Trade setup for 26th October

 Sorry, I could not write blog and do video yesterday as I was busy with some personal things. Yesterday was a banknifty day and all credit to ICICI bank. The results which came on Saturday was fantastic and it shot up 10%. This quarter, all companies came out with good results but the stock price fell as they missed expectations. I expected the same to happen in ICICI as well but I was wrong. It shot up. As I always tell, guessing the move of the stock after earning is a very difficult game and trading without strategies is very dangerous. Usually, if there is a rally before the earing then the stock price will fall or be flat after the results. But in ICICI it was a different case, it rallied before the results and also after the results. 

Reliance fell 1% after the earning. 

Today you have a lot of companies coming out with numbers. Axis, kotak bank, bajfin will be coming out with numbers and banknifty will be in focus. 

Tech Mahindra results were good and has beaten the estimates. So today the IT might rally as the sentiments are positive. 

Fresh bidding for IPL will begin and there are more teams now. The circus will get more exciting from the next series.

Micheal Tyler(Gunther from Freinds) has passed away. I am a huge fan of the series Freinds. RIP

In the US as well, the sentiments seem to be high. One more trillion-dollar company is born and that is Tesla. It shot up 12% yesterday and its market cap is now 1 trillion.

Facebook also shot up as their earning was good. They are coming out with a  buyback program as well.

Inflation is the biggest risk for the global markets in the near term. But it's not impacting the stock market for now. Usually, stock markets react if there is some inflation worry. Probably we are overreacting to inflation worries.


  1. I had a short strangle trade in banknifty and I had to close them yesterday in a loss. Did not expect such a huge movement in banknifty yesterday.
  2. I have taken the post earning trade in ICICI bank. Today if ICICI bank shoots up then I will take more positions in them for the next month. 
  3. This is the last week of the expiry. So I am having fewer positions and closing trades which are in good profit as well.
  1. The US markets closed in the green. Nasdaq gained significantly as all tech stocks rallied led by FB and tesla. 
  2. Europe was flat.
  3. Today the Asian markets are in a flat zone. SGX is suggesting a flat to positive opening.
  1. FII sold for 2500 or cr and DII bought for 2400cr
  1. Crude is at its 7 year high. It's trading at $86
  2. $ is at Rs 75