Negative divergence in NIFTY spot in RSI and ROC. Coupled with that stochastics are pointing downwards. So big big negative for indian markets.
Fundamentals also support this. Especially the swine flu breakout, draught etc are looming large on the Indian economy.
In view of this you can go short on NIFTY futures at current levels and write ATM CALLs for the current month. I don't advise you to buy PUTs as days remaining to expiry are not many and time decay can hit you hard. But you can always sell CALLs.
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