Education

Day trading guide for Monday

NIFTY OUTLOOK

Chandan Taparia, MOFSL:


The Nifty 50 index made a gap-down opening on account of weak international cues, as bulls appeared to have misplaced energy, and dragged in the direction of the 14,850 ranges on Friday. After a unstable weak, the market is now dealing with a pause in momentum, and has acquired caught in a broader buying and selling vary. It concluded the day with a lack of round 140 factors. It fashioned a small bearish candle on the each day scale with lengthy shadows on both facet, indicating a tussle between the bulls and the bears available in the market. It continues its formation of decrease highs and decrease lows witnessed within the final two classes. Now, it has to cross and maintain above the 15,000 zone to witness an upmove in the direction of 15,150 and 15,250. On the draw back, quick help exists at 14,800, after which 14,600.

Shares (spot ranges)

ET CONTRIBUTORS

DERIVATIVES
NSE’s India VIX moved up 5.84% from 24.15 to 25.16. VIX is popping extremely unstable in a broader vary of 21.80p-29.64 from the previous 9 buying and selling classes. Cooling down in VIX beneath 21-20 zones is required for a bullish grip. On the choices entrance, the utmost put open curiosity is at 14,000, adopted by 14,500, whereas the utmost name open curiosity is at 16,000, adopted by 15,000. Name writing is seen at 15,500, after which 15,000, whereas put writing is seen at 14,000, after which 14,500. Choices information suggests a wider buying and selling vary between 14,500 and 15,500, whereas a direct vary inside the 14,750-15250 zone.

Financial institution Nifty made a gap-down opening and remained underneath strain all through the day. Banking shares usually are not holding, and consequently, the index concluded the day close to 35,200, with a lack of greater than 500 factors. After forming a bearish candle on the each day scale, it continues its formation of decrease highs-lower lows witnessed previously two classes. Now, it has to cross and maintain above the 35,500 zone to witness a bounce in the direction of 36,000 and 36,250 zones, whereas on the draw back, help exists at 35,000, after which 34,500.

Nifty (weekly)

Bear put unfold: +14,900 PE-14,750 PE (Mar 10)

Purchase one lot of 14900 put @ 145

Promote one lot of 14750 put @ 90

Internet premium paid: 55 factors

BEP: 14,845

Most threat: 55 factors

Most reward: 95 factors

Rationale

A significant development has taken a pause and profit-booking could be seen. Merchants want to guard themselves from the draw back. India VIX soared excessive and is buying and selling at increased zones, not giving consolation to the bulls. The put-call ratio has decreased with name writing at quick strikes.

Foreign exchange technical

Kishore Narne, head-currency & commodities, MOFSL:

USD/INR standing: A sideways-to-higher transfer seems attainable within the brief time period.

CMP: 73.32

Goal: 74.10

Cease loss: 72.75

Commerce: The short-term development seems bullish so long as the pair is buying and selling above the help stage of 72.75. A buy-on-dips technique is suggested, concentrating on a better resistance of 74.10.

table 2ET CONTRIBUTORS

EURUSD standing: The short-term development stays unfavorable.

CMP: 1.1910

Goal: 1.1780

Cease Loss: 1.2010

Commerce: The pair is having short-term resistance close to 1.2010, and a downfall in the direction of decrease help at 1.1780 seems possible. Promoting on rallies is suggested.

table 3ET CONTRIBUTORS

Commodity calls

Amit Sajeja, VP- Commodities, MOFSL:

table 4ET CONTRIBUTORS

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