Whatever we gained yesterday will go down the drain today at opening.
Reports of Indian Air force jet crossing the LOC will impact negatively on Nifty and Bank Nifty.
SGX Nifty is already down 80 points.
Yesterday, Nifty Future shed 2 Million OI. I am thinking that is this coincidence. Was it short covering before we went bullish or positions were left because somewhere someone knew about the strikes.
Bank Nifty too saw short covering.
Although Put Writing was there in both Nifty and Bank Nifty. Lets see, if Bank Nifty takes support at 27000 and Nifty at 10800. Both the points are crucial.
Till yesterday all my positions were fine. It is going to be a painful first hour.
Crude Oil fell 3.5% yesterday which is a good news for India. Also, rupee is stable.
Although Put Writing was there in both Nifty and Bank Nifty, I can see 150-200 points gap down in Bank Nifty and 70-80 point gap down in Nifty. Below that is a worst case scenario and above that is a best case scenario for now.
There is going to be a lot of firefighting today.