Trade setup for 24th August

 Yesterday I did mention that the day before yesterday's fall was not due to selling but more due to not buying. There is a difference. Yesterday, markets did break 17500 and recovered. It was volatile though. 

In fact, markets were all over the place. First, it gapped down, then it went to green, then it went to red again. Finally, in the last half an hour there was a rally and it closed in the green. It's very difficult to trade intraday in this situation. Most of the trend following intraday strategies have failed. 

The news of the day was Adani buying an almost 30% stake in NDTV. For people who don't know, NDTV is considered to be anti-Modi, and now it's in the hand of Adani. Adani is now planning to buy an additional 20+%. So is this a strategy for the 2024 election??

It will be interesting to see how the Adani group of stocks behave today. 

Banks are making a fantastic move. Yesterday, it was the banks that rallied significantly. 

Yesterday, I did a video on youtube after a long time. There I did discuss a strategy that I have taken in the Adani enterprise. 

The markets are still weak. Maybe now all are waiting for the Jackson hole summit which will begin tomorrow. The important point here is that the markets took support at the 20DMA yesterday. Now 20 DMA is very strong support. Markets may fall further if that is broken on a closing basis. I am not expecting that to happen in this expiry. 

If the market has to fall then it has to fall now. If markets go sideways and if it does not show signs of falling then markets may even make an all-time high in Sept. So next week will be an important week to watch. 

For this expiry, 17500 might be protected and in the next expiry markets might fall.

India vix is at 19.

Now crude and $ will decide the momentum of the market. $ is almost kissing Rs 80 and crude is now above $100. OPEC is now planning to reduce the output led by Saudi.

Yesterday a whistleblower told that Twitter is not providing the right data. This has given a boost to Elon musk who was telling that most Twitter users are bots. The stock yesterday fell 8%

China is facing economic problems. Its real estate inventories are not sold. The bank loans are getting defaulted. Now there is a serious power crisis in the country. Will this escalate and will this accelerate the recession in China and other countries?


  1. I had taken short trades when nifty and banknifty when its RSI was above 80. Now it's in good profit. Seeing the data, I still feel that the market has to fall more. 
  2. Yesterday I executed the below strategy
    1. -1 X nifty futures 
    2. -1 X 17500pe (sept)  I will rollover futures if required.
  1. US closed in the red for 3rd consecutive day. Today the US futures are also in the red.
  2. Europe lost close to 0.5% yesterday
  3. Today the Asian markets are in the red. SGX is down by 75 points.
  1. Suddenly institutional activity has gone down. Are the waiting for somthing?
  2. Before 1000+ cr was very common. Nowadays it less than 1kcr
  3. Yesterday FII bought for 563cr and DII sold for 200+cr
  1. Crude above 100 and $ almost 80. Keep a close eye on this. I feel this is going to be the trigger for the markets to fall.