12 October 2020 (8:10 am IST)
Indian stock markets have been climbing up in a straight line, following the positive global trend. Today also, SGX Nifty is trading higher, indicating a gap up opening in Nifty and broader markets. After that, Indian stocks may turn range bound as there is no strong global trend. Indian stock markets are expecting another dose of financial stimulus so technical resistance levels will not be strong enough to stop these markets from going up.
How To Trade Nifty:
- Nifty has been adding 100-200 points in almost every session in this month.
- The index is making positive candlesticks on bigger time frame charts.
- Another gap up opening will create a positive opening candlestick for this week.
- Today, Nifty may trade within a narrow range as global trend is muted.
- If that happens then day traders should use range bound trading strategies.
- This will include selling near resistance (high level) and buying near support (lower) levels.
- In this trend, day traders should keep their trading to a minimum.
- However, If Nifty continues to go up after a positive opening, then day traders can take help of the trend line and trade in long positions.
Indian stock markets are expected to open with positive numbers and trade range bound in this session. Any change in global trend will affect Indian stocks too.