Down side pressure in Nifty continues despite an attempt to move upwards

On 1st June receiving some positive clues from the global events Nifty tried to start the weekly move with a bullish push. After a gap up opening by more than 100 points it moved another 80 points upwards but failed to hold that momentum when FII selling pressure triggered. A constant selling domination persisted after that throughout the entire day and brought Nifty closer to 23350 before closing at 23382 for the trading session.

The MHAF chart supported this bearish pressure by forming a strong red candle. The stop loss point according to the updated spreadsheet below has been lowered to 23974 and tomorrow at day's opening (if flat) it will be further lowered to 23790. However, we are not following those levels in our strategy which has given us a fixed reversal point sitting at a far distance at 24005.

The monthly short bias position we created on 1st June is now sitting at a comfortable position with about Rs 46,000 unrealized profit. We plan to hold this without any further action until either the reversal BE point at 24005 is breached or about 80% of the max potential profit of Rs 1.41 L is bookable.

Cheers and happy trading.