NIFTY: Trading Plan for 30-May-2024
Gap Up Opening:
If NIFTY opens above 22,750 and sustains this level for the first trading hour, it is likely to target 22,816-22,834. Resistance may be encountered at these levels, leading to sideways trading. Should the price trade above 22,834, a sharp upward movement towards 22,897-22,900 can be expected. However, if the price fails to sustain the gap up and trades below 22,700, support is likely near 22,669-22,650, from where an upward move could resume.
Flat Opening:
In the event of a flat opening, if NIFTY sustains above 22,700 without breaking the previous session's low of 22,685, a buying opportunity is present with a stop-loss at the low for targets of 22,816-22,834. Fresh short trades should be considered only if the price starts trading below 22,669 after rejection at 22,700, with downside targets of 22,572-22,539.
Gap Down Opening:
Should NIFTY open below 22,650, a short trade can be considered if the price action confirms rejection at 22,700, targeting 22,572-22,539. If the price falls below 22,500, further downside to 22,314 may occur. Buying is recommended only if NIFTY regains the 22,700 level and sustains for a few hourly candles above this range.
Conclusion:
Traders should carefully monitor key levels (22,750, 22,700, 22,650) and react based on price action confirmations. Implementing strict stop-loss measures is crucial to manage risk.
Disclaimer:
This plan is for educational purposes and should not be considered financial advice. Market conditions can change rapidly, and traders are advised to conduct their own analysis and consult with a professional financial advisor before making any trading decisions.