Nifty & BankNifty Analysis — 30 Apr 2024 — Sharp fall in the last 1hr, rebalancing or reversal?— PostMortem Series Q1 FY2024–25
Nifty Analysis — Stance Bullish⬆️
Recap from yesterday: “We are now very close to the ATH and once we take out that, we can safely remove the double top pattern.”
Nifty does a decent climb to hit a new all-time high of 22783 and then a brutal fall of 215pts ~ 0.95%. No matter how professional a trader you are, you cannot set a trap to make money out of that move. Agreed, the 22700 PE buyers would have made some decent money today, but it was never in the cards.
Nifty was bullish and stayed bullish from the start, the sign of meltdown was not there, not according to me anyway. I was really scared that we would take out the 23800 on 2nd May as it's a holiday tomorrow.
The 63mts TF paints another picture, a perfect triple top at the 22780 levels. A double top between 9th and 10th April and the third top today on 30th April. It is not a conventional triple top anyway, but the ATH levels are seen as quite shaky. As long as 22519 is respected, we maintain the long stance. Nifty algos ended the day with a gain of 210 INR.
BankNifty Analysis — Stance Bullish⬆️
Banknifty does a perfect parabola and it really went by the script. Even though my Algos are non-directional — it has a huge hit rate on expiry days as the ATMs usually go to zero and the risk: reward is quite favorable. Despite having a directional move today, the slow grinding worked out in my favor until the 13.59 candle.
We rallied 474pts ~ 0.96% in 12 minutes and then fell 723pts ~ 1.45% in the last 60. I am quite sure, there is absolutely no way you can capture that kind of move via an algo. If you know someone who made money from this move, let me know — I am ready to be his/her student.
On the 63mts TF, notice the last candle, after hitting a new ATH — the profit booking brought us down below the previous close. The entire day’s gain was wiped out in a single candle.
Algos were sailing perfectly till the 13.59 candle, quite happy to have given out only 49233 INR as losses today.
Intraday Algos run via AlgoTest on Kotak
Webhooks automation run via TradingView on Dhan
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