Update at 2:20 PM
Market is in no trade zone at the moment. Below 10680 (sustained), it will provide opportunity to take short position.
As per analysis and more of speculation (since NIFTY is below 10740), market is retaining its range bound upward strength. However since 10740 is broken, retail trader must not risk by holding long position without hedging. Hedging can be closed if market stays above 10740 for 30 minutes at least.
For now it is recommended not to hold long position overnight if market does not breach 10740 before 3 PM.
Current trend: Range bound uptrend
Strategy: Wait or hedge
Market is expected to remain in up trend but with increased volatility as guns have been loaded by both bulls and bears. No one is willing to give up. Per my view, bulls have managed the show till now. 2 strong candles are required to break bears. Since stake is high for both sides and if bears have to overpower the bulls they will have to bring NIFTY below 10680 and let not bulls take control.
I am bullish on market at the moment. Expecting 2-3 strong candles in coming week.
Trend: Range bound uptrend
Levels to watch for:
10740 – Do not hold buy below this level if it is sustained for more than an hour.
10680 – Start staged selling if this level is sustained for 30 minutes or more.
Above 10740, hold buy for targets of 11000, 11100.
Buy on lows and sell on highs.
Hedge if NIFTY goes below 10740 to overcome any sudden big fall.
Open shorts below 10680 and hold hedge trade while facilitating staged selling.
Am bullish based on multiple factors and behavior of market that points toward trap for sellers. But option chain is indicating imbalanced market. Thus, giving levels to protect margins of my followers.
Market is bullish. Just keep SL of 10740 intact.