Rajandran R Telecom Engineer turned Full-time Derivative Trader. Mostly Trading Nifty, Banknifty, USDINR and High Liquid Stock Derivatives. Trading the Markets Since 2006 onwards. Using Market Profile and Orderflow for more than a decade. Designed and published 100+ open source trading systems on various trading tools. Strongly believe that market understanding and robust trading frameworks are the key to the trading success. Writing about Markets, Trading System Design, Market Sentiment, Trading Softwares & Trading Nuances since 2007 onwards. Author of Marketcalls.in and Co-Creator of Algomojo (Algorithmic Trading Platform for DIY Traders)

Extreme Indications in Nifty Futures

1 min read

Extreme Indications in Nifty Futures

Nifty futures on the daily timeframe shows extreme indications as it tested the 3 Standard deviation band on Thursday, September expiry day. Sideways to short-term pullbacks are expected if Nifty Futures is able to hold quick flip short-term support zone 10959 level.

Totally September series is controlled by momentum directional bears and call writers and never let the call option buyers take advantage of their positional longs. October series premium is around 52 points which are still huge. So avoid playing Out of the money call Options specifically positional longs in Nifty Futures until the VIX crashes. India VIX currently stands above 17 handles.

Quick Flip continues to be in short mode since 11.00p.m. where emotional and momentum shorter term sellers controlled the expiry day. which has the higher odds of rollback to previous levels as that 11000 psychological reference is still in play. Markets are likely to enter in a high volatile sideways phase. So shorter term trends could be very confusing and the market will not let the traders figure out where the market bottom is.

Instead of predicting where the market likely to bottom out. Keep playing where ever the shorter term trend goes. Maybe we are somewhere close to the short-term bottom or the bottom could be already made.

As I always insist that trading around the psychological round number figures are not going to be easy to hold positional traders. Holding the trades for very short-term works here. Let the volatility crash and let the market bottomed out. Until then keep playing the very short-term moves in the market.

Nifty Futures Quick Flip Charts

As for as the trading sentiment is concerned it remains down for the last 6 consecutive trading session. Price reversal is expected if Nifty is able to trade above 10974 in the November series. Possibly a move above 11020 in October series could trigger a buy mode in quick flip strategy.

Rajandran R Telecom Engineer turned Full-time Derivative Trader. Mostly Trading Nifty, Banknifty, USDINR and High Liquid Stock Derivatives. Trading the Markets Since 2006 onwards. Using Market Profile and Orderflow for more than a decade. Designed and published 100+ open source trading systems on various trading tools. Strongly believe that market understanding and robust trading frameworks are the key to the trading success. Writing about Markets, Trading System Design, Market Sentiment, Trading Softwares & Trading Nuances since 2007 onwards. Author of Marketcalls.in and Co-Creator of Algomojo (Algorithmic Trading Platform for DIY Traders)

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4 Replies to “Extreme Indications in Nifty Futures”

  1. Hi Raj did any of your signals pick up the correction that came last week? From a fundamental perspective the rise in yields was one flag but I didn’t see much across technical indicators

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