9 April 2020 (8:38 am IST)
Indian stock markets had a very volatile session yesterday where markets first surge upwards and then slumped to close near the opening levels.
Nifty cracked past 9,100 in minutes in the previous session but then, gave up all gains to close below 8,750.
Today, SGX Nifty is hinting at a positive opening for Nifty and broader Indian stocks. This will still keep these markets range bound and we’ll have to wait and see if Nifty can sustain at higher levels.
Here are intraday pivot levels for major stock indexes, given on our Pivot Trading page :
Indian stock markets are expected to open higher but trade with volatility. Until Nifty closes above 9,000; this volatile trading pattern will continue in Indian stock markets.
9 April 2020 (8:02 am IST)
8 April 2020 (10:32 pm EDT)
US stock markets had another rally in their overnight session and gained more than 3%. Looking at the Dow Jones chart, a “stairway (building) to heaven” pattern is clearly visible.
Other markets are following that pattern and an uptrend is slowly taking shape in world stock markets.
Today, in Asia, all major markets are trading positive. SGX Nifty is 100 points up, showing a positive opening for Indian stock markets.
US stock futures are slightly down but European futures are mixed.
Major stock markets will remain closed tomorrow for Good Friday, so this will be the last session of the week. Profit booking may trigger volatility in markets so day traders should be cautious and follow the trend in their local markets.
8 April 2020 (8:17 am IST)
Indian stock markets had one of the biggest rally yesterday where major indexes closed with gains of 7 – 10%.
Today, SGX Nifty is trading 150 points down, so we can expect a negative opening for Nifty and broader Indian stock markets, within the trading range of yesterday.
SGX Nifty is showing a positive pattern even with this type of loss. This futures index of Nifty is rising from lower levels, creating a positive candlestick on charts.
This indicates that Indian stock markets may also follow a similar trend and rise after a negative opening. However, the overall trend will depend on how US stock futures trade through the session.
For sideways trend, we have provided pivot levels on our Pivot Trading page. Check out these levels here:
Indian stock markets are expected to open with a gap down but keep their positive momentum. Yesterday’s trading range was very big so today, we can expect these markets to trade within that range. If these markets regain buyers’ support, then Indian stocks can surpass the previous high level.
8 April 2020 (8:17 am IST)
7 April 2020 (10:52 pm EDT)
US stock markets had a “higher open, negative closing” overnight session where traders booked their profits, taking advantage of two sessions’ gains. Remember, this is going to be a short trading week as major stock markets will be closed for Good Friday in the last trading session of this week.
Dow Jones’ chart shows that the index opened much higher than the current range top (breakout), then profit booking pushed this index down to close within the current range. In line chart, this shows a flat closing.
After Tuesday’s huge rally in world stock markets, this pause is natural for global stocks. At the time of writing, major Asian stock markets are trading mixed. SGX Nifty, which had a mountain-high rally yesterday, is down by 160 points.
US stock futures are also trading mixed. European stock futures are following this mixed pattern.
World stock markets are expected to trade with a choppy trend. The best day trading strategy will be, follow the trend in your local markets and trade cautiously. After yesterday’s uptrend, this is a sideways trend so don’t be greedy to earn as much profits as you did in the previous session.
7 April 2020 (8:22 am IST)
SGX Nifty had rallied yesterday and is rallying today as well, so we can expect Nifty to open with a big gap up. SGX Nifty’s chart is showing a “higher low” candlestick pattern which is a positive signal. For Nifty, today’s high open will also create a similar signal.
But, for Nifty, the trend AFTER the big open will be more important. Nifty has faced stiff resistance near 9,000 in recent weeks. If and when the index clears this hurdle, we can expect a true trend reversal for the index and broader Indian stock markets. Until then, these markets will remain range bound.
