NIFTY pullback rally may end soon.

The pullback rally on NIFTY continued on the expiry day but probably with not much support from the smart money. The trading volume was also thin compared to the other months. After the anomaly spotted on the SMT on 28th Dec, now we have a regular bearish divergence formed between NIFTY and SMT, which is supportive to our earlier negative bias. The hedge created with selling spot NIFTY at 7985 and Jan 7900 put options is being held at the moment until the current pullback rally reverses and then only we shall look for new signal to go long or may decide to continue with the bearish bias.

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