1. Downside Trendline (drawn yesterday chart) breakout gave a good downside move and target. 2. Even when SGX Nifty was trading 100 points up opening candle gave a downside breakout. This was expected considering a bearish doji on 12 Jan daily chart. 3. 38400 was tested thrice and did not break and last session formed a W pattern 4. Again Nifty and Bank Nifty didnt move in sync 5. Nifty closed session after a bullish move up. 6. However daily chart on Bank Nifty closed with a bearish candle
Plan for 14 Jan
1. Nifty breaks 18200 amd Bank Nifty 38400 i will buy Put 38400 and target of 38300 and 38200 while upside 38500 has heavy put writing and on the upside breakout i will look at going long only above 38625 else risk to reward is narrow 2. Levelsand price action at these levels will be closely watched