Saishayu Option Scalpers Daily Trades An Outside Bar Story

An Outside Bar Story

What Outside Bar can Do in Charts … !!!

I have been writing about Bank Nifty here basis my analysis & its helping many readers to decode the wild behavior of our volatile animal – Bank Nifty. I was out of office for few days due to some exigency & last 3-4 days have been very interesting. I have traded though I didn’t blog. Let’s see how it behaved on daily TF.

23 & 24 Jan 2023- These 2 days have been surprising to me. Because –

  1. There was a Gap up opening & immediately a retracement- This was expected after gap up opening. Surprising part is, we had a Thinnest Doji on Daily TF. Bulls should have defended day low aggressively, unlikely they closed towards Day Low.
  2. Immediately the next day, a little movement towards high & fall from highest point. On daily TF, we had a Bearish outside Bar! This wasn’t a good sign. Observe daily candles of 14 Dec 22, 4 Jan 23 & 24 Jan 23. You’ll be alarmingly alert about the lower lows created in curated manner by Bears & rejection level is falling down. Moreover Outside Bar at top at nearby levels of rejection as on 6th & 9th Jan 2023, was something to be noticed.
  3. I was aggressively Bearish once low of 24 Jan 2023 was crossed down. Bears were trying to breakthrough lower levels & I believed during intraday that they will definitely hit low of 23 & 26 Dec 2023 levels at least once. Higher wicks on days from 6th Jan to 17 Jan 23 were indicating that someone is willing to breakdown & someone is fighting tough to defend these levels.
  4. Once the low of 17 Jan 2023 was conquered, I was sure it will hit 41600 same day.

This all happened in single day. Outside can be so devastating when other side whether Bulls/ bears starts surrendering their levels. That was a cake walk for bears to sell every Rise aggressively. Same happened Today.

In above chart, we can see Bears created a disaster but hinted us about it in advance through Outside Bar. Its highlighted right at Top followed by a Nose Dive for 2 days.

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