In last few weeks we have got constant signs of accumulation in cash markets and also longs on futures market making us believe that bulls are leading the race but they are yet racing on the edge and doesnt seem to be in full control. As i have been mentioning in my previous posts about Nifty’s daily channel, we could notice that since last 7 trading sessions we are taking technical support on the channel line. Though indicators on daily charts are still in overbought zone but weekly and monthly charts are enjoying bull momentum. One good thing of last weeks move is that we have got higher highs and higher lows which is one of the factor which is helping me to take contra long call against bearish indicators. But being expiry next week, traders should be on high alert. Put/Call ration is at 1.06 which is considered to bearish if it was early start to expiry but now as we enter expiry week this could be pretty confusing. Next 4 sessions could be most volatile experience in recent times as suggested by option data. Highest PUT OI is at 8500 and for CALLS it is at 8800 which means Nifty is exactly at the mid-way and have equal chances to move either side before expiry. So be ready for some thrill next week! but as i always say i am a medium term traders and only recommend positional trades, my strategy is still same: Buy on dips with stop loss of 8480 on closing basis!!