NIFTY TREND

After having touched 11620, nifty has  retraced 11533 in this week. Though the  daily candle suggests a down trend  the weekly bullish trend remains intact.

We must wait  for  a clear direction during the next week. The expiry moves  and tight grip  by bulls  keep the nifty forming higher tops and higher lows  day  after day.  Unless a weekly confirmation  emerges on reversal,  there is nothing negative about  this marketl

Bank Nifty has been reversing at 27779/27782 levels for  the past two  weeks. Assuming  27780 remains a good  support then we can expect  fire works in bank nifty. If 27780 is broken on Monday,  then Nifty may not be able to gain substantially.  Taking support  from few  scrips  by way of short covering could  be the only option for  nifty to keep floating around 11550.

To   summarize, up move  is limited. Also no major down side.  The  trend is neutral. 

Wait  till next Friday and  once the direction is  confirmed we can sit  on CE or PE.

Watch my blog  on Friday Morning next week. 

Till then ..  Good bye!!

STOCK MARKET - DOs AND DONTs

When you are in to investing in stock market your first investment is PATIENCE. Money is secondary. 

Secondly you must acquire technical  knowledge on stock movements, price action and volumes. Without this you will land into trouble. Go with the trend and never be against it. If you do not participate in a bull run or bear trend, it is OK. But if you are 180 degrees opposite to market direction, then you will land into serious trouble.

Thirdly after investment, you must keep track of the prices and book profits as per technical levels and exit if the  stock is hit by bad news  Eg: PNB.

Finally, you must always keep SL and trade under any circumstances; otherwise you run the risk of losing capital. 

Before making investment think twice, thrice and do not chase any stock just because you have missed the rally. This is a wrong  way of picking trade which will put you in all difficulties.

My members do  not  grudge for not picking trade. They take positional trades and sell with profit when everyone wants to buy.

Make stock trading and your investment a trouble free affair and be happy with mild profits.

Never carry options and futures without hedging it. 

Options are often misunderstood as lottery. Actually it is a hedging tool against Future contracts.

Do not hesitate to mail me in case you have trouble. 

narayanansrirangam@gmail.com

STOCK OPTIONS IN WATCH LIST

We shift our focus to specific scrips as the Index may dance and erode premium.

Our focus is on Pharma, Power and FMCG this week.

Last week we captured GRASIM, CIPLA, LUPIN and SUNPHARMA.

This week we have handful of picks. You will get posting on the returns made by our clients.

Still GAIL is in hit list. Refer my previous  posts.

Happy Trading!!

NIFTY TREND

Already posted that PEs are in non performing list. Status-quo remains same. Both  the index are in buy. Do not short the index and buy PEs.

LUPIN AND GAIL

KEEP THESE TWO SCRIPS IN WATCH LIST.

SEE THE PRICE ACTION.

OPTION TRADE SUGGESTED TO MEMBERS ON BOARD

NIFTY TREND

Nifty had fallen 140 points from the top 11495. But the PEs still has not moved above buy level. This was due to the best ever rally   we had in nifty during the first week of August '18.

The trend is neither in favor of bull nor bears.

NIFTY TREND

Last week nifty formed a low of 11235 on weekly expiry day, forming a bearish  belt. But it opened with a gap up on Friday  to close yet again a new high created during this week, 11390.

It is advised to remain extremely cautious as profit booking at higher levels are likely during the first two days of the week.

Nifty is likely to be bullish and the trend is up. If 11429 is crossed on a daily close basis, then next destination is 11600+. Bank Nifty will witness 28592. 

Do not Short this market. 

Since this month is very long and the expiry is on the penultimate day of the month, we can witness high volatility. But it is prudent to be on the long side as long as Index does not fall in sell zone - 11222 and below.

Happy Trading!!!