Trade setup for 27th April

 Yesterday looks like it was a short-covering day and markets have bottomed out. But still, the data is not convincing. As I told, it will be volatile and within the range. As long as the range breakout does not happen, you cannot conclude anything.

The Covid cases are rising and Bangalore has declared a lockdown with more restriction for another 14 days. 

Now the govt is pulling its socks in tackling covid. It was a little late but a commendable action by the govt. I hope we get out of this phase as soon as possible. Have patience and stay at home. Everything can wait.

Yesterday, HCL tech fell after its results and ICICI bank shot up after its results. Frankly, it's very difficult to judge the movement of the stock after its results. At least, I am not good at that. 

This earning season, I have not done any pre earning trade. I am analysing Reliance. I may do an earning trade-in Reliance. I will be sharing it with my students with logic.

Now states are planning to take up the vaccination cost and it will be given to the people for free. 

RBI has put a cap on the tenure of the bank ceos. So Uday Kotak tenure may be impacted. Obviously, Kotak bank will be under pressure. 

For now, it looks like we will move around 14500. 14k and 15k will be that range in order to know the market directions. 

Yesterday the metals, Reliance and Banks have contributed to the move.

Today you have bajfin, maruti, axis, hind zinc coming out with results. 

Yesterday the VIX shot up and markets also shot up. I had told before also, vix shooting does not mean that the markets will fall. Today it might cool and reduce the option premiums.

Tesla has posted a wonderful earning and the stock has shot up. Its bitcoin speculation helped them get that revenue. 

The Cryptos are again back after falling for a week. Bitcoin is back to $53k and dogecoin is at Rs20


  1. I have closed my zerodha trade and I have taken a naked put. I did not add any hedge as it was only 1 lot and deep OTM.
  2. I had executed iron fly at 14500 which is in wonderful profit. Today I may get more due to theta decay. I may close them if profits are good.
  3. Today I will execute some iron condor and iron fly.
  1. Nasdaq and S&P has again made a new record.
  2. European markets also closed in the green.
  3. Today the Asian markets are flat. SGX is suggesting a flat opening.
  1. FII sold for 1111cr and DII sold for 1022cr