Trade setup for 18th September

  1.  Yesterday was a beautiful expiry. I say beautiful because nifty and banknifty did move as I expected. There was a gap down and I expected that the gap down would be covered which happened. Then I expected that there would be a second wave of selling which also happened. The only thing I am regretting now is why didn't I place more trades. Anyway, that is fine. I am happy with the profit I got. Is there anything other than consoling? 
  2. Coming to the market, we are in the expiry week and I feel that we are slightly oversold, especially in the banks. We have had Reliance rally, IT rally, Pharma rally. Now if markets have to move higher then it should be banks, else we may move lower.
  3. Yesterday was another day of consolidation. India vix is now at 20. So there will be quick premium decay now. 
  4. We have IPL coming this weekend. I am playing dream11 as well. I will share my team in my blog everyday. Let's see how it goes. I am not good at cricket. I am doing it just for entertainment purpose. 
  5. HDFC bk is at 20DMA and there is a double bottom and is moving higher. If HDFC bk moves more then banknifty will see a huge short covering. 


  1. I am bullish so I have created the below strategy
    1. 11300pe X -2
    2. 11400pe X 1
    3. 11200pe X -2
  2. In banknifty 
    1. 21000pe X -5
    2. 22000pe X 1
  3. I have created bull spread in HCL tech, Reliance, Sun pharma.
  1. The US markets were flat. The techs are falling as money is now moving from techs to other sectors as the carona fears seem to be reducing. 
  2. Nasdaq fell buy dow was mildly negative.
  3. European markets closed in the red. 
  4. Today morning the Asian market are in slight positive. Japan core consumer prices fell drastically due to Govt discounts.
  5. SGX is flat.
  1. Crude is at $43.37. The US oil fields are now increasing production as the demand is getting back.
  2. $ is trading at Rs73.65
  1. FII have sold for 250cr and DII have sold for 1000+cr