Analysis and Game Plan - 15 November 2018
For a mere ₹2000/- I did not want to hold positions yesterday.
Dow Jones is down -0.81%.
SGX Nifty is up by 30 points and is facing resistance from yesterday.
Crude Oil has reached $66. In October we were at $83 and further talking about reaching $100.
Crude Oil fall has been good for India, but any further fall can cause panic as it signifies the slowing of global growth. There was a report which mentions a fall in crude oil prices linked to slowing Chinese demand as it is one of the biggest oil importers.
INR is slowly strengthening.
India Vix is refusing to come down. It will take time to cool off.
Yesterday, Bank Nifty outperformed Nifty.
What was once a bearish retrace on Nifty & Bank Nifty changed to consolidation and is now a resistance struggle.
Nifty witnessed long unwinding yesterday, while long positions were added to Bank Nifty.
Pain and PCR are steady for Nifty but is constantly rising for Bank Nifty.
Option speculation was not much on Nifty but call writing was slightly higher than put writing.
On Bank Nifty, put writing was more than call writing. Some lower strike puts were unwinded suggesting support is moving up.
Conclusion – Since I am not holding any positions, I am not biased to any direction right now. If market open gaps up or gap down, I will be selling calls. If it opens flat between previous levels, then I am considering to wait before taking any trade and reevaluate.
Note – Will not be updating my blog today due to expiry trading.