Welcome to our website, and today we are going to talk about the bank nifty 9 20 strategy because having the right strategy for Bank Nifty is essential.
Under the 9 20 trading strategy, if you want to trade in Bank Nifty, you need to understand the current market conditions and make trades based on that.
Many people have talked about Bank Nifty Strategy in the market. If you want to trade options in Bank Nifty, you should know the right strategy.
Around 9:20, there are various market conditions, and it’s crucial to understand these conditions and buy trades based on the current trend. This approach can potentially yield good profits.
If there is a 400-point gap in the market, and the market has been trending for several days, buying a trade around 9:20 can be beneficial.
Even if there’s negative news causing a gap down in the market, don’t be too worried. The impact of bad news usually lasts for one to two days.
You need to watch calmly for 5 minutes, and if you see a gap down followed by a trend, quickly buy the trade. Purchase the trade in the direction of the first candle that breaks the high around 9:20.
You need to draw lines above and below the first 5-minute candle’s range, and then take an entry in the direction of the breakout. It’s important to set your stop-loss, target, lot size, and points in advance to minimize potential losses and maximize your profit potential. This strategy aims to help you make informed trading decisions based on breakout movements within the first 5 minutes of trading.
If your first candle is 100 points tall, you should place a stop loss at 70 points. If the second candle is 250 points tall, set a stop loss at 100 points.
Remember, when you’re buying a trade after a high break, always keep your exit button ready, as the market can move quickly. Movement in the market is swift, especially within 150-200 points.
If a shooting star forms below the closing price, buy the trade. If the shooting star forms above the trade, avoid buying. This indicates sellers are active.
If the candle is trading below yesterday’s closing price, buyers may dominate. If it’s trading above, it means sellers are strong.
If the market is trading below yesterday’s closing price, that level acts as resistance. If it’s trading above, it acts as support.
A shooting star forming below the candle’s close is an excellent sign. For example, if there was a gap due to news in the market, an 180-point candle can be a good entry point. If your trade is 200 points in profit, consider booking your profit.
Bank Nifty 9 20 option strategy Disadvantages:
Avoid taking trades near resistance levels or in the first green candle at 9:20.
The 9 20 straddle doesn’t work well when the market is down. Understand market movements practically.
In conclusion, this article provides information about Bank Nifty Strategy at 9:20 for educational purposes only. Our website does not provide any investment advice fort the stock market.