets closed in green. However, the futures has fallen slightly.
  2. European markets closed in green as there was a hope of a covid drug.
  3. Today morning the Asian markets are in red. SGX suggests that we will have a negative start.
  1. Again FII have sold yesterday. They sold close to 1400+ cr and DII have bought for 1161cr.
  2. This is disturbing. FII have sold more than 6k cr in 1 week. 
  1. India has been rising prices of petrol and diesel for 10 days now.
  2. Crude is trading at $40+ 
  3. $ is at 76.21