Nifty and Bank Nifty Outlook for 21st September

We were expecting Nifty to test 8055 on sustaining above 7940 - 7965 and on Friday Nifty opened gap up above 7945 and went on to make a high of 8055 before closing the day at 7981.90 . Those who would have taken a trade as per our view posted on 14th September last weekend would have made 250+ points on the long side in Nifty and nearly 750+ points in Bank Nifty.

Now we would need Nifty to give a close above 8090 - 8102 resistance for any further upside.

One test of 7790 -7770  can come now in our view as we have mentioned in our previous post too as markets never go up in a straight line.

Reversal Point for Nifty Spot tomorrow is at 7782 & for Bank Nifty Spot at 16627 which should be watched by traders. From Monday we start the last 4 days of this expiry and would head into the half yearly results season from 01st October. Two consecutive close below 7770 on Nifty and 16480 on Bank Nifty would indicate that the upward journey is over and we can go back and test 7540. 

VIX has crashed to close at 18.29 eroding all the premiums of calls and puts . 

Expiry Range for Nifty as of Fridays close is 7829 - 8135 which has gone up due to lower Vix .

Those who like to trade in options can take positions on Monday as premiums are down now.;

Levels for tomorrow are

Nifty Spot

Long above 8000 for 8053 – 8071 – 8089 , SL 7964

Short below 7964 for 7911 – 7893 – 7875 , SL 8000

Bank Nifty Spot

Long above 17515 for 17595 – 17698 – 17800 , SL 17305

Short below 17305 for 17225 – 17120 – 17000 , SL 17515

We would be posting at  http://simplytradestocks.blogspot.in from 21st September onwards.

For all previous posts kindly visit http://simplytradestocks.wordpress.com

Disclaimer : These are my personal views and trades taken on them should be done with a strict SL