Trading Set Up for Banknifty on 18/09/2019

Technical Analysis
1

1. SET UP to Trade Nifty Bank.

  • Trend:
    • Bank Nifty's bullish trend seems exhausting now. Here seller/supply try to make a comeback & demand also gets reduce on rising.
  • Market set up:
    • Today Bank nifty Force set up is Supportive for Selling. So Today is Good set up to Sell. Today, you should look to sell.
  • Bottom Line :
    • The Trend is Up, But it is end of uptrend. The Trend can change itself to downside Today.>>Good set up to Sell.

    2. Sentiments

    • Global markets:
      • Dow Jones future is Flat to Negative & Hang Seng is Flat to Positive.
    • What is on News/TV
      • Last day market collaps & Crude fall, but it can give cheer or not? Its bear market relly. 26800 is support for BN.
    • Positive News-flow::
      • Mild recover can happen due to OIL.
    • Negative News-flow::
      • FII data is not much bearish , but some bearish.
    • Bottom Line:
      • Sentiments is very Much Negative. Sentiments is also supportive to downmove

    3. Game Theory ( Tug of war between Buyer & Seller)

    • From where New Buying comes?
      • A. Since Sentiments are Very Much Negative, the Outside Trader will postpone their Buying.
    • From where new selling come?
      • A. Since Sentiments are very much Negative, Aggressive short Selling expected from outside Trade. B. Trader's with Long Position- "No chance" for Long unwind today.
    • Will there be support from buyers buys on dips?:
      • There may not be any support from Buyer as most of them have bougalreadyedy are IN the market.

    4. what I am going to do today (In bank nifty)

    • Set Up:
      • Today Bank nifty Force set up is Supportive for Selling. So Today is Good set up to Sell. Today, you should look to sell.
    • Sentiments:
      • Sentiments is very Much Negative.
    • Trading Edge:
      • My Today Trading edge points clubbing Setup & Sentiments is -83 Point. Since My Trading Edge is less than -70, I will be only looking for shorting opportunity for Today.
    • Entry on Edge:
      • Sell- When BN is above 27121.75
    • Exit on Fair price:
      • Fair Price for Today's Trade is at least 26926.75
    • Stoploss:
      • One you get a entry, You should follow 70/100 point stoploss, without fail.
      It's Significant intellectual property & New way to Analyse the Market which use Unconventional Instruments Like Behaviour Finance & Game Theory for getting clear & Unbies idea for Traders.

    Abhikumar Patel
    Twitter
    [email protected]