Amid fundamental chaos, how a sound technical analysis can show us the right path is clearly evident from our NIFTY trade idea published a month ago. We don't even need to touch the chart and going to post it as it is, because those support and resistance levels are still applicable perfectly. Of course, finding a good support resistance is the first step and another major input in trading is how you trade those levels. It's the second point where half baked technical analysts fumble. To elaborate, you can read the lines under "Sell side resistance levels in NIFTY" where we mentioned not to go full steam short at 8800 and wait till 9000.
Now by look of the things, even 9000 resistance level in NIFTY isn't looking promising to go all in short. It is hard to predict where the bubble will burst . Our trading strategy for NIFTY will be, to short it very cautiously after the short squeeze above 9000 / 9100 level after judging the price action. Otherwise still be patient and keep buying from good support levels i.e. 8800, 8600, 8400. To keep the risk in check from short side ( because market can still go much higher ) please use options.
Also you can check our selective equity trades here in,
AMTEKAUTO
RUCHISOYA
UNITECH
DIVISLABS
Now by look of the things, even 9000 resistance level in NIFTY isn't looking promising to go all in short. It is hard to predict where the bubble will burst . Our trading strategy for NIFTY will be, to short it very cautiously after the short squeeze above 9000 / 9100 level after judging the price action. Otherwise still be patient and keep buying from good support levels i.e. 8800, 8600, 8400. To keep the risk in check from short side ( because market can still go much higher ) please use options.
Also you can check our selective equity trades here in,
AMTEKAUTO
RUCHISOYA
UNITECH
DIVISLABS
