July 17/25

Global
  • Dow closed red -60 points
  • China markets are positive. Rest all are flat to negative.
  • DOW futures is in red with -100 points.
  • SGX is in red with -21 odd points.
Option chain
  • Max put writing levels that will work as a support are 10700, 10800.
  • There was writing on 10900 CE and above strikes.
  • PCR at 1.5
  • Max pain at 10800. Total premium 252. Range 10548 to 11052.
  • Closest strike for Nifty Bank is 22000. Total premium 761. So the range is 21239 to 22761, calculated based on the strike7.
FnO Data
  • FIIs have created fresh long positions.
  • They have support from the Pros who have call longs and put shorts.

Charts & technicals
  • On the weekly timeframe, we had a hammer candle formation. i.e. we opened higher, slipped down but recovered significantly. Shows bullishness.
  • Nifty 200 DMA at 10869. Nifty closed above it.

  • Nifty Bank 20 DMA at 21905. Closed above it.
  • 50 DMA at 20488.
Plan for today
  • There was short-covering in the last hour or so on Friday.
  • Today, we have to watch out for that continued short-covering while keeping a close watch on how HDFCBank is performing.
  • There's AGR hearing in the Supreme court in the latter half of the day.
  • Today can be a volatile day because of the reaction to HDFCBank results and then AGR hearing.
  • I'd like to stay with FIIs and if I get a dip, it may be worth going long - in the first half.
  • In the second half, just need to be with the trend based on the hearing concluded.

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July 6/25

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