NIFTY prediction for today 10 July 24

10 Jul

As we discussed, NIFTY opened sideways and ended up sideways bullish.
If we look at the chart now:
The market is trading in an uptrending channel. The market is experiencing minor resistance in the middle of the channel. As the market is trading at an all-time high, if it breaks the middle resistance to the upside, it can give a bullish momentum. There are no horizontal levels as per price action. Please monitor the trendlines drawn on the chart.
Support levels: 24350-24400 range-support-zone, support trendline
Resistance levels: dotted resistaance trendline, main resistance trendline.
If we look at the OI data:
PCR = 1.13 shows the market has a bullish sentiment. 24400 will be max pain. On the lower side, have good PE writing at 24300, 24200, and 24000, which will be a nice support point. On the upside, we have good CE writing, but CE writing is significantly lower than CE writing.

I am expecting the market to be sideways bullish until it breaks the channel on either side.
Reason:

1. RSI = 57 shows a mild bullish signal, but as the market is showing bearish divergence, it might correct itself soon.
   
2. Price > EMA(13, 50, 200), which indicates the bullish market.
   
3. PCR = 1.13 indicates market bullish sentiments.
   
4. price > VWAP shows a Bullish market structure.
   

Verdict: Sideways or Bullish
Plan of action:
wait for 15 min candle. wait for the market to make a direction and make the position accordingly,
Note: Don't go for option buying unless the market gives the breakout on either side of the channel.