Banknifty intraday monthly expiry trading 30-09-2021

 Banknifty 15 minutes a candle view:

1. Nifty bank will be bullish (Thick blue line) when trading above 38100. Let a 15 minutes candle close above 38100, then trade accordingly.

2. Nifty bank will be bearish (Thick red line) when trading below 37700. Let a 15 minutes candle close below 37700, then trade at your own risk because Nifty bank is in bullish mode.

3. Do not trade in the trap zone between 37700 and 38100. Let the Nifty bank move upward within the parallel channel and if crossed 38100, then buy ITM Call i.e. 38000 CE or 38100 CE to get 200 points approx. till 38350 as first target and then 38550 as second target.

 

Banknifty intraday 29-09-2021

Short range trading in Banknifty: Avoid trading today as today will be premium eating day with volatility.

Banknifty intraday 28-09-2021

Banknifty intraday trading:

Banknifty is closed above 38000 levels with a green day candle. It means the Banknifty is ready for the target of 38500 and 39000 in this week.

1. Buy ATM/ITM Call when banknifty moves and crosses the thin blue line, if Banknifty opens flat.

2. Buy ATM/ITM Put when banknifty moves and crosses 37950, if Banknifty opens flat.

3. If Banknifty open gap-up then wait for 15-30 minutes and when the range break either side then buy Call/Put.

Comparison between long position vs. short position

Refer this for more

Trader's Perception in Futures and Options

All Futures and options trading strategies

LONG POSITION	SHORT POSITION
You make money when price goes up.	You make money when price goes down.
You buy an instrument at lower price, which you predict to go up. Then you sell at higher price, if you made expected profit.	You borrow an instrument from broker and sell it, which you predict to go down. Then buy the same instrument to clear/level the account with the broker.
Buy Futures of the Index, Buy Call (CE) options of the Index, Sell Put (PE) options of the Index	Sell Futures of the Index, Sell Call (CE) options of the Index, Buy Put (PE) options of the Index
Buy a stock, Buy Futures of the stock, Buy Call (CE) of the stock, or Sell Put (PE) of the stock	Sell a stock, Sell Futures of the stock, Sell Call (CE) of the stock, or Buy Put (PE) of the stock
You Buy the Futures, Buy Call (CE) options, and Sell PUT(PE) when price goes upwards in fast manner.	You Sell the Futures, Sell Call (CE) options, and Buy PUT(PE) when price goes downwards in fast manner.
When price do not change much, then Sell OTM Call (CE) in Options segment	When price do not change much, then Sell OTM Put (PE) in Options segment

Banknifty intraday 23-09-2021

Banknifty intraday view:

1. Bullish only above 37300 but slow movement is expected for upside. Buy only ITM options for CE/upside.

2. Bearish only below 36900 and expecting a fast movement till 36550 levels. Buy ATM/ITM options for PE/downside.

3. Trap zone between 36900-37300, recommended not to trade in this zone.

Nifty Bank intraday trading on 22-09-2021

 

1. Nifty Bank is only Bullish for one sided direction is above 37700 (Thick Blue line). You can buy ATM/ITM CE to grab fast 100-200 or more points.

2. Nifty Bank is only Bearish for one sided direction is below 36800 (Thick Red line). You can buy ATM/ITM PE to catch 200-300 or more points.

3. My view is that market will be volatile with ups and downs between the range of 37000-37500, let the market cross this range and then look for the opportunity to trade.

 

Banknifty daily view for 21-09-2021

After a bullish trend in Banknifty, it seems Banknifty is bearish and oversold level. 36800-36900 is a strong support level and Banknifty may turn upwards from the mentioned level. Be attentive with the FOMC meeting conclusion and Japanese financial news and Chinese Reality sector news. Our market will react to these three news. If Banknifty breaks 36800 then next support is 36500 levels and 36000 psychological levels. Let see what will happen in the market, tomorrow. I recommend to avoid trade but if you want then do it in small quantity as scalping trade.

Banknifty intraday trading on 20-09-2021

 As depicted in below image, you can trade accordingly

1. If Banknifty (15 minute candle) crosses 37950 level then you can buy 38000 CE for 100 points or more, trail the stoploss with the up move.

