In July series Nifty is probably going to start a fresh bullish run

Since the 15th June gap up opening in Nifty due to the war front ceasefire, it has entered into an ABCD pattern consolidation zone within the range of 23800-24250. Between 15th June and now Nifty has made 2 up-moves, found resistance around 24200-250, and 2 down-moves while supported at 23800 area.

On 1st July, which was the first trading of the new July series, Nifty has probably started a 5th wave to the upside but still lacking the strength to confirm the bullishness. The MHAF chart has formed a new bullish candle but the buy trigger for the day at 24138 was not breached yet. The sell trigger was located at 23790 which was quite far away confirming more power of the bulls at present.

During the 2nd July trading session we are expecting Nifty to close above the day's tentative buy trigger placed at 24113. If that happens we plan to go long on Nifty futures and short on a suitable OTM call option. If Nifty reverses for some reason to the downside, we will look for going short below 23800.

Cheers and happy trading.