NIFTY Prediction for tomorrow 17 JAN 24

16 gen

As we discussed NIFTY yesterday, it will be going 22100, and then it will settle there. The market did reach the level, and then, because of resistance there, it reversed back. Again, took support is at a day's low. If we see selling candles had a higher volume than buying candles. That shows the market will be turning bearish soon. We have marked a zone of today's highs and lows. If the market breaks the zone to the downside, then selling can be seen in the market.
The best points to make an entry will be either entering at high (22100 rejection) or entering at the breakdown (today's low).
According to the OI data, PCR 0.8 dropped from 1.51(yesterday). Shows sellers are becoming aggressive at higher points(~22100).
Also, in today's 2nd half, there is no new PE writing. Only CE selling happens at higher levels (22000 and 22050). Also, there was a huge PE unwinding at higher levels (22100).
Also, it has faced rejection from the resistance trendline.
I am expecting a bearish market in tomorrow's session.
Reasons:

1. Price got a rejection from the resistance trendline. It should continue its momentum to go downwards as marked on the chart. (sideways or Bearish)
   
2. Price > EMA(200) and VWAP require some consolidation or correction at this point (also discussed yesterday). (sideways or Bearish)
   
3. OI data shows a huge decrease in PCR from 1.51 -> 0.80, which shows huge bearishness in the market—an indication of a reversal.
   
4. RSI has also dropped to the 40-60 range, which is sideways, but if it falls below 40, it will turn into a bearish market.
   

Verdict:
Sideways in the channel, if they break to the downside, will turn BEARISH

Plan of Action:
Keep neutral position IRON CONDOR inside range
AND
Go bearish with sell 22000 CE Sell (with Hedge protection)