2. If Banknifty (15 minute candle) crosses 37450 level then you can buy 37500 PE for 200 points or more, trail the stoploss with the down move. My suggestion is to avoid trading for PUT or downside movement, it may be a trap because Banknifty trend is Bullish.

3. Avoid trading in the range between 37950-37450, because it is a trap zone, but you can do scalping trade for 5% +, only.

 

 

 

Banknifty is again in parallel channel:

Banknifty weekly analysis of 20-09-2021 to 24-09-2021

Banknifty Daily View (a day a candle): 

Banknifty is trading above 37500 levels, exactly at 37800. But in the last trading day it resists 38100 levels and goes down to 37450 levels. Banknifty may consolidate for few days between 38050 and 37450 levels. If breaks either 38050 levels then we can see blasting up move of 700-800 points or breaks 37450 levels then we can see downfall of 750-850 points.

 

 

Banknifty Weekly View (a week a candle): 

On weekly basis, Banknifty is trading above the BLUE trend line and has Bullish view in short term. It seems that Banknifty will go up to 40000-42000 levels in the near short term (this month or the next month i.e. October). The maximum Call OI has developed on the levels of 38000 levels, if Banknifty trades above it then we can see drastic short covering which will take the Banknifty to 39000 levels in the next week. Banknifty will be only Bearish when it breaks the RED trend line i.e. 36500-36000 levels.

 

Various trading styles in stock market

  

1. Positional Trading Style: This is a long term trading style for which a stock market instrument is taken for few months or years for good gains of 50% to 100% or more.

2. Swing Trading Style: This is a short term trading style for which a stock market instrument is taken for few days or weeks for expected profit of 5% to 10% more more.

3. Day Trading Style: This is also known as intraday trading for which a stock market instrument is taken for a day (no carry forward position) for 1% to 2% or more gains.

4. Scalp Trading Style: This is an extremely short term based trading style for which a stock market instrument is taken for few seconds or minutes to get good gains.

Banknifty Weekwise and Monthwise candle analysis

 Bank Nifty a candle a week overview: Creating wedge pattern (Click here to read...). BLUE line is resistance of 37000 levels and RED line is support trend line. 4-5% correction is due in as per Nifty 50 as it has runned too much.

 

 

 Bank Nifty a candle a month overview: Creating wedge pattern (Click here to read...). BLUE line is resistance of 37000 levels and RED line is support trend line.

 

Banknifty weekly analysis and intraday trade setup for Monday 13-09-2021

BankNifty weekly overview:

Banknifty rejecting the levels of 36500 (major support) and 37000 (major resistance). Banknifty is just consolidating after breaking the levels of 36500 (upside) or breaking the parallel channel upside. 

But it is still facing the resistances on 37000 levels. For the major up move Banknifty has to close a DAY-candle above 37000 and give a follow-up candle (a green candle above 37000 and closing above the high of the previous day candle), then Banknifty will give 1000-1200 points intraday.

But if it breaks the 36500 levels below (which is I am expecting, any day), then give a follow up candle closing below 36000 levels, then panic selling will be starting which will bring Banknifty to 35000-34500 levels in intraday.

 

Banknifty intraday trading chart for 13/09/2021. 

For intraday 36800 level upside is acting as a major resistance (GREEN LINE) and 36500 levels downside is acting as a major support (RED LINE).

The trend lines (BLACK LINE and RED LINE) are making a wedge pattern (Read here...). Breaking the BLACK LINE with 15 minute candle will make it bullish. And breaking the RED LINE with 15 minute candle will make it bearish but there are many supports between 36000 and 36500 (like 36400 and 36200).

Options trader's perception in positional trading

1. Long position buildup:

Establishing a long position indicates that more investors are expecting price increases and are holding long positions. This can be for a variety of reasons, including stocks that are in an oversold area, some good news about the stocks, or some positive global leads.

2. Short accumulation/buildup:

Short accumulation shows that more investors are expecting interest rates to fall and are making short bets. There are many reasons for this, such as stocks are in an oversold area or stocks have bad news.

3. Long unwinding/closing:

When a long position is closed, people start to sell a long position because some news or goals have been achieved. The reasons for closing a position for a long time may be different, but the result is the same.

4. Short covering:

Traders start buying stocks that they have sold before to close their positions or to exit the position with profit if they achieved what expected.