The Smart Way Of Investing In Gold!

-
Image
Gold has been a talk of the town, and it has been a hot commodity for over a year since it started a Bull Run. The steam isn’t off and everyone is interested in Gold as an investment, a safe asset, or from a consumption point of view. Gold derived its Latin name and its symbol from the word “Aurum” which means yellow shining metal. In the medieval ages it was used to serve as a form of payment and making jewelry. Since Gold is non-reactive and non-corrosive in nature so it was easier to isolate, but its limited supply made it a precious metal. In the modern era Dollar was pegged to Gold due to which it became a by default reserve currency, being pegged to Gold means the USA can print as many dollars which is equivalent to their gold reserves this was called as Bretton Woods System. But in 1971 everything changed when Richard Nixon removed the Gold Pegging replacing with Fiat currency. Over the years Gold has been a crucial part of the forex reserves of various countries. Even acc...
Post a Comment

Market Analysis For Wednesday (12-Aug-26)

-

Our view was bearish and the reason is there are formations of short contracts and intraday the option buying is not yielding that much, profits but in option selling the options premiums are decaying nicely.

We have to adapt to the conditions there is no other way, because the volume is very low and market becomes chopped in a 30–40 point volatility for hours.

Our target was 24,420 but our target was not done, and Nifty made a low of 24,429 and there was good premium decay in the options. 

Caution:

Since the volume is very thin so it's futile to look for big profits in options, according to current market conditions 15-25 point is the best-case scenario in option buying.

Nifty Future Contract Data:

The Future contract is still negative and today 3,900 contacts were added on the short side, and which is very less than yesterday. This is indicating about carry over short positions has the turnover has tripled than yesterday. 

We can see repeated selling pressure from 24,550-24,580 level. If tomorrow if Nifty breaks 24,380 level, then we can see further downside with intensity.

Bank Nifty Future Data:

Bank Nifty's data is negative, and short positions have been buildup 57,600-57,700 range will act as strong resistance zone and we can see repeated from this zone.

Today we have discussed about 57,200 intraday. Long and short position are equal on 57,200 and if this level breaks down then the upper resistance will shift in the 57,300-57,400 range and we can see a selling pressure towards 56,800.

Sensex Future Data:

In Sensex short positions are built up but the quantity is very less. Sensex and Nifty's components are almost same, and the move will almost be the same in both the Indexes.

On 78,000 level long and short ratio are equal, and if there is break down of this level and market sustains 6-10 minutes below this level then 78,100-78,150 will act as a resistance zone and we can see a decline towards 77,600.

For Such analysis and educational content Join Us on Telegram Dicey Trade.

Comments

Post a Comment

Popular posts from this blog

Nifty 50 July Month Options Data Analysis You Can't Miss!

-
Image
In this analysis we will talk about monthly outlook of Nifty 50 and we will also discuss about various factors such as Low VIX, and dissect the derivatives data for a clear understanding. We will also discuss about the low volume in our market and the pattern that is followed by the market, i.e. market opens Gap Up then it becomes choppy throughout the day, we rarely see momentum based buying in our market in real time, in-front of the screen. Nifty 50 Derivative Data Analysis: If we analyse the monthly data, On the CALL side 24,400 strike price long positions are added, you see the IV along with Volume and OI spurts then these are not confident inspiring long positions which are also called perpetual long positions.  On the strike price of 24,500--24,600 and 24,700 short positions via CALL writing are being carried forward. To protect these positions the strike prices of 24,900 and 25,000 are being brought as a hedge. The amount of hedging positions created is twice than the short...
Read more

India VIX: Essential Insights For Options Trading!

-
Image
India VIX stands for Volatility Index it measures the volatility expectation of the Nifty 50 index over the next 30 trading sessions. VIX is also called as the "fear gauge" it’s because VIX tends to rise when there is rise in uncertainty in the market and it tends to fall when there is calm environment. VIX doesn't tell us about the direction of market movement but the magnitude of the expected market movement. One more thing to note that the VIX is represented as an annual movement percentage of Nifty 50 Index. For example, India VIX is 16 then it’s expected that within the next 1-year Nifty can move in the range of -16% to +16% of its current SPOT price. How Is INDIA VIX Calculated? The methodology used by the National Stock Exchange (NSE) is derived from the Chicago Board Options Exchange (CBOE) VIX calculation formula. The NSE employs a mathematical model in which they employ the best Bids and Asks of the Near Month expiry and Next Month expiry OTM options. The ...
Read more

The Valuation Cliff In India: Should We Prepare For A Correction?

-
Image
As you know that since the last two years Indian market has barely any returns and market is hovering around almost the same levels that it was during mid 2024's. So in this article we will discuss about the factors responsible for this phenomenon. If you see on the index basis there is not much correction but if you see in individual stock wise then you can see correction in all sectors stocks be it large cap, mid caps or small caps. Even there are 50%-60% correction in large cap stocks. People's portfolio is bleeding but surprisingly no one wants to talk about it. Index Return: If you see the three main Index Nifty, Bank Nifty and Sensex you will notice that they have corrected themselves to some extent but if you dive deeper and see the stocks listed in this Indexes and individual stocks you will see the pain, as they have corrected themselves to a greater magnitude.  The IT stocks were a posterchild for Indian service industry and there was a time when IT stocks held a very...
Read more