Trade setup for 24th June

  1. The entire environment is bad but stock markets are rising and rising. It's not just in India, it's happening globally. 
  2. Oil prices are rising, Gold is rising, Carona cases are rising and there is rumour of a possible lockdown. Usually, this does not go in tandem with the stock market. Yesterday Nasdaq has hit all-time high again. Now there are rumours that there may be a second lockdown if the cases surge like this. I personally feel that there may not be a lockdown of the entire country or state. There might be lockdown in some places or area within major cities. Now people seem to have lost the fear of this pandemic and things have almost turned normal. 
  3. Yesterday, the markets broke the 10400 mark as well. Nifty is rising for 4 days now. This month has been very volatile. In fact, it was more volatile than Feb and march as in those 2 months it was just a 1-way rally downside. This month, nifty started at 9600. rallied to 10300. Then fell to 9500 and is now back to 10500. This is really volatile. Luckily, I am not trapped in this volatile month.
  4. Yesterday, the beaten-down financials were back. Baj twins, Kotak bank took markets higher. Reliance is now resting after a wonderful move which was expected. Yesterday reliance was down and we managed to close nifty 160 points higher. We would have closed 200 points higher if reliance had also contributed. 
  5. From technicals point, we are at 66% retracement in nifty. Lets see if july expiry takes us to 200DMA

MY TRADES
  1. I have done a lot of adjustments to my existing positions. I had to sell ITM options and buy some OTM options to protect my positions. Since my positions were small, I was able to manage it with sell MTM swings. 
  2. I sold my bajajfinance holding yesterday around 2900. Then there was a rally and bajajfinance closed above 3000. I will reenter if it comes back to 2500. I will be doing cash-secured put today for next month series.
  3. For next month, I have executed Iron condor
    1. -1 X 9000pe
    2. -1 X 11300ce
    3. +1 X 8700pe
    4. +1 X 11500ce
  4. Today I will be closing most of this month stock positions and will be rolling them to next month.
INTERNATIONAL MARKET
  1. The US was almost flat to positive. But Nasdaq has made an all-time high. Thanks to Apple and Amazon for providing the boost to Nasdaq.
  2.  European markets closed in green. They gained more than 1.5%
  3. Today morning the Asian markets are also higher. SGX suggests that we may open in a flat note and then take it from there.
FII AND DII
  1. Yesterday the FII and DII are net buyers. FII bought for 164cr and DII bought for 454cr
  2. FII numbers are reducing as we go higher. 
CRUDE AND $
  1. Crude is $42+
  2. $ is at Rs 75.6

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