GOOD MORNING!!!
THE INDICES STARTED THE DAY IN THE GREEN ZONE WHICH GOT ITS STRENGTH FROM THE ASIAN MARKETS WHICH WERE TRADING ON GREEN. THE FRONTLINE INDICES MANAGED TO GRADUALLY GAIN TRACTION IN THE FIRST HALF OF TRADE AS THEY TOUCHED THE INTRADAY HIGHS OF THE DAY. HOWEVER THE INDICES CAME OFF THE DAY’S HIGH AS INVESTORS SQUARED SOME POSITIONS IN THE AFTERNOON TRADE. THE BOURSES EVENTUALLY MANAGED TO HOLD ON TO THE GAINS IN THE DYING HOURS AND CLOSED WITH GAINS. THE MARKET BREADTH WAS POSITIVE BUT THE VOLUMES WERE LOWER COMPARED TO PREVIOUS DAYS. BANKING WAS THE BIGGEST GAINER IN THE LAST DAY AS INVESTORS SHOWED HUGE BUYING INTERESTS IN BANKING SHARES, A DAY AHEAD OF THE RBI MONETARY POLICY REVIEW WHICH HEADS FOR THE MOST DIFFICULT MONETARY POLICY REVIEW IN THE POST GLOBAL FINANCIAL CRISIS PERIOD. INVESTORS REMAINED SANGUINE ON THE BACK OF ENCOURAGING THIRD QUARTER EARNINGS POSTED BY HEAVY WEIGHTS STATE BANK OF INDIA AND ICICI BANK.
TODAY NIFTY WOULD OPEN IN GREEN TRACKING THE TWO AND HALF MONTH HIGH ON US INDICES AND POSITIVE OPENING OF ASIAN MARKETS. IF NIFTY TRADES ABOVE 5765 THEN LIKELY TO MAKE AN UPMOVE TO 5800 AS THIS BEING PSYCHOLOGICAL RESISTANCE, NIFTY MAY FACE TOUGH RESISTANCE AROUND 5765 LEVELS. IF NIFTY CLOSES ABOVE 5765 LEVELS THEN WE CAN SEE NIFTY TO TOUCH 5835 LEVELS. ON THE FLIP SIDE IF NIFTY TRADES BELOW 5738 LEVELS WE CAN SEE NIFTY TO DRIFT DOWN TO 5697 LEVELS AND THEN TO 5665 LEVELS AND ANY BREAK BELOW THIS LEVEL WOULD DRAG FURTHER DOWNSIDE TO 5620 ONE SHOULD REMEMBER THAT ANY CLOSE BELOW 5600 ANYDAY WOULD TAKE NIFTY TO 5200 LEVELS. STAY CAUTIOUS AHEAD OF EXPIRY AND TOMORROW BEING HOLIDAY WE MAY SEE LOT OF ROUGH VOLATILITY IN THE TRADE STAY VERY CAUTIOUS UNTIL THE MONETARY POLICY IS OUT IT IS WISE NOT TO HOLD TOO MANY LONG POSITIONS.
BUY BANK NIFTY SL 11125 TGT 11242/11300/11340
STRADDLE
BUY NIFTY PE 5800 AND 5800 CE BOTH TOGETHER AT 50 RUPEES.
RISKY TRADES CAN BUY NIFTY 5800 PE IN THE OPENING
