NIFTY Analysis and Trading StrategyKey Observations:
Nifty Spot Price: 22,397.20
Max Pain: 22,450This suggests that option writers will try to move the market towards this level by expiry.
PCR (Put-Call Ratio): 0.99PCR near 1.0 indicates a balanced market, with no extreme bullish or bearish bias.
A rise above 1.2 suggests bullishness, while a drop below 0.8 suggests bearishness.
OI (Open Interest) Data:Call OI Change: 430.58L (High call writing at resistance levels)
Put OI Change: 369.91L (Put writing suggests strong support)
Total Calls OI: 752.31L vs. Total Puts OI: 745.22L (Almost equal, indicating a neutral stance)
Support and Resistance Levels:
Immediate Resistance: 22,500 (Strong Call Writing)
Immediate Support: 22,300 (Strong Put Writing)
Next Resistance: 22,600
Next Support: 22,200
Trading Plan (March 17, 2025)
Scenario 1: Bullish Setup (Breakout Above 22,450)
Entry: Above 22,450 (Confirm breakout with volume)
Target 1: 22,500
Target 2: 22,600
Stop Loss: 22,350
Reason:If Nifty moves above max pain (22,450), bulls will gain momentum.
PCR indicates a balanced market, but a breakout with volume can trigger further upside.
Scenario 2: Bearish Setup (Breakdown Below 22,350)
Entry: Below 22,350 (Confirm breakdown with volume)
Target 1: 22,300
Target 2: 22,200
Stop Loss: 22,450
Reason:Call writing at 22,500 suggests strong resistance.
Breakdown below 22,350 may lead to further downside towards 22,300 and 22,200.
Final Strategy:
Bias: Neutral to Bullish (Watch for breakout above 22,450)
Intraday Plan:If Nifty opens flat → Wait for breakout/breakdown confirmation
If Nifty opens above 22,450 → Buy on dips
If Nifty opens below 22,350 → Sell on rise
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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.
Related publications
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.