Use all dips in Nifty as a buying opportunity

With momentum indicators showing an upward trend for not bad, technical analysts suggest shopping for the least bit dips with a stop below 10400 for targets of 10650 levels. They advise investors to require long positions on below and agriculture stocks within the run-up to the Union Budget

JK JAIN
HEAD OF EQUITY RESEARCH, KARVY STOCK BROKING

Where we have a tendency to are: Markets are commerce at lifespan high levels, with not bad shying around 10,500. The index taken support at 10,050 on the day of Gujarat finding of fact and seen Sharp bounceback once BJP managed to win the election.

The breadth of the market remained robust with mid-cap index creating new highs for last four consecutive days. Also, the robust world markets has provided positive sentiment in our markets still.

What is in store: With truncated week and derivatives end, we have a tendency to expect market to stay stormy and head into an unchartered territory. Also, with Christmas and  vacation, we will see the volumes dry up within the coming back commerce sessions. So, we have a tendency to expect the index to trade with the skinny margin.


What may capitalist do: With not bad commerce at uncomparable high and momentum indicators showing upwards, we have a tendency to suggest any tiny dip in index ought to be used at chance to shop for with a stop below 10400 for targets of 10650 levels. Among the sectors, banking and automotive vehicle sector to continue the out-performance. we have a tendency to additionally suggest taking long positions on below and agriculture stocks, as they will stay targeted before the Union Budget on Feb 1. Our high picks for the week would be Maruti, TVS Motors, IR ..

VIKAS JAIN
SENIOR ANALYST, RELIANCE SECURITIES

Where are we: not bad closed at uncomparable high once AN initial knee-jerk sales event in early hours on weekday. however it recovered sharply with clarity rising on BJP's ending in Gujarat assembly elections. There was a broad-based movement in midcaps and little caps with the IT sector leading the pack to 52-week high followed by some recovery in metals and automotive vehicle. Bank not bad is commerce a pair of off from its all-ti .. uncomparable high as PSU banks are underperforming the broader markets.

What is in store: The formation of necessary double bottom point region of 10,000-10,100 levels along side alternative positive technical evidences like holding the 100-day averages and gaolbreak higher thanten,400 levels confirms a robust uptrend with a target of around 10,750 on not bad. However, just in case of any decline, not bad can realize robust support around its long-run 20-week average placed close to 10,125 levels.


What may capitalist do: we've got witnessed sectoral shift of preference to that and company sector over the past few weeks and also the sectors continues to appear promising even from this levels. PSU Banks ought to lead the up move for Bank not bad to hit uncomparable high. Among individual stocks, we have a tendency to are positive on school Mahindra BSE -0.35 %, Kajaria Ceramics, Sun Pharma, Tata Motors and JSW Steel.

SAMEET CHAVAN
CHIEF ANALYST - TECHNICAL & DERIVATIVES, ANGEL BROKING

Where are we: blackball the primary number of days within the week, the index did nothing for the remaining a part of the session as we have a tendency to saw interest obtaining shifted to the boarder market post the Gujarat Assembly election finding of fact and sooner than Christmas. Eventually, some shopping for towards the fag finish pushed the not bad towards its one more milestone of 10500.

What is in store: traditionally, we have a tendency to do witness such quite moves towards the tail finish of the because the domestic establishments become a lot of active for his or her changes. Technically speaking, we have a tendency to see a commerce vary of 10500-10370 for the index and a property move outside the vary would trigger some momentum. A gaolbreak in upward direction would extend the rally towards 10600 - 10640; whereas a slide below the lower vary would trigger some weakness.


What may investors do: we have a tendency to usually see sensible rally in midcap basket throughout the last week of yr, termed as 'Santa Rally'; however, now, we have a tendency to don't wish to be in such bandwagon as we have a tendency to are seeing some cautionary signs on charts. The daily chart exhibits a 'Wolfe Wave' along side '3-point Negative Divergence' in 'RSI Smoothened' generator. The aforesaid structure is taken into account as a investor play and therefore, generally it works on assumptions. Hence, we have a tendency to advise traders to be terribly selective whereas discovering the stock, don't trade sharply and follow strict stop losses.

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