- All types of rumors are floating around in the context of UKR-RUS conflict. How much is the actual conflict and how much interest others have on this is anyone’s guess.
- US 10 years bond yield has eased up a lot. Oil prices also eased up a bit which is good news for India.
- Gold price is increasing constantly meaning investors are looking for safe heaven.
- In F&O space, retailers have taken mostly a bearish stance against mixed to bullish stance of FII and Pro. Point to be noted here that given that all the uncertainties around UKR-RUS, why the smart money is taking a bullish stance for the monthly expiry.
- FII again sold around 2500 crore on 18-Feb and DII consumed 2000 crore out of it.
- On 18-Feb, Nifty again confirmed the support around 17240-17260 level. Breaking this will be catastrophic now given that option chain shows that 17300 has maximum writing on both call and put side.
- US market had a poor show on 18-Feb and Dow still saved 34K which is a big support zone.
- SGX Nifty closed the night before with some losses after closing of Indian market but real scenario will be known on 21st morning only.
- Nifty option chain suggests, breaking down of 17300 will take it to 17000 directly where the primary support lies. OI chain analysis can be done in live market using sites like tradingtick or opstra.
- Market likely to open flat (unless some sudden rumor) and after initial volatility, should go up. Still do not see Nifty breaking high of 16th Feb. Banknifty, on the other hand, is already showing signs of weakness in daily chart but near its support of 37500 and will go up from there.
- In 4 hour chart, we took support from lower trendline and then resistance near the upper trendline. Waiting for a breakout or breakdown.
As far as weekly chart is concerned, a daily close above 17380 should temporarily work as an SL for all shorts. On the downside, the strong support of 16850, if tested again, susceptible to break down given that it has become substantially weaker now.