Trade setup for 3rd November


We have 1 more day for the major event. There are a lot of speculations with all permutations and combinations like a republican president and democrat senate etc etc etc. The point is that there is no point in predicting the outcome of the event. Now the global cues are very strong. We have our domestic macro data which also shows that the consumption is improving. 

Yesterday, the markets were led by banks and nbfc's. The Reliance was a bad boy and it fell close to 9%. Still nifty managed to be in the green. This is one of the rare moment when a heavyweight like RIL is in deep red and the markets are in the green. 

ICICI, Axis, Indusind were all the gainers as their results were good. Reliance is not only broken 2000, but it is also now below 1900.

The covid cases are also increasing day by day. Now many other European countries are also in the lockdown. You can rule out the possibility of another wave of the covid. For now, we will concentrate only on the election uncertainty. 


  1. I thought of doing some intraday trade yesterday. I had sold some deep OTM in banknifty. I had to carry them as banknifty shot up more than I expected. I may have to do some adjustment strategies for this now. 
  2. I had sold some small quantities of nifty as well which I was able to close in profit. 
  3. I am not carrying any major positions due to the event.
  1. The US markets closed in the green. The US futures are also in the green. Looks like they are excited with the elections. 
  2. The European markets also closed in the green. Most of the gained more than 1%
  3. Asian markets in the morning are in the green. SGX suggests that we will open with a  gap.
  1. Crude is now at $38. The cude oil fall is good for India as our consumption is also growing. 
  2. $ is at Rs 74.42
  1. FII have bought for 740cr and DII sold for 533cr.