Bank Nifty Under Moon’s Mṛita Avastha and Saturn’s Aspect
- Lavnya Investment
- 6 days ago
- 5 min read
✍️ Written by Sagar Chaudhary
Sagar Chaudhary is a financial market researcher, author, and educator specializing in W.D. Gann’s principles, harmonic cycles, and financial astrology. With over two decades of market study, he has developed a unique approach that blends time cycles, planetary influences, and price analysis to forecast trends in equities, commodities, and forex. Known for his detailed research reports and educational sessions, Sagar has guided traders worldwide in applying seasonality, astrology, and cycle analysis to practical trading strategies, helping them approach markets with clarity, discipline, and foresight.
Astrology and market cycles have always shared a deep connection. W.D. Gann often emphasized that time governs price, and planetary vibrations mark the highs and lows of market psychology. Among all planets, the Moon rules daily emotions and liquidity, which makes it critical for intraday and short-term analysis. In Vedic astrology, the Moon has different “Avasthas” or states, reflecting its vitality and influence on human behavior. One of the weakest of these states is Mṛita Avastha, meaning the Moon is “dead” or lifeless in energy. When the Moon enters Mṛita Avastha, collective sentiment often turns fearful, directionless, or overly reactive.
Now, add Saturn’s aspect into the mix. Saturn is the planet of delay, restriction, discipline, and fear. Whenever Saturn aspects the Moon—especially when the Moon is weak—the market tends to display hesitation, volatility, and sudden drops or recoveries. This article is a deep study of how Bank Nifty reacts when Moon is in Mṛita Avastha and simultaneously aspected by Saturn. The results, based on 120 historical trading days, reveal powerful insights for intraday, swing, and options traders.
Understanding the Setup
Moon in Mṛita Avastha
Symbolizes exhaustion, weakness, and lack of vitality.
Emotional sentiment in markets becomes uncertain and fragile.
Traders are often nervous and prone to overreaction.
Saturn’s Aspect
Saturn represents discipline, limitation, fear, and karmic tests.
Its aspect (drishti) on the Moon magnifies caution and bearish undertones.
Saturn often slows down rallies, creates sharp falls, or induces whipsaw movements.
Together, this combination represents a fragile emotional state under a heavy burden—perfect conditions for volatility in Bank Nifty.
Historical Data Analysis
I extracted all days from the dataset where:
Moon was in Mṛita Avastha, and
Saturn was among the planets aspecting the Moon.
Statistical Findings
Occurrences: 120 days
Average return: +0.05% (nearly flat)
Median return: +0.07%
Volatility (Std. Dev.): 1.6% (high compared to normal days)
Max gain: +7.28%
Max loss: –5.36%
Distribution
50% of the days: between –0.8% and +0.8% (sideways chop with traps).
40% of the days: extended swings ±1–3%.
10% of the days: extreme volatility beyond ±3%, either panic crashes or sharp short-covering rallies.
The setup does not give a clear directional bias, but it amplifies volatility and traps. Traders must prepare for fast moves, reversals, and false signals.
Psychological Interpretation
Fear & Restriction Saturn’s aspect on a dead Moon brings hesitation. Traders hesitate to commit fully, creating false starts and reversals.
Whipsaws Bank Nifty often shows a pattern of rising in the morning and reversing in the afternoon, or vice versa. Saturn stretches the market like a rubber band.
Traps Both bulls and bears get trapped. A rally may look convincing, but Saturn suppresses it. A crash may look terminal, but fear gives way to short covering.
High Emotional Intensity Options premiums inflate due to wild moves, rewarding those who use spreads or volatility strategies.
Case Studies
Case 1: 26-Aug-2011
Bank Nifty fell –2.20%.
Moon in Mṛita, aspected by Saturn alone.
Early intraday strength faded completely classic Saturn suppression.
Case 2: 20-Apr-2011
Bank Nifty rose +1.79%.
Moon in Mṛita, but Saturn’s aspect came along with Jupiter.
