Nifty: Wheels on the Nifty go up and down

3 oct 2022

On September 28, it was suggested that Nifty is near 240 day EMA and that 17166-17320 zone might act as short term resistance and short term support being around 16300 odd levels.

Well, Nifty has made a high of 17187 thereafter and and now is back at it's 240 day EMA.

For the October month, Important Support and resistance levels going forward
Gap support 1 - 16653-16746
Gap support 2 - 16360-16490

- 50 day and 20 day EMA around 17270 and 17340 coinciding with Gap resistance zone at 17166-17320

The Short strangle strategy suggested on 28 September, which had a Net receivables of 181 points at that time; is currently valued at 125. That gives a profit of 56 points per strategy lot. We continue to hold and as long as Nifty is between 16300-17320 odd points, we would be passive in our trading approach.

Important levels to watch out for till 6th October 2022
16980 / 17062 / 17123 on the upside

16855 / 17733 / 17608 on the downside

Take care & safe trading...!!!

Disclaimer
- The view expressed here is my personal view
- Past performance is not a guarantee for future predictions
- I have been wrong in the past and can be wrong again in future too
- Use this for educational purpose
- Any decision you take, you need to take responsibility for the same
- It's your hard earned money. Treat it wisely
- Trade / Invest keeping in mind your trading style, goals and objectives, time horizon & risk tolerance
- if trading in F&O, understand that F&O trading involves risk
- Do take proper risk management measures
- Do your own analysis and consult your financial adviser if need be