Nifty opened flat to positive note; thanks to global triggers which saved it from gap down open. It went up breaking previous day high (Yesterday's EOD candle was DOJI) bringing in buyers and short covering rally.
Nifty was moving in an around 8100 forming a "barbed wire" formation. once the consolidation was over, it moved past 8115 which was acting as good resistance for half a day to touch a new day high at 8152.
8152-60 zone is a strong resistance area to be watched out for tomorrow. In my weekly post i had mentioned (2nd value area is not so clear, we mite have a re work there, price can bounce off to 8350-80 NF to make some adjustment for another sell off..) now since we are again back above VAL, there is higher probability for the above to happen.
FII - Have covered their longs and shorts today in Futures;net longs up by 2512 contracts
Clients - Have also covered their longs and short; net longs up by 9674 contracts
Pro - Have covered their longs and gone short; net shorts 17636 contracts
DII - Covered their longs and no change in Short position; net shorts 30722
So today's rally is completely short covering only no actual buying took place. This is like moving into thick air, more turbulence ahead! Unless we see some buying from now on, this rally will keep seeing ups and downs.
Today's close is positive next two days follow up is needed and weekly closing on friday above 8117 will bring pause to the downtrend. TIll then, be cautious and keep trailing with strict stop
Happy Trading
Nifty was moving in an around 8100 forming a "barbed wire" formation. once the consolidation was over, it moved past 8115 which was acting as good resistance for half a day to touch a new day high at 8152.
8152-60 zone is a strong resistance area to be watched out for tomorrow. In my weekly post i had mentioned (2nd value area is not so clear, we mite have a re work there, price can bounce off to 8350-80 NF to make some adjustment for another sell off..) now since we are again back above VAL, there is higher probability for the above to happen.
FII - Have covered their longs and shorts today in Futures;net longs up by 2512 contracts
Clients - Have also covered their longs and short; net longs up by 9674 contracts
Pro - Have covered their longs and gone short; net shorts 17636 contracts
DII - Covered their longs and no change in Short position; net shorts 30722
So today's rally is completely short covering only no actual buying took place. This is like moving into thick air, more turbulence ahead! Unless we see some buying from now on, this rally will keep seeing ups and downs.
Today's close is positive next two days follow up is needed and weekly closing on friday above 8117 will bring pause to the downtrend. TIll then, be cautious and keep trailing with strict stop
Happy Trading
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