Rajandran R Founder of Marketcalls and Co-Founder Algomojo. Full-Time Derivative Trader. Expert in Designing Trading Systems (Amibroker, Ninjatrader, Metatrader, Python, Pinescript). Trading the markets since 2006. Mentoring Traders on Trading System Designing, Market Profile, Orderflow and Trade Automation.

Bank Nifty Oct Futures – Short Term Trading Outlook

43 sec read

Bank Nifty Futures is under performing Nifty futures since the start of the Oct 2017 Series. Bank Nifty made a month-to-date gain of 1.3% vs Nifty Futures month-to-date gain of 4.6%. Bank Nifty indicator Sentiment and profile sentiment turned negative recently.

Trend Exhaustion Indicator

Weaker resistance got built around 24430 levels. However the trend exhaustion indicator is providing a mean reversion buy with support around 24302 levels. Price acceptance above 24430 could bring a possible test towards the major swing high reference 24964.

Trading Sentiment

Bank Nifty Profile Sentiment

Bank Nifty profile trading sentiment currently turned to negative mode again with a b shape profile on Wednesday trading post the Axis Bank Earning results announcement. Axis Bank tanked 9.3% in equity markets which make the sentiment to turn negative and sustain negative throughout the day.

Following Critical Observations about Market Generated Information
1)Open Rejection Reverse on 16th Oct.
2)Poor Structure on 17th Oct.
3)Long Liquidation Day on 18th Oct.
4)Prominent POC on 18th Oct with attempted direction down.

All the above information points to a potential weaker accumulation of shorts and more weaker stops built around 24800-24824 zone reference band. Any price acceptance above 24430 will bring a possible price action towards 24964-25000 levels in Bank Nifty futures in the short term.

Rajandran R Founder of Marketcalls and Co-Founder Algomojo. Full-Time Derivative Trader. Expert in Designing Trading Systems (Amibroker, Ninjatrader, Metatrader, Python, Pinescript). Trading the markets since 2006. Mentoring Traders on Trading System Designing, Market Profile, Orderflow and Trade Automation.

More Short Covering Possibilities in Nifty Futures as the…

When more and more momentum selling is happening at some points it ends up with more emotional momentum traders. It is like how a...
Rajandran R
55 sec read

Emotional Extremes in Nifty

Nifty Hourly timeframe ended with an emotional extreme with fearful sentiment among the investors/traders as the Russia-Ukraine geopolitical tensions heated up. This very often...
Rajandran R
25 sec read

Extreme Exhaustion in Bank Nifty Hourly Charts

Bank Nifty futures as of last Friday made a low of 35642.6 with extreme indication - signals momentum exhaustion on the hourly timeframe as...
Rajandran R
24 sec read

Leave a Reply

Get Notifications, Alerts on Market Updates, Trading Tools, Automation & More