Trade setup for 31st Oct

 Today is the last day of the month. We had a fantastic rally for the month. Last month we were at 17k. And today we might be clocking 18k. November and December are slow months. So don't expect a massive rally, but we are close to an all-time high in both nifty and banknifty. I won't be surprised if we even make an all-time high. It's surprising how the entire world market is slow but we are close to an all-time high. Anyway, that's the market for you. Take it or leave it.

The US had a fantastic rally on Friday after the techs started reversing. The Dow shot up close to 800 points and the Nasdaq shot up 3%.

Today the hangseng index is at 52 week low. But we are close to 52 week high.  😂😂😂

Now, from nowhere, the FII is investing in the Indian market. We need some more confirmation to know the trend from the FII's point of view. Till now there were selling and the markets were going up. Now, they have started buying. Will markets fall or will the rally get more acceleration?

This weekend, there were some major accidents. Almost 150 people were killed in a stampede in S.Korea. There was a bridge collapse in Gujrat which caused many deaths.

On Friday, we had a rally and the rally was supported by RIL and auto stocks like Maruti. Banks were laggards. Banknifty fell close to 300 points. 

Nykaa is now within  1000. A lot of analysts had a positive view on this as this was the only profit-making new-age startup. Now even this is way below its issue price. We have a bonus in a few days and pre IPO locking period is also ending. So it's interesting to see how this plays out.

Now, 18k is a strong resistance. If we can close above that today, then ATH will be at a kissing distance.

Now all eyes are on the FED outcome which is happening in the next few days. So be careful if you are having positions.


  1. I was bearish. I had taken some bearish trades. Today after the huge gapup. I think I need to run for cover.
  2. I have taken the below trade in bajfinace
    1. +1 X 7000pe
    2. -5 X 6750pe
  3. In the weekly expiry, I took the below trade. Today I need to add some more legs for adjusting this trade.
    1. +1 X 18000ce
    2. -5 X 18100ce
  1. The US markets rallied and closed in the green.
  2. Today the Asian markets are green. SGX is up by more than 175 points.
  1. FII bought for 1500+cr and DII sold for 613cr
  1. Crude is at $96
  2. $ is at Rs 82.3