Bearish move over for now. NIFTY should gain again
Based on Friday 9 Dec price actions we predicted a bearish move ahead for NIFTY and exactly that happened on Monday 12 Dec. The market gapped open down and never spiked up above the opening value. Throughout the day the bearish pressure was intact and NIFTY closed near the day's low.
However, we now have a hidden bearish divergence formed between NIFTY and SMT as indicated in the chart below. NIFTY did not fall to the extent of the low printed on the SMT. At the end of yesterday's market we closed the bearish hedge with nice profit and opened a bullish hedge with long NIFTY futures at 8180 and short 8250 calls.
Tags: hidden divergence, custom indicator, divergence, proprietary trading, futures, trading, smart money tracker, smart money, nifty, indian stock market, forecasting, regular divergence, derivatives, finance, prediction, options, market analysis