Price below SMA50 (confirmed downtrend) + bouncing 1.5-6% today + OI change < 2% (short covering = not fresh conviction buying) + RSI 42-62 (mid-range bounce — not oversold enough to reverse). Analog of crypto Dead Cat Bounce Short. Short-covering rally in downtrend: institutions are NOT buying, retail is. Fade the relief rally at resistance. Target: retest of recent lows.
The edge — what this scanner is hunting
Bounce in a downtrend + falling OI + RSI mid = fade the dead-cat bounce. When stocks below SMA50 rally 1.5–6% but OI is dropping, the bounce is short covering, not new buying. Faded historically.
55% in confirmed downtrends. Full breakdown in the premium app.
This screener surfaces a quantitative setup based on derivatives data. Past patterns do not guarantee future moves. Indian F&O instruments are leveraged and time-decayed — manage position size and stop discipline. This is information, not investment advice. Verify the setup on your own charts before trading. Consult a SEBI-registered advisor for tailored guidance.