Nifty Analysis For 22-06-2021
What do you think traders Nifty is in bear hands or in bull hands? or we by looking at the current trading structure we can say that it’s a bear trap in Nifty. Let’s find out the answers.
If you focus on last two day trading charts, you will found that every time nifty dips suddenly bulls steps in and take the nifty higher in the closing times which suggest that smart money does not want Nifty to go down. Now, let’s talk about the trading levels, on last trading day i.e friday nifty made low of 15450 and today nifty made low of 15500 and bounce back from there which suggest that 15500 is the strong support level for nifty on closing basis, now find out the resistance level, nifty made high of 15761 on last trading day i.e. friday and today it made high of 15765, so we can say that major resistance comes at 15800.
What Options data suggest?
Maximum put writing stands at 15500 and maximum change in open interest can be seen at 15600 put which suggest that support base shifts from 15500 to 15600, also some puts has been added to 15700 strike price, it means that tomorrow if 15700 level holds on closing basis than more put writers will added in 15700 strike price. Now, immediate maximum call writer stands at 15800 and then 16000.
So, we can finally conclude that if nifty able to close above 15800 on any given day then nifty will cross the level of 16000 and this time 16,000 will not able to stop nifty to make new highs. Only below 15500 on closing basis nifty can drift up to 15300 level, chances of which is very less as per current technical structure