Trade setup for 4th April

 Now all eyes are on the US FED. It's almost certain that the FED will hike rates by 50bps. The main question is, has the markets factored in that ?? The answer is mostly yes. Looks like the markets have factored that but it all depends on what will be the commentary by the FED. If they give some negative commentary then markets may fall more. Even sligh positive commentary will take the market higher. FED has always been in support of the market. So, there may not be any negative comments.

Elon Musk is planning to remove the current Twitter CEO. He also told that he has plans to take it public sometime later.

Today you have LIC ipo opening. I will be applying for this as the company fundamentals are good and the pricing looks decent. We are in a negative market and it may list in the red but one can invest if you are a long-term investor.

Now both nifty and banknifty are below its 20, 50 and 200 DMA. This is clearly a sell-on-rise market. Let's see if the texture change with the fed outcome.

Tata steel came out with numbers and they are planning to split the stock. So today that might rally.

Now the major challenge the entire world is facing is inflation and now there are fears of recession. This is a common fear. When markets fall slightly, everyone talks of recession, nifty going to 10k. If markets rally slightly, then they will talk of 20k. But the inflation is real, you can see that in the daily goods which you use like tomatoes, lemons, palm oil, petrol, etc. Let's see if the authorities will be able to control that as soon as possible.

The covid cases are rising slowly in the world. Is this the beginning of the 4th wave? Beijing has closed gyms and dining as cases are rising at an alarming rate there. Its better to be careful for some more time till this is over.

Today you have adani green, kotak bank coming out with numbers. Day before yesterday when Axis bank came out with numbers, it fell and took banknifty lower. Lets see if kotak can change the sentiment of nifty and banknifty.

Over the weekend and holidays, I am working on backtesting a lot of intraday strategies. Frankly, I am not getting the confidence in those strategies as the ROI is better in positional trading. These strategies work perfectly in some market conditions which is not reliable. I am working on these every day. I will definitely give it to you in case I find something.


  1. The last hr rally in banknifty gave me confidence that we may not fall further. So I executed the below trade in baknifty
    1. +1 X 36000pe
    2. -3 X 35500pe
    3. -3 X 35000pe
  2. Day after tomo is the result of Reliance. So I will be executing the below trade in RIL. I will be doing this in multiple set in many account. There is chance of making around 6% for this month. Capital is almost 2.5 lak per set. I may deploy more for adjustment if things go wrong.
    1. +2 X 2700pe
    2. -1 X 2800pe
    3. -3 X 2500pe
    4. -1 X 3000pe
  3. Most of my nifty trades which I took for this week and month are in good profit for now.
  1. Dow is sideways as they are waiting for FED decision which is coming in this week.
  2. Europe closes in the green.
  3. Today the Asian markets are flat. SGX is flat. It is showing 100 point up but that is close to our future price as we had a holiday yesterday. It fell 100 yesterday and shot up 100 today.
  1. Same story. Selling by FII continues and DII try to support the market. Let's see who will win the tug of war.
  2. FII sold for 1800+cr and DII bought for 1900+cr
  1. Crude at $105
  2. $ is at Rs 76