Nifty Analysis : 23 May 2019

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Hello Friends,

Today, on election results day, Nifty opened on very strong note with gap-up of 163 points at 11900.
It touched life time high of 12041.
As mentioned in earlier analysis there was highest call writing at 12000 levels which acts as important resistance.
Profit booking at these levels brought nifty down by 426 point to form intraday low at 11615 & closed at 11657.
India VIX fell sharply to 19.04 as well.



Today, Nifty has formed a large bear candle indicating selling pressure at higher levels & RSI continues to show divergence.

To conclude,

  • As the excitement of election result is over, the focus will now shift towards Global tensions.
  • On the upside 12000 to 12500 level will act as resistance with highest call writing positions
  • On the down side, 11500 & 11000 level will as support with highest put writing positions for May expiry.
  • Break below Monday's (20th May) low of 11590 will trigger more selling pressure.

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Disclaimer: I am not SEBI Registered analyst. All above analysis are just for study purpose.
I am not responsible for any gain or loss arising out of trades taken based on the study shared above.
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Location: India

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