Trading Set Up for Banknifty on 26/06/2019

Creators
1

1. SET UP to Trade Nifty Bank.

  • Trend: (⇓-End of Down Trend)
    • Bank nifty's downtrend seems to exhausting now. Buyers/ demand try to make a comeback & supply also gets reduce on further dips today.
  • Market set up :(⇓- Opposite to trend )
    • Today Bank nifty Force set up is Supportive for Buying. So Today is Good set up to buy. Today, you should look to Buy.
  • F&O Trader position: (⇔- Basis is flat )
    • The Difference between Bank Nifty future and spot (Basis) is now 120 Points. The Basis has risen from last day about 8 points.
  • Bottom Line :
    • The Trend is Down, But it is end of downtrend. The Trend can change itself to Upside Today.>>Good set up to Buy.>> Basis rise.

    2. Sentiments

    • Global markets:
      • Dow Jones future is Flat & Hang Seng is Flat.
    • What is on News/TV
      • Market still in range, But trading on Higher end of range. Buying on dips works today.
    • Positive News-flow::
      • Sentiments is High due to large last day relly , FII data Positive & Monsoon has come!!
    • Negative News-flow::
      • Global data- crude near 66$ is worry & dow is nagative.
    • Bottom Line:
      • Sentiments is Mild Positive. Sentiments is also supportive to upmove.

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

    • From where New Buying comes?
      • A.Since sentiments are Mild Positive, the Outside Trader will Buy with very Mild Force. B. Trader's with a short Position-"less" chance for short covering today.
    • From where new selling come?
      • A.Since Sentiments are Mild Positive, Outside Trader will on short on Rise Only.
    • Will Seller sell on rise?
      • There may not be any resistance from Seller side as most have sold their position

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

    • Set Up:
      • Today Bank nifty Force set up is Supportive for Buying. So Today is Good set up to buy. Today, you should look to Buy.
    • Sentiments:
      • SentIments is Mild Positive.
    • Trading Edge:
      • My Today Trading edge points clubbing Setup & Sentiments is 71 Point. Since My Trading Edge is more than 70, I will look for Buying Opportunity only.
    • Entry on Edge:
      • Buy- When BN is below 30811.05
    • Exit on Fair price:
      • Fair Price for Today's Trade is 31043.05
      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
    Twitter https://twitter.com/abhi_9392