Markets Ahead for the Week


What happened?

Though it seemed like a massive sell off, observing the Monthly candles especially in Banknifty, clearly shows that it is just a pause and not a confirmation of a bearish market. 

In fact, It seems as though the bullish momentum may continue.

Last two weeks were very volatile. The previous weekly candle shows aggressive selling from the higher levels. The last week candle shows buying pressure happening from the lower levels.


What to expect?

I expect the next week to be a sideways market and thus expect a pause candle, since the previous two weeks have given momentum on either side.


How am I planning?

Since I see a stiff resistance at higher levels, 40500 for BNF and 17500 for nifty, I would wait for opportunities to short these calls and would wait for Theta Decay.

If by any chance, the markets make a swift higher moves, I may convert these positions into Straddle or Strangle based on the momentum.

And always, all these trades would be planned with a Strict STOP LOSS!!


What do you people, infer from this? Where could I go wrong?


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