Trade setup for 29th September


Yesterday was another wonderful day for the markets. Nifty shot up close to 180 points. Banknifty shot close to 700 points. There was a huge decline in the last week and now things seem to recover. Its very difficult to predict the direction of the market as nifty is moving 200 points up and 200 points down the next day. In these volatile situations its better to execute Iron flys. I had executed 11500 Iron fly for December month which is in wonderful profit now. 

Yesterday, the interest on interest case was postponed to October which was as expected. So that became a non-event. The RBI monetary policy is also postponed. Probably they are waiting for this verdict from courts.

$ index fell yesterday from 94.75 to 94.15 which is good for India.

Yesterday it was the banks which came back strongly. Bajajfinance, indusind, axis, icici, all of them shot up more than a per cent which took the banknifty higher. 

Still banks are not the leaders. The leadership is with pharma and IT still.

Last week we fell drastically and in last 2 days we have shot up 400+ points. Probably we will consolidate for some days. 


  1. I have executed the below strategy for the month
    1. 11000pe X 1
    2. 10800pe X -1
    3. 10700pe X -1
    4. 10600pe X -1
    5. 10000pe X 2
  2. I have executed the below strategy in banknifty
    1. 23700ce X -1
    2. 23700pe X -1
    3. I will be adding hedges today for these
  1. The US markets are on fire on the stimulus which will be coming next week. Apple has fallen 15% from its sept highs. 
  2. Yesterday the dow shot up to 500+ points and lost slightly to close at 400points yesterday. Nasdaq shot up close to 2%. They will be highly volatile as they have the elections coming up.
  3. European markets also ended higher. Most of them gained more than 2% 
  4. Today morning the Asians markets are in flat to negative. The Asian markets are off highs. 
  5. SGX suggests a flat opening.
  1. FII sold for 27cr and DII bought for 542cr. 
  2. Finally, FII selling is halted. Now we need to see if they will start buying.