THE TECHNICALS SUGGEST THAT MARKET IS EXTREMELY WEAK AND WILL CONTINUE TO REMAIN WEAK IF NIFTY DOESN'T START TRADING ABOVE 5600-5650.
NOW RBI CREDIT POLICY MEETING ON 17TH JUNE 2011 WILL DECIDE THE MEDIUM TERM FATE OF INDIAN MARKETS. ANALYSTS EXPECT THAT THERE COULD BE HIKE IN REPO, REVERSE REPO AND/OR CRR BY 25bps TO 50bps.HIKE WOULD COME IF INFLATION DOESN'T EASES IN MAY.THIS FEAR OF HIKE DUE TO PERSISTENT INFLATION HAS SPREAD THE PESSIMISM AMONG THE FIIs.ALSO MONSOON WILL PLAY VERY IMPORTANT ROLE IN THE MARKET SENTIMENT.
DURING THE MARKET HOURS THERE WAS RUMOR THAT THE NORMAL MONSOON IS DELAYED BY A WEEK, MARKET WAS PANIC RIDDEN AND WITNESSED A HUGE SELLING AND SHORTING BY FIIs.FALL OF THE SIMILAR MAGNITUDE COULD ALSO BE SEEN LATER HOWEVER THERE WILL BE SHARP SHORT COVERING FROM TIME TO TIME.
THE BEST STRATEGY SHALL BE TO SHORT NIFTY OR BUY PE ON EVERY SHARP RECOVERY AND BUY CE ON ANY SHARP CUT TILL NIFTY REMAINS IN THE RANGE OF 5600-5200.
TECHNICALLY NIFTY(5386.55) IS WEAK BELOW 5372 TARGET 5350-5320-5290 AND STRONG ABOVE 5408 TARGET 5440-5460-5490.
ASTROLOGICALLY: TODAY ON 24TH MAY 2011.NIFTY MAY OPEN WEAK BUT RECOVERY IN THE LATER HALF OF THE DAY OR RECOVER FROM THE LOWS.HENCE BUYING IN THE MONEY CALL IN NIFTY, CE5300 & CE5400 MAY GIVE PROFITS DURING OR AT THE END OF THE DAY.
STRATEGY: BUYING CALLS IN NIFTY WILL BE GOOD IDEA IF NIFTY OPENS WITH GAP DOWN AND WITNESS SHARP CUT DURING THE DAY
Safe Harbor Statement:
Some forward looking statements on projections, estimates, expectations & outlook are included to enable a better comprehension of the Company prospects. Actual results may, however, differ materially from those stated on account of factors such as changes in government regulations, tax regimes, economic developments within India and the countries within which the Company conducts its business, exchange rate and interest rate movements, impact of competing products and their pricing, product demand and supply constraints.Nothing in this article is, or should be construed as, investment advice.
Disclaimer:
This is neither an offer nor a solicitation to purchase or sell securities. The information and views contained on this blog are believed to be reliable, but no responsibility (or liability) is accepted for errors of fact or opinion. Writers and contributors may be trading in, or have positions in the securities mentioned in their articles. Neither I (Vikas Srivastava) nor any of the contributors accepts any liability arising out of use of the above information/article. Reproduction in whole or in part without written permission is prohibited.
NOW RBI CREDIT POLICY MEETING ON 17TH JUNE 2011 WILL DECIDE THE MEDIUM TERM FATE OF INDIAN MARKETS. ANALYSTS EXPECT THAT THERE COULD BE HIKE IN REPO, REVERSE REPO AND/OR CRR BY 25bps TO 50bps.HIKE WOULD COME IF INFLATION DOESN'T EASES IN MAY.THIS FEAR OF HIKE DUE TO PERSISTENT INFLATION HAS SPREAD THE PESSIMISM AMONG THE FIIs.ALSO MONSOON WILL PLAY VERY IMPORTANT ROLE IN THE MARKET SENTIMENT.
DURING THE MARKET HOURS THERE WAS RUMOR THAT THE NORMAL MONSOON IS DELAYED BY A WEEK, MARKET WAS PANIC RIDDEN AND WITNESSED A HUGE SELLING AND SHORTING BY FIIs.FALL OF THE SIMILAR MAGNITUDE COULD ALSO BE SEEN LATER HOWEVER THERE WILL BE SHARP SHORT COVERING FROM TIME TO TIME.
THