1. SET UP to Trade Nifty Bank.
Trend: (⇓-Downtrend) " Bank Nifty is in the 2nd phase of bearish Trend. So, Supply is Still in control of the market today. Seller will have their Mild dominance over demand.
"
Market set up :(⇔- Neutral to trend) 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 down.>> Good set up to Sell.
2. Sentiments
- Global markets:
Dow Jones future is Flat to Positive & Hang Seng is Negative.
- What is on News/TV
ICICI & AXIS bank having some issue. Banknifty is comparatively weaker than Nifty. Nifty may goes to 8700, if 8900 broken.
- Positive News-flow::
Massive FB investments in Reliance.
- Negative News-flow::
Asian market is working in negative. FII add shorts Position.
- Bottom Line:
Sentiments is very Much Negative. Sentiments is also supportive to Downtrend.
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- "Less" chance for Long unwind today.
- Will Seller sell on rise?
On rise-Since Trend is Down, There will be a higher number of Sellers at higher end which propels the market to go down from the intraday rise. Moreover, on Rising, a Buyer who wanted to buy has already bought. So Selling on the rise is a Dominant Strategy as more seller & lack of buyer on rising of downtrend 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 -81 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 Between 19288-19413
- Exit on Fair price:
Fair Price for Today's Trade is at least 19092 - 18971
- Bottom Line for Day :
HRDAY-Enter at fair price & Book Profit at fair price
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 Active Derivative Traders.
Abhikumar Patel- Live update
2 Likes