For range bound markets, knowing pivot levels is advantageous. We have provided those levels on our Pivot Trading page. Here are those levels:
Indian stock markets are expected to follow positive global cues and open with a big gap up. US markets are leading a rally in world stock markets and after the initial volatility, we can expect Indian stock markets to stabilize and trade positive.
7 April 2020 (8:22 am IST)
6 April 2020 (10:52 pm EDT)
US stock markets had a huge rally in their overnight session. All three major indexes gained more than 7% in the session. Dow Jones snatched more than 1,600 points.
Despite such big gains, US stock futures are not slowing down and are lower by minor numbers in the Asia session today. With their overnight rally, major US stock indexes made a “higher low” pattern on technical charts.
We have been writing about waiting for this pattern even when US stock markets were crashing, and had written that this “higher low” pattern on technical charts will confirm a trend reversal and markets will rise after that.
As if on cue, world stock markets have also jumped with significant numbers and are rallying in this session. All major Asian markets are showing big, positive numbers. SGX Nifty is quite high, indicating a big gap up opening for Indian stock markets.
We are at the beginning of an uptrend from bottom levels and now, buyers will start supporting markets. But sellers will still try to scrape the bottom for remaining profits and this tussle can make markets volatile. So, day traders should trade cautiously and strictly follow the trend. That would be the best trading strategy in these market condition.
6 April 2020 (9:07 am IST)
5 April 2020 (11:37 pm EDT)
World stock markets are surging up at the start of this new week, as the coronavirus wave starts to weaken.
At the time of writing, US stock futures are rallying with big margins. Dow Jones futures are nearly 700 points up . This has infused energy in other markets too and positive numbers are seen everywhere.
In Asia, all major stock indexes are trading high with good margins. SGX Nifty is 100 points up but Indian stock markets are on a local holiday, so the trend in SGX Nifty does not matter much.
This is the starting session of a new week, so we can hope that the weekly trend will continue to be positive. Especially for US stock markets that looked set for a big gap up opening some 10 hours from now.
The good thing is that the news reports indicate that coronavirus is retreating. With more such reports, stock markets will improve and we can expect the return of the rally of no negative news hits markets again.
3 April 2020 (8:40 am IST)
Indian stock markets were closed for a local holiday yesterday. In the session before that, these markets had a highly negative session and closed at the session’s lowest point.
That is a negative signal. Looking at Nifty’s technical chart, we can see that this index has made a “double top” formation after a bounce back with global markets. This is another negative signal for this indexes and can bring back the previous downtrend.
However, in stock markets, we can never predict with certainty, which way the trend will go. Right now Nifty and broader Indian markets are restricted in a small range. That range will continue till these markets fall below the previous, biggest low levels.
For trading in a range bound market, we have given range levels on our Pivot Trading page. These levels are:
Indian stock markets are expected to open marginally negative and trade within the broad range, created near the bottom levels. Markets may remain volatile.
3 April 2020 (8:40 am IST)
2 April 2020 (11:09 pm EDT)
US stock markets closed positive in their overnight session. Today, US futures are trading negative with considerable margins. Dow Jones futures are 200 points down at the time of writing.
Major Asian stock markets are also trading in small ranges with mixed numbers. SGX Nifty is 33 points lower, continuing its sideways trend.
European stock futures are also negative, following the trend in US futures.
This is the last session of the week, which can keep world stock markets volatile as investors and trades will square off their short term positions before the weekend.
The best trading strategy will be focusing on the trend in your local stock index and trade with it cautiously.
1 April 2020 (8:17 am IST)
Indian stock markets had a 3% rally yesterday; but overall, these markets are trading sideways since the last four session.
That trading range is expected to remain effective today also. These markets will be closed tomorrow and weekly Options expiry will take place today. That could increase choppiness in the markets.
To help day traders with intraday range levels, we have provided pivot levels of major indexes on our Pivot Trading page. Here are those levels:
Expect Indian stock markets to open slightly lower. The negative global cues could keep these markets under pressure. The day trading strategy should be to follow the trend and trade in fewer lots.