Indian Stock Markets Today: Higher Opening, Rangebound Trend

19 January 2021 (8:24 am IST)

After yesterday’s fall, SGX Nifty is trading 135 points higher, indicating that Nifty will also open high, perhaps near the previous opening from where the index had fallen.

Technically, a higher opening was expected after yesterday’s negative trend took Nifty to oversold zone on hourly charts. On daily charts, the index had fallen below its 9-Day Moving Average, which was a negative signal.

How To Trade Nifty:

  1. Since the last two sessions, Nifty had been in a downtrend.
  2. Will this trend continue or not, this can be revealed by the 20-Day MA on hourly charts and 9-Day MA on daily charts.
  3. If Nifty crosses above these indicators after a gap up opening, then the previous downtrend will end and Nifty will be back on track for a range bound session.
  4. However, if these two indicators stop Nifty and the indicator reverses down from here, then the downtrend will continue and “sell on high” strategy will suit day trading.
  5. Day traders must wait and watch what kind of trend Nifty shows.
  6. Follow that trend, keep strict stop loss in open trades and exit trades once the trendline is broken.

Indian stock markets are expected to open with a gap up and big gains. After that, these markets will stay rangebound within the last two sessions’ trading range.

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World Stock Markets Today: Positive Start, Rangebound Trend

19 January 2021 (8:04 am IST)

18 January 2021 (9:34 pm EST)

US stock markets had a negative trend in their overnight session, but US stock futures are trading highly positive in Asia session today. That indicates a rangebound trend in these markets.

World stock markets were negative yesterday at this hour, but today, the trend is highly positive, showing that global markets are also range bound.

At the time of writing, major Asian stock markets are trading with gains. SGX Nifty is more than 100 points up, hinting at a similar high opening for Indian stock markets.

How To Day Trade:

  1. In rangebound trend, major higher and lower levels play as resistance and support and keep the intraday trend in between.
  2. Day traders can draw these levels from yesterday’s high and low points of their local index.
  3. The intraday trend is expected to start within these levels.
  4. If the trend crosses above the previous high, it will add to its gains.
  5. However, if the trend reverses from the high point, it will stay rangebound and trade towards the support levels.
  6. Markets will stay volatile like previous many session.

World stock markets are trading positive in today’s early trading hours. This trend could continue further or stay within the trading range of the previous session.

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Indian Stock Markets Today: Negative Open, Rangebound Trend

18 January 2021 (8:25 am IST)

Indian stock markets have been trading at the lower end of their current range. Nifty’s range can be seen in hourly charts.

SGX Nifty was highly negative on the last Friday’s closing hours. But today, this futures index of Nifty has recovered smartly and trading only 14 points lower at the time of writing.  This show that Indian stock markets could open flat or marginal negative or positive numbers. The trend will depend on Nifty.

How To Trade Nifty:

  1. Last week, Nifty traded down but stayed within its range on hourly charts.
  2. On Friday last, Nifty had closed near the bottom of this range, which also makes it major support.
  3. Day traders should pay attention to This support and 20-Day’s Moving Average on Nifty’s hourly charts.
  4. Nifty is expected to rise from this support.
  5. However, if the index reverses from its 20-Day MA on hourly charts, that may signal a downtrend.
  6. If Nifty crosses above this MA, then the trend will stay rangebound.
  7. Day traders can check Nifty’s hourly chart to find bottom and top (support and resistance) levels and trade within those levels with the minor trendline.

Indian stock markets are expected to open flat and trade within the last session’s trading range. Market volatility is expected to stay high like previous many weeks.

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World Stock Markets Today: Negative Start of the Week, Session

18 January 2021 (8:09 am IST)

17 January 2021 (9:39 pm EST)

World stock markets have started a new week and session with negative numbers in the early trading hours in Asia. Still, the numbers are better than what we saw in the closing hours of the US session on Friday.

At the time of writing, major Asian stock markets are trading mixed. Japan, Australia and South Korea markets are down but China and Hong Kong markets are positive. SGX Nifty is 30 points low, but rangebound. Indian stock markets are expected to open in a similar manner.