Jupiter’s support allowed an unexpected rally, but the close was unstable.
Case 3: 11-Jul-2011
Bank Nifty fell –1.32%.
Saturn + Mars aspect created heavy pressure.
Showed how Saturn converts Moon’s weakness into extended downswings.
Case 4: 2020–2024 Episodes
Multiple whipsaw days recorded, where intraday moves exceeded ±1.5% but closed nearly flat.
Options buyers lost due to theta decay, while spreads and straddles captured volatility.
Trading Strategy Development
1. Intraday Strategy
VWAP Trap System
Bias: Neutral to bearish but expect reversals.
Rule:
If price stays above VWAP in first 30 mins but rejects it later → Short with 0.8–1.2% target.
If price stays below VWAP early but reclaims it strongly → Long with 0.8–1% target.
Stoploss: 0.5% beyond VWAP.
Why? Because most traps occur around VWAP levels. Saturn pushes price away from equilibrium and then pulls it back violently.
2. Options Strategies
A. Short Straddle/Strangle (with Hedge)
Since average returns are flat but volatility is high, selling options with hedges works well.
Sell ATM Call + Put, buy protective OTM wings.
Profits when Bank Nifty closes flat after wild swings.
B. Long Straddle (only on confirmed high-vol days)
If IV (implied volatility) is still cheap, buy ATM Call + Put.
Works on extreme ±3–5% days, though rare (~10%).
C. Calendar Spreads
Sell near-week expiry, buy next-week same strike.
Saturn-Moon days often inflate near-term premiums.
3. Swing Strategy
Bias: Neutral → expect sideways choppiness.
Swing longs only when closing is above 1% gain with volume.
Swing shorts only when closing is below 1.5% with volume.
Otherwise, avoid multi-day directional bets.
Instead, focus on short volatility spreads (Iron Condor, Broken-Wing Butterfly) across 2–3 days.
Risk Management
Capital Allocation Risk max 1% of capital per day.
Position Sizing Trade smaller size due to high standard deviation (±1.6%).
Avoid Naked Trades Saturn + Mṛita Moon creates whipsaws that punish naked call/put buyers.
Profit Taking Exit intraday profits quickly. Holding too long risks reversal.
Sectoral Impact
On such days, Bank Nifty stocks show mixed behavior:
PSU Banks: Most vulnerable, as fear drives them sharply lower.
Private Banks: More stable, but still prone to afternoon reversals.
NBFCs: Often lead short covering in sudden rallies.
Astro-Technical Harmony
Astrology: Moon Mṛita + Saturn aspect = weak sentiment + fear + volatility.
Data: Flat average return, high std. dev., extremes ±7%.
Technicals: VWAP rejection confirms Saturn’s pressure.
Options: Volatility trades outperform directional trades.
This harmony between cosmic law, statistics, and price action confirms the validity of the setup.
Practical Playbook
Checklist for Bank Nifty on Moon Mṛita + Saturn days:
Expect high volatility, no clean trend.
Watch VWAP traps—fade the false breakouts.
Use option spreads, not naked longs.
Target intraday swings, avoid overnight unless close is decisive.
Protect capital—this setup is a trader’s battlefield, not an investor’s paradise.
The combination of Moon in Mṛita Avastha with Saturn’s aspect is a powerful market signal. For Bank Nifty, it produces days of fear, indecision, and volatility. The average outcome may look flat, but beneath the surface are violent swings that trap traders on both sides.
The lesson for traders is clear:
Do not chase trends blindly.
Use VWAP rejection setups intraday.
Use option spreads and volatility strategies.
Manage risk with discipline—Saturn always punishes over-confidence.
When the Moon is dead and Saturn casts its shadow, the market becomes a mirror of fear and uncertainty. But for the disciplined trader, these very conditions create the opportunity to profit from volatility rather than direction.
As I often remind my students: “The planets do not control you, they reveal the environment you are trading in. It is your discipline that decides the outcome.”
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