Trade setup for 1st July

  1. We have ended a quarter and this was the best quarter for nifty in terms of quarterly gains. Even S&P also had the best quarter in 22 years. Nasdaq made a best quarter after 2001. This momentum might continue for this quarter also but the pace might be a little low. 
  2. Yesterday, there was a PM conference in the evening so the markets were low in volumes as they were expecting some stimulus. In my blog, I told that there won't be any stimulus to the economy. There will be food provided to 80cr people until November. 
  3. The US is angry with China over its action in the HongKong. China's ambition to be world no 1 has now been stopped by India by banning many of its products. 
  4. Coming to markets, it was flat yesterday. Now markets will be in the consolidated phase for some time before we resume the uptrend. The longer the consolidation phase, the stronger will be the uptrend. So I will be happy to have a longer consolidation phase. Now is the time for option sellers to eat the premium. 
  5. We have auto sales data today. 
  6. Airtel is in the news as Caryle is acquiring 25% of its data centre biz.

  1. Yesterday in intraday trading I was able to make a profit of Rs 3375 
  2. I have created butterflies yesterday in nifty and banknifty
    1. +1 X 10300pe
    2. +4 X 10600ce
    3. +4 X 10100pe
    4. +1 X 10400ce
    5. -5 X 10200pe
    6. -5 X 10500ce
  3. I have creation call spread in reliance, hdfcbank, 
  4. I have created put spreads in tatasteel, Infosys
  1. The US markets are rallying on hopes of economy opening up. Yesterday both Nasdaq and Dow gained close to a percent.
  2. European markets ended almost flat.
  3. The asian markets are mixed. SGX says that we might open flat to negative.
  1. Crude has come back strongly. Its again above $41+. This shows that the consumption is coming back to the market.
  2. $ is at Rs 
  1. FII have sold for 2000cr and DII have bought for 2051cr.
  2. Wait till the FIII are net buyers. Till then the markets will be choppy and cannot resume its uptrend.