Market Context:
Nifty closed at 22,080.30, with key structural zones identified:
🔴 Last Intraday Resistance Zone: 22,188 - 22,230
🟠 No Trade Zone: 22,070 - 21,966
🟢 Opening Support: 21,966
🟢 Last Intraday Support: 21,889
🟩 Key Demand Zone: 21,613 - 21,889 (Potential Wave C Completion Area)
With a 100+ point gap opening considered, let’s analyze different market scenarios.
🟢 Scenario 1: Gap-Up Opening (100+ Points Above 22,180)
If Nifty opens above 22,180, it enters the Last Intraday Resistance Zone (22,188 - 22,230).
🔹 Trading Plan:
Go long only if Nifty sustains above 22,230 on an hourly close, targeting 22,356.
Sell below 22,188 if rejection is observed, with a target of 22,080.
Options traders can consider 22,200 CE for longs and 22,300 PE if rejection occurs.
🟡 Scenario 2: Flat Opening (Within 22,070 - 22,100)
A flat opening near 22,080 places Nifty in a neutral zone, requiring clear direction.
🔹 Trading Plan:
Avoid trades inside the No Trade Zone and wait for a breakout.
A rejection from 22,188 can offer a short trade opportunity toward 22,070.
Long positions should only be considered above 22,230, with proper stop-loss management.
🔴 Scenario 3: Gap-Down Opening (100+ Points Below 21,980)
A gap-down near 21,966 - 21,889 will bring price into Opening Support & Last Intraday Support Zones.
🔹 Trading Plan:
Look for buying opportunities at 21,889 if price shows signs of reversal.
If breakdown below 21,889 occurs, wait for confirmation before shorting toward 21,613.
Options traders can use 21,900 PE for breakdown trades and 21,800 CE for bounces.
📊 Risk Management Tips for Options Trading
✅ Use Stop Loss on an Hourly Close Basis – Avoid holding options without confirmation of direction.
✅ Trade Small in No Trade Zones – Wait for a breakout or rejection before increasing position size.
✅ Monitor India VIX – If volatility spikes, avoid aggressive short selling.
✅ Book Profits at Resistance & Support Levels – Avoid holding options till expiry unless confident in direction.
✅ Stay Disciplined – If market structure changes, be quick to adapt rather than forcing trades.
📌 Summary & Conclusion
Bullish Scenario: Above 22,230, Nifty can rally toward 22,356.
Neutral Zone: If trading between 21,966 - 22,070, wait for confirmation before trading.
Bearish Scenario: Below 21,889, weakness can extend toward 21,613, where a bounce is expected.
🔹 Best Risk-Reward Trades:
Buy near 21,889 if support holds.
Sell below 21,889 for a breakdown.
Buy only on a confirmed breakout above 22,230.
⚠️ Disclaimer:
I am not a SEBI-registered analyst. This analysis is for educational purposes only. Please conduct your own research or consult a financial advisor before making any trading decisions.
Nifty closed at 22,080.30, with key structural zones identified:
🔴 Last Intraday Resistance Zone: 22,188 - 22,230
🟠 No Trade Zone: 22,070 - 21,966
🟢 Opening Support: 21,966
🟢 Last Intraday Support: 21,889
🟩 Key Demand Zone: 21,613 - 21,889 (Potential Wave C Completion Area)
With a 100+ point gap opening considered, let’s analyze different market scenarios.
🟢 Scenario 1: Gap-Up Opening (100+ Points Above 22,180)
If Nifty opens above 22,180, it enters the Last Intraday Resistance Zone (22,188 - 22,230).
- [] Sustaining above 22,230 – A breakout above this resistance can lead to a potential move toward 22,356.
[] Failure at 22,230 – A rejection from this level could push Nifty back toward 22,080, the previous closing level. - If price consolidates near 22,230 without strong buying, it signals a possible reversal, making a short trade viable.
🔹 Trading Plan:
Go long only if Nifty sustains above 22,230 on an hourly close, targeting 22,356.
Sell below 22,188 if rejection is observed, with a target of 22,080.
Options traders can consider 22,200 CE for longs and 22,300 PE if rejection occurs.
🟡 Scenario 2: Flat Opening (Within 22,070 - 22,100)
A flat opening near 22,080 places Nifty in a neutral zone, requiring clear direction.
- [] A move above 22,100 may lead to an attempt toward the resistance at 22,188 - 22,230.
[] A drop below 22,070 would push price into the No Trade Zone, signaling indecision. - A break below 21,966 will shift momentum bearish, targeting 21,889.
🔹 Trading Plan:
Avoid trades inside the No Trade Zone and wait for a breakout.
A rejection from 22,188 can offer a short trade opportunity toward 22,070.
Long positions should only be considered above 22,230, with proper stop-loss management.
🔴 Scenario 3: Gap-Down Opening (100+ Points Below 21,980)
A gap-down near 21,966 - 21,889 will bring price into Opening Support & Last Intraday Support Zones.
- [] Holding 21,889 – A strong bounce can occur from this level, offering a buying opportunity.
[] Breaking 21,889 – If sustained selling continues, Nifty may move toward the Wave C Completion Zone (21,613 - 21,889). - If price enters the 21,613 - 21,889 range, this zone could act as a major reversal point based on the daily chart.
🔹 Trading Plan:
Look for buying opportunities at 21,889 if price shows signs of reversal.
If breakdown below 21,889 occurs, wait for confirmation before shorting toward 21,613.
Options traders can use 21,900 PE for breakdown trades and 21,800 CE for bounces.
📊 Risk Management Tips for Options Trading
✅ Use Stop Loss on an Hourly Close Basis – Avoid holding options without confirmation of direction.
✅ Trade Small in No Trade Zones – Wait for a breakout or rejection before increasing position size.
✅ Monitor India VIX – If volatility spikes, avoid aggressive short selling.
✅ Book Profits at Resistance & Support Levels – Avoid holding options till expiry unless confident in direction.
✅ Stay Disciplined – If market structure changes, be quick to adapt rather than forcing trades.
📌 Summary & Conclusion
Bullish Scenario: Above 22,230, Nifty can rally toward 22,356.
Neutral Zone: If trading between 21,966 - 22,070, wait for confirmation before trading.
Bearish Scenario: Below 21,889, weakness can extend toward 21,613, where a bounce is expected.
🔹 Best Risk-Reward Trades:
Buy near 21,889 if support holds.
Sell below 21,889 for a breakdown.
Buy only on a confirmed breakout above 22,230.
⚠️ Disclaimer:
I am not a SEBI-registered analyst. This analysis is for educational purposes only. Please conduct your own research or consult a financial advisor before making any trading decisions.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.