US and European stock futures are negative. Last Friday, US stock markets had closed with big losses. It seems that these leading markets will continue that trend but the range could stay small.

How To Day Trade:

  1. It is the start of a new week, so day traders should fist consult the previous week’s range and today’s numbers for their local markets.
  2. Mostly, the numbers will be rangebound.
  3. Find support and resistance levels within the last week’s candlesticks, which will be this week’s early levels.
  4. As the week progresses, we’ll see new levels being created but today, the trading range will be that of the last week.
  5. Wait for half an hour or one hour to see what kind of intraday trend is emerging within the support and resistance levels.
  6. Follow that trend for trading.
  7. Use the trendline to continue open trades and exit when this trendline is broken by the price.

World stock markets are trading mostly negative in the Asia session. The margin of losses is not significant so we can expect a rangebound intraday trend in world stock markets.

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Indian Stock Markets Today: Negative Open, Rangebound Trend

15 January 2021 (8:15 am IST)

SGX Nifty is down by 40 points, indicating that Indian stock markets could open lower by the same numbers.

That will keep these markets rangebound like the last 2-3 session. A particular trading pattern has been seen in these markets, which we have discussed before too. These markets correct intraday and then recover their losses. The overall weekly and monthly trend has been strongly positive in these markets so buying after a bounce from major support levels has been a good trading strategy for Indian stocks.

How To Trade Nifty:

  1. This index has been trading up and down but closing mostly positive this week.
  2. If Nifty opens lower today, look for a buying opportunity near major support levels.
  3. Don’t just buy because Nifty reaches any such level.
  4. Confirm that the index is giving trend reversal signals, then open a long trade.
  5. This week’s high and low levels will make major resistance and support levels.
  6. Trade between those levels, following the minor trendline.

Indian stock markets are expected to open low and trade rangebound. The major trend in these markets is positive.

On hourly charts, Nifty is making a clear rangebound structure. Day traders can follow the support and resistance levels of that structure and trade between those levels.

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World Stock Markets Today: Mostly Negative Intraday Trend

15 January 2021 (7:48 am IST)

14 January 2021 (9:18 pm EST)

Last session of this week, and world stock markets are trading mostly negative before the close for the weekend.

US stock markets closed marginally negative in their overnight session. US stock futures are trading negative, continuing the trend in US stocks. European stock futures are also down.

In Asia, major stock markets are trading mixed, mostly negative. SGX Nifty is 40 points down, showing signs of a lower opening for Indian stock markets.

How To Day Trade:

  1. World stock markets are mostly down in the early trading hours of this session.
  2. The overall trend is rangebound that’s why we are witnessing positive and negative trends on alternate days.
  3. Day traders should use trading strategies for rangebound trend.
  4. This trend is best tackled by trading between horizontal support and resistance levels.
  5. Draw these levels by using high and low points of weekly candlestick.
  6. Use daily candlesticks for a finer representation of these levels.
  7. Wait until markets touch any of these levels and reverse.
  8. That will be the right point for opening an intraday trade.
  9. Follow the minor trendline and exit trades once the trendline is broken.

World stock markets are showing a rangebound and weak trend. Most of the major indexes are trading negative. Markets are expected to trade within the weekly range and stay volatile.

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Indian Stock Markets Today: Volatile, Rangebound Trend

14 January 2021 (8:17 am IST)

Indian stock markets have also turned rangebound in their weekly trading range. Yesterday, after opening high, these markets turned down and closed flat after a volatile session.

Today, SGX Nifty is showing minor gains and trading near the previous close. Indian stock markets could trade in the same manner, following the global cues.

How To Trade Nifty:

  1. Nifty trade in a high volatile manner, going high and low but closing near the previous close.
  2. The index may stay rangebound in today’s session too.
  3. This session will see the weekly Options expiry in Nifty and Bank Nifty. That may increase the market volatility.
  4. Day traders should wait for Nifty to settle in a range.
  5. Once the upper resistance and lower support levels are clear, trade within those levels by following the minor trend.

Indian stock markets are expected to open flat or with small gains. The intraday trend may stay rangebound within the previous day’s high and low points.

