Published on: July 15, 2025
The day for the traders ends with the Gift Nifty after the Indian market closes, and they start wondering what will happen tomorrow to our positions. This has a profound psychological impact on us.
If we see that Gift Nifty is down by around 300 points, we start overthinking, “What will happen to my trades tomorrow?”
We understand that the Gift Nifty and US markets significantly influence our minds. It is good for doing homework, but real homework involves identifying the setups that are built into specific stocks.
If you have taken a position, you should know your stop-loss and your failure level. For example, if you bought DLF at ₹720 and your stop-loss is ₹700, and tomorrow it opens at ₹690, there is nothing you can do. You must exit. But what is more important – What new trades can I find now?
We want to highlight exciting features that have been incorporated into the Zone Mobile App, specifically Scanners.
So now, let us go to the Zone Mobile App and check out multiple scanners one by one.
- Nifty Analysis
- First, analyse Nifty, especially if you are an index trader.
- Sometimes stocks don’t move exactly in sync with the Nifty because of different beta values.
- For example, Reliance might not fall even if Nifty drops sharply.
D-Score:
- You will see data like prices, 52-week high/low, and D-Score (Definedge score).
- A low D-Score reflects extreme fear. So yes, the trend is bearish with strong momentum.
X Column Analysis:
- In Point & Figure charts, the X column represents bullish moves, and the O column is bearish.
- Only 27% of Nifty 50 stocks are in the X column (i.e., bearish).
- Advance-Decline ratio is weak, with only 28 stocks above their 50-day SMA, a strong sign of bearish momentum.
- Only 20% are above the 200-day SMA, so a short-term downtrend is evident.
Possibility of a Short Covering Rally:
- Even in bearish times, there can be sharp rallies.
- You can decide day by day what to do based on momentum indicators.
RSI, ATR, and Moving Averages:
- RSI is below 30 (29.81) — oversold territory.
- Monthly RSI below 50 = still not bearish, but neutral.
- Moving averages are aligned bearishly (Price below 50 & 200 SMA).
- Donchian Channel, Ichimoku Cloud, and Bollinger Bands all show bearish setups.
Chart Types:
- You can view Point & Figure, Renko, Supertrend, Line Break, and more.
- Each has specific indicators like Double Bottom Sell, Triangle Patterns, etc.
- For example, in Renko, if the price is below MAST (Modified Average Setup Trend), it is bearish.
Relative Strength:
- See how a stock is performing compared to the Nifty.
- If a stock has a Bearish Star, it underperforms as defined in Prashant Shah’s book on Relative Strength (available free in the Definedge library).
Seasonal & Sector Analysis:
- February typically has a 72% return historically, but 2025 so far shows slight bearishness.
- Always compare sector performance, volume percentage, and breadth — e.g., only 6 of 30 auto stocks above 20-DMA = weak breadth.
X-Column Breadth:
- You can filter sectors based on how many stocks are in X columns (positive momentum).
- For example, if only 2 out of 10 stocks in a sector are bullish, the sector might be weak.
Candlestick Scanners:
- Bullish Engulfing, Narrow Range, etc., categorised by daily/weekly/monthly.
- You can view these directly on charts and even toggle to TradingView.
Point & Figure Patterns:
- 3-column and 4-column triangles show consolidation.
- A 4-column triangle could indicate a potential breakout or breakdown.
Bearish Stocks:
- Based on momentum and P&F charts, you can list Double Bottom Sell, 4-column Triangle breakdown, etc.
Educational Material:
- All patterns and indicators are explained in-depth in YouTube videos and blogs available on Definedge’s platform.
- Intraday Scanners:
- Opening Breakdown, Bottom Bounce, Strong Gap Ups, etc.
- Example: Stocks gapping down at open but showing quick reversals, a strong intraday setup.
- You can filter these by Nifty 500 or F&O stocks.
- Option Traders
- Open Interest Build-up Scanners.
- Long Build-up, Short Covering, Expiry-based scans.
- Intraday Breadth:
- Live A/D Ratio to see if decline is increasing or reducing post-gap-up.
- Flat or negative breadth = bearish pressure building.
- Volume + Delivery
- Volume spikes with price movement = stronger signal.
- Also, check for high-volume exits or accumulation.
- Popular Strategies Scanners
- Popular strategies like Adaptive RSI, Vridhi, Double Bottom Below D-Smart, etc.
- Ideal for swing and positional traders, not intraday.
- Breakout Scans
- 1-month, 3-month, 5-day highs/lows.
- If the market reverses, 1-month breakout stocks usually lead the rally.
What are you waiting for?
- All scanners are completely free on the Zone Mobile App.
- Open a free account with Definedge Securities.
- Get Definedge Pro products FREE for 1month before you subscribe to it.
