On 22nd November 2019 Nifty opened at 11967, made a low of 11,883, High of 11,968 and closed 11914. It almost made a shaven top day before yesterday on daily charts. On weekly charts also nifty made Shooting Star. It looks like sellers are trying to take control of the market which is still in a bullish trend.
As we can see from the weekly chart of Nifty, price is testing the trendline and has made a negative candle pattern on a weekly basis.
In the daily chart also Nifty has broken a small support trendline and as it has also made a shaven top( near to shaven top) any rise in Nifty to face very strong resistance. Hence this situation can be used to create a credit option position where you short OTM call and buy further OTM call. Or you can even create a debit spread strategy to buy an ATM put and sell lower strike put. This can be done for the December month expiry.
Nifty hourly chart is at support. If market sentiments remain positive on Monday, it can go to 11,970. It should be used to create short positions. If nifty breaks the trendline of the Hourly chart at 11880 then also fresh shorts can be initiated.
Chart of the Day
Sell TCS at CMP till 2100, with stop loss of 2130 and target of 2000
Buy SunPharma at 450 and add more at 445 with a stop loss of 435 and a target of 475. One can buy this stock for short term delivery also.
Index Of the Month
Nifty Pharma Index has broken out from consolidation and should move up. Good pharma stocks can be bought for delivery. ( Stocks like Sun Pharma, Lupin, STAR )
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