Trade setuo for 19th March

Yesterday was a brutal expiry for me. I did not expect the markets to fall so badly. I thought 14700 would be protected but that did not happen. I had to close the day with a loss but that is OK as my losses were in control.

In my inner circle call with my students, I did tell them that the markets were weak and 15000 was very strong resistance. But I did not expect such a sharp fall in 1 day. 

Crude is now falling which is showing that consumption is going down. Now Crude is at $63. It fell more than 7% yesterday. 

Us bond yield is at 1.7 and that caused panic in the US markets and fell. This is the 14 month high.

Bitcoin is at $57k

The surprising thing is that the FII did not sell yesterday. They bought for 1200cr and DII sold for 1100 cr. I expected them to sell in such a fall.

Nasdaq is again starting to fall. The tech stocks which rallied a lot is now into brofit booking phase. If Nasdaq breaks its previous low of 12300 then it will fall more and obviously other markets will also follow. Nasdaq recovered 68% from its previous fall and is now falling more.

 There is a clear double top in nifty. This is a bearish signal. I believe that nifty will continue to fall more. I am still having a doubt as FII have not sold. Today will be the deciding day. If the FII turn sellers then I will be shorting the markets aggressively.

Today morning the Asian markets are all down by more than 1%. SGX is again suggesting a gap-down. This will be the 6th consecutive days where nifty will close in red if it closes in red.

Covid cases are surging everywhere. Paris is in lockdown. There is a huge restriction in India as well, especially in maharashtra.

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