📊
⏮️ Previous Day Outcome:
Yesterday, the market witnessed a classic "V-shape" recovery. After testing the lower liquidity zones earlier in the week, bulls took control, pushing the index to close strongly at 23,713.75. This rally cleared several minor hurdles, establishing a firm base around the 23,600 area. The momentum is currently with the buyers as we head into the new session.
🚀 Scenario 1: Gap Up Opening (> 100 Points)
🔵 Zone: Above 23,813 (Approaching 23,870)
• If Nifty opens with a strong gap up, it will land directly in the "Last Intraday Resistance" zone of 23,870.
• Action: Do not buy the open. A gap up of this magnitude often leads to "Gap and Crap" (initial profit booking). Wait for a dip toward 23,750 or wait for a 15-minute candle to close above 23,870.
• Logic: 23,870 is a supply zone. We need to see if sellers are still active here. If the market sustains above this, the next major target is the psychological and technical level of 24,088.
⚖️ Scenario 2: Flat Opening
🔵 Zone: 23,690 — 23,722
• This is the immediate consolidation zone where the market settled yesterday.
• Action: Observe the first 15 minutes. If Nifty breaks above 23,725, we can aim for 23,870. If it slips below 23,690, expect it to test the immediate support of 23,600.
• Logic: A flat opening suggests the market is digesting yesterday's gains. A breakout from this tight range usually results in a continuation of the previous trend (Bullish).
🔻 Scenario 3: Gap Down Opening (> 100 Points)
🔵 Zone: Near 23,596
• A gap down would bring the price back to the "Opening Support" level of 23,596.
• Action: Look for a "Long" opportunity. If the price shows a rejection tail or a bullish engulfing candle at 23,596 or 23,519, it’s a high-probability buy zone.
• Logic: Since the recent structure is bullish, every deep dip is a buying opportunity (Buy on Dips). Only a sustained move below 23,519 would change the intraday bias to cautious/bearish.
🛡️ Risk Management Tips for Options Trading
• Position Sizing: Only risk 1-2% of your total trading capital per trade.
• Avoid OTMs: On expiry weeks or volatile days, stick to ATM (At-the-money) or ITM (In-the-money) strikes to avoid heavy Theta decay.
• Stop Loss: Always use a system-defined SL. If the level is breached, exit first and analyze later.
• Patience: Let the market reach your zones. Trading in the "No-Man's Land" between levels leads to unnecessary paper losses.
📝 Summary & Conclusion
The overall trend remains Positive. The key pivot for the day is the 23,690 - 23,722 range. As long as we stay above this, the path of least resistance is upward toward 23,870. Use the supports of 23,596 and 23,519 to enter longs if the market gives a discount. Stay disciplined! 📈
⚠️ Disclaimer: This post is for educational purposes only. I am not a SEBI registered analyst. Trading involves significant risk. Please consult your financial advisor before trading.
⏮️ Previous Day Outcome:
Yesterday, the market witnessed a classic "V-shape" recovery. After testing the lower liquidity zones earlier in the week, bulls took control, pushing the index to close strongly at 23,713.75. This rally cleared several minor hurdles, establishing a firm base around the 23,600 area. The momentum is currently with the buyers as we head into the new session.
🚀 Scenario 1: Gap Up Opening (> 100 Points)
🔵 Zone: Above 23,813 (Approaching 23,870)
• If Nifty opens with a strong gap up, it will land directly in the "Last Intraday Resistance" zone of 23,870.
• Action: Do not buy the open. A gap up of this magnitude often leads to "Gap and Crap" (initial profit booking). Wait for a dip toward 23,750 or wait for a 15-minute candle to close above 23,870.
• Logic: 23,870 is a supply zone. We need to see if sellers are still active here. If the market sustains above this, the next major target is the psychological and technical level of 24,088.
⚖️ Scenario 2: Flat Opening
🔵 Zone: 23,690 — 23,722
• This is the immediate consolidation zone where the market settled yesterday.
• Action: Observe the first 15 minutes. If Nifty breaks above 23,725, we can aim for 23,870. If it slips below 23,690, expect it to test the immediate support of 23,600.
• Logic: A flat opening suggests the market is digesting yesterday's gains. A breakout from this tight range usually results in a continuation of the previous trend (Bullish).
🔻 Scenario 3: Gap Down Opening (> 100 Points)
🔵 Zone: Near 23,596
• A gap down would bring the price back to the "Opening Support" level of 23,596.
• Action: Look for a "Long" opportunity. If the price shows a rejection tail or a bullish engulfing candle at 23,596 or 23,519, it’s a high-probability buy zone.
• Logic: Since the recent structure is bullish, every deep dip is a buying opportunity (Buy on Dips). Only a sustained move below 23,519 would change the intraday bias to cautious/bearish.
🛡️ Risk Management Tips for Options Trading
• Position Sizing: Only risk 1-2% of your total trading capital per trade.
• Avoid OTMs: On expiry weeks or volatile days, stick to ATM (At-the-money) or ITM (In-the-money) strikes to avoid heavy Theta decay.
• Stop Loss: Always use a system-defined SL. If the level is breached, exit first and analyze later.
• Patience: Let the market reach your zones. Trading in the "No-Man's Land" between levels leads to unnecessary paper losses.
📝 Summary & Conclusion
The overall trend remains Positive. The key pivot for the day is the 23,690 - 23,722 range. As long as we stay above this, the path of least resistance is upward toward 23,870. Use the supports of 23,596 and 23,519 to enter longs if the market gives a discount. Stay disciplined! 📈
⚠️ Disclaimer: This post is for educational purposes only. I am not a SEBI registered analyst. Trading involves significant risk. Please consult your financial advisor before trading.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.