Nifty recovered all its losses and crawled back into positive
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pre market session 8th sept 2021

Nifty recovered all its losses and crawled back into positive

It was a tight day for the market. Nifty witnessed a flat start to the session and traded within a range during the opening minutes. However, in the first hour of trading, the market witnessed volatility and the index slipped sharply into negative territory.

The index managed to recover from lower levels during the next two hours of the session. Nifty recovered all its losses and crawled back into positive territory. By afternoon it strengthened and crossed the level of 17,400. A profit-taking wave gripped the market again, causing the index to lose all of its gains. It finally ended with a negligible loss of 15.70 points (-0.09 percent).

The market is ready for some more strength. The September series weekly option expiration data suggested a large amount of call writing at strike price 17,400, while calls at strike price 17,400 and 17,500 had the largest and nearly equal accumulation of open interest.

This means that Nifty is likely to see stiff resistance in this 100-point range; It is unlikely that the index will see any major upside unless it stays above the 17,400 level. As volatility eased, India VIX fell 1.39 percent to 14.8950. A slow start can be seen in Wednesday’s session and the levels of 17,400 and 17,485 will see strength. Support will come at 17,310 and 17,245.

The relative strength index (RSI) on the daily chart stood at 82.24; It remains overbought but neutral but is not showing any divergence against the price. The daily MACD remains bullish and is above the signal line.

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About Dwipen Gogoi

Dwipen Gogoi, MBA (IB and IT) and PGDFT from Pune. (Technical Analyst of AliceBlue) I am a You Tuber, Blogger and doing Technical Analysis last 10 years in Stock, Commodity and Forex Market. i am creating various trading strategies for day traders, swing traders, scalp traders.

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