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World Stock Markets Today: Mixed, Rangebound Trend

14 January 2021 (7:58 am IST)

13 January 2021 (9:27 pm EST)

US stock markets traded in a very small range in their overnight session and had a mixed closing.

World stock markets are reflecting that trend and trading mixed in Asia, where major stock indexes are positive or negative. SGX Nifty is 24 points positive, showing a positive opening for Indian stock markets.

US and European stock futures are mildly positive.

How To Day Trade:

  1. Like yesterday, world stock markets are trading on regional cues and trading in a mixed trend.
  2. Day traders should base their trades on how their local markets trend.
  3. The trading range may  stay narrow.
  4. Markets will be volatile which is a usual feature of rangebound markets.
  5. For day trading, draw horizontal support and resistance levels form this week’s high and low levels and trade between those levels with the minor trend.

World stock markets have turned rangebound and trading within narrow trading ranges. For day trading, such market conditions are not much profitable. They should cut down on their trading and wait to open trades only near support or resistance levels.

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Indian Stock Markets Today: Positive Opening, Volatile Trend

13 January 2021 (8:13 am IST)

Indian stock markets are in a strong uptrend for many months now. Currently, these markets are in their pre-Budget rally. In between, these markets witness big intraday corrections and then recover the losses to continue their rally.

Nifty also has been showing a specific pattern in this rally. The index will come very close to breaking a resistance level, then stop. Next day, the index will break that resistance with a gap up opening. For example, yesterday Nifty came close to breaking the 14,600 level, but closed below it. Today, SGX Nifty is trading 40-50 points higher, indicating that Nifty will also open higher and open at or slightly above than the 14,600 mark.

Going by the steady climb in Nifty after breaking the 14,000 level, we can expect this index to reach 15,000 mark before the Union Budget on 1st February.

How To Trade Nifty:

  1. It is always the best trading strategy to wait after the opening bell until Nifty has created a trading set up.
  2. This waiting period can save you from wrong trades and overtrading.
  3. A trading set up is created by many candlesticks and shows “double bottom”, “double top”, “higher low” or “lower high” type of formations that indicate which way the trend is going.
  4. Once day traders can clearly identify a trend, it becomes easy to follow it and open profitable trades instead of just guessing which way the trend will go.
  5. In the last two sessions, Nifty has traded almost rangebound.
  6. Today, if Nifty open above the previous high or nearby, day traders should wait for it to clearly indicate that Nifty will continue to trade up.
  7. If that signal is generated on charts, take long positions, keep a strict stop loss, then let your trade run with the trend as long as the price follow the trendline.

SGX Nifty is indicating a positive opening in Indian stock markets. After that, these markets may continue to trade high or turn rangebound within the previous session’s range.

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World Stock Markets Today: Mixed, Regional Trend

13 January 2021 (7:53 am IST)

12 January 2021 (9:23 pm EST)

World stock markets are showing a mixed, regional trend at this hour, based on local cues.

US stock markets had a tiny positive closing. US stock futures are still trading with minor gains.

But in Asia, major stock markets are trading in a mixed manner. SGX Nifty is 50 points up, indicating that Indian stock markets will have a positive opening.

How To Day Trade:

  1. World stock markets are trading mixed this week on local cues.
  2. It is a selective trend where even major indexes are trading based on the markets conditions for their component companies.
  3. For example, In US stock markets, when Nasdaq fell, Dow Jones kept sort of aloof and refused to fall with as big numbers as Nasdaq did.
  4. In the overnight session, although big tech stocks like Twitter and Amazon took another beating to close negative, other components of the tech index Nasdaq stayed positive.
  5. Therefore, day traders should focus on the index/ stock they are trading and follow the trend in that entity.
  6. If the trend is rangebound, follow horizontal support and resistance levels.
  7. If the trend is up or down (directional), follow it with the help of a trendline.
  8. Check monthly, weekly, and daily candlestick charts, which will show you the dominating trend.
  9. Follow that trend in smaller timeframes for intraday trading. Keep stop loss in all open trades.

World stock markets are trading in a mixed trend. Asian stock markets are mostly negative. US stock markets had closed slightly positive in their overnight session. US stock futures are also positive with thin margins. Indian stock markets are expected to open and trade positive.

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