NIFTY : Trading Plan and level for 26-Dec-2024Trading Plan for 26-Dec-2024 – Nifty
Introduction:
The trading plan for 25-Dec-2024 focused on critical zones identified on the uploaded chart. The Golden Retracement Zone (23,603–23,703) acted as a pivot for potential reversals, while the Last Resistance Zone for Intraday (23,891–23,933) served as a crucial barrier. The day saw the index testing the retracement zone, respecting support at 23,608 , and moving toward the resistance zone. The Yellow, Green, and Red trends indicated sideways, bullish, and bearish phases, respectively, providing actionable setups. Today’s plan builds on these zones with further analysis.
Scenario 1: Gap-Up Opening (200+ Points)
If Nifty opens above 23,933 :
The index enters the Profit Booking Zone (24,043–24,078) , where strong resistance can lead to rejection ( Red Trend ). A sustained move above 24,078 could trigger bullish momentum ( Green Trend ).
Action Plan:
Look for shorting opportunities near 24,043 with a stop-loss above 24,100 , targeting 23,891 .
If prices sustain above 24,078 , initiate long positions with a target of 24,200+ .
If Nifty retraces back into the Last Resistance Zone (23,891–23,933) , watch for consolidation ( Yellow Trend ).
Scenario 2: Flat Opening (Within 50 Points)
If Nifty opens near 23,730–23,760 :
Monitor price action at the Retracement Zone (23,608–23,703) .
Action Plan:
A breakdown below 23,608 can trigger bearish momentum toward 23,495 . Initiate shorts with a stop-loss above 23,640 .
If prices sustain above 23,703 , look for long positions targeting 23,891 .
Wait for the first 15-30 minutes for market sentiment before initiating trades.
Scenario 3: Gap-Down Opening (200+ Points)
If Nifty opens near 23,495–23,446 :
The Last Intraday Support Zone is critical. Watch for bounce signals ( Green Trend ).
Action Plan:
Go long above 23,495 with a target of 23,608 . Use a stop-loss below 23,430 .
If prices break 23,446 decisively, expect bearish momentum toward lower levels ( Red Trend ). Avoid aggressive trades until a clear direction is established.
Risk Management Tips for Options Trading:
Always trade with defined targets and stop-losses .
Avoid over-leveraging, especially near resistance and support zones.
Allow the market to settle for at least 15-30 minutes before initiating trades.
Use trailing stop-losses to protect profits in trending moves.
Trade with appropriate position sizing to limit losses.
Summary and Conclusion:
Nifty is trading near critical levels, and today’s trading plan highlights actionable zones for all opening scenarios. Focus on Golden Retracement and Resistance Zones for probable reversals and momentum plays. Patience and disciplined execution with proper risk management are key to capitalizing on market opportunities.
Disclaimer:
I am not a SEBI-registered analyst. This trading plan is shared purely for educational purposes. Traders are advised to conduct their research or consult a financial advisor before taking any positions.
