Trade setup for 16th November

 Sorry for not writing the blog yesterday as it was Monday and I blame the weather in Bangalore which is very cold.

Coming to markets, we did feel that the markets bottomed and now the markets would rally as FII became buyers on Friday. In the morning we did have a good gap up but there was no follow-through. Nifty opened and gained 100 points and by the evening the entire gains were given back and Nifty closed in the red.

Metals and banks were weak. If market recovery has to come then banks 

ICICI bank shot up more than 8rs and then went to red by the end of the day. Banknifty recovery is important for markets to recover.

I thought that FII would have again started selling yesterday but that was not the case. 

18200ce and 39k in banknifty have the highest OI for the week. The fresh rally will begin if these 2 are taken out.

Biden did sign the infrastructure bill but there was no significant impact on the US markets. The Dow and Nasdaq did end in the flat zone.

It looks like the cryptos in India are soon going to be legalised as the parliament has started to discuss things related to Crypto.

Every day there are new coins that are rallying. Another new coin called Huskyx has shot 67000% in 24 hrs. Recently we had squidgame coin which rallied like a rocket and then it turned to be a scam coin. So be careful when you are trading these coins.

The result season has almost come to an end and ICICI securities report says that out of nifty 200, there was 86 misses and 48 beat the expectation.

Today you will know if Paytm is allotted to you or not. Since it is a huge issue. The probability of getting is also high. Let's see how it will open in some days. I am expecting a tepid opening.


  1. As I told you, I will turn bullish only when 18300 is taken out. Till then I am bearish and every jump in the market will be used for going short.
  2. Yesterday, I added the below trade when markets shot up. In the 2nd half when markets fell, this trade was in wonderful profit.
    1. +1X 18300ce
    2. -5 X 18500ce
  3. Good that I did not take a trade-in Hindalco before the earning else I would have ended in doing adjustments now. I thought it would go up after the results but it fell after the results.
  1. The US markets were flat.
  2. Europe closed in green.
  3. Today the Asian markets are higher. SGX is suggesting a 50 point gap. Lets see if that will be sold at opening or will there be follow-through on the upside.
  1. FII bought for 400+cr and DII bought for 1500+cr
  1. Crude is at $83
  2. $ is at Rs 74