Let's talk Nifty..

Hello all,
As a regular F&O trader, I've come to the conclusion that Nifty trading is a far better profitable option than trading in individual stock futures.

Since DJIA closed 233 points higher on last Friday, we can expect Nifty to open with a gap up. How high? If it is at least 1% up, Nifty spot should open at 4150 levels. For 2% up, it'd be 4185. It was amazing to see how short covering on Friday put Nifty futures at 1 or 2 points at premium to the Nifty spot! Nifty fut closed at 18 pts discount at 4091.3

Buy as many Nifty lots as you can (each has about Rs. 30,000 margin now) soon after opening once it settles down and enjoy the ride. If the market closes comfortably high, carry those lots home for more profit in the coming days!!!
Paresh

Nifty proved to be very 'swifty' today and went up to 4260 levels soon after opening. That must have kept most retailers out of early trades. But what's worrisome is that it came down some 50 points to finally settle at 4209 (spot). Another factor to think about is that the Nifty future is now only at a discount of less than 3 points. Since it has stopped near the crucial level of 4202, tomorrow's closing will decide if it is indeed headed over to 4330 levels or reversing back to 4050 or below!

My take is if it opens around 4278 (+1.6%), buy with a strict SL, and sell it beyond 4300 (R2 is 4347). But if it has trouble sustaining levels then short it on the way down. S1 is 4125.
Paresh

hi paresh, hi paresh, its nice to know that u that u too trade regularly. I too am a active trader. i ahve developed a systems approach t tradng and would like to intereact wih u for the same. my email id is joesb213@gmail.com. the rest if we ever go head with this. waiting for uremail.

Hello joesb213,

Please check your private msg folder. We can write to each other thru that channel. The market seems headed south right now. Later..
Paresh

The turbulence in the markets is overwhelming. The short term trend is down. The daytraders must hold short positions (albeit with strict SL).
Since it failed to stay above 4200 levels, regardless of brief pullbacks, it is now headed towards its major support of 4040. The local political conditions have made us all jittery, and if there is any -ve cue from the global markets (like a major central bank raising interest rates, more bad economic data from USA, a correction in any of the major global markets etc.), Nifty could then tumble further to 3900 levels.
Paresh

P.S. I invite Vijay to post his Nifty views in a separate thread as there are many of us who trade mainly in Nifty futures. Thanks.