Heading into the open, we were very clear on what the bias of the day should be.
Yesterday after about 2 weeks and 500 points of an upmove, we had seen range extension on the downside and were willing to speculate that step 2 was done and we were in early stages of step 3.
We also had a balanced profile from 2 days back to shore up that claim.
The Nifty broke down 2 times from the IB low of yesterday before finding support near the HVN at 5945 which will be a big refernce point into tommorow’s action.
5990 and 5947 given in my mid-day update both served their purpose today and would be useful tomorrow as well.
The BN gave a very good demo again for the 80% rule first up in the morning, netting us a sweet 40 points to begin the day. Later On, a trade taken below value in the same index fetched us another 70 points in trade profits.
The index is still within range of the past three days and we are looking forward to a break for some good trade opportunities.