After a big move, a narrow range day ?

Two days of back to back gains in the Nifty should probably give way to a narrow range day today. This is possible because global markets are not exactly cheering.

How wll you recognize a range ? If the market repeatedly comes inside the area defined by the highs and lows set in the first 15 minutes of trading, you start getting the idea that big traders are not having a view on the market today, so they are probably out of the market. In such days, your momentum oscillators are of use. Sell when the RSI / Stochastics / CCI is ‘overbought’, buy when they are in the ‘oversold’ area.

Swing Traders can take profits on any intra day rally, or simply hold on to existing long positions.
Should you go short ? Not in my trading rules. A trading range breakout is a reason to buy. Market may or may not reward us, that is a different issue.
Have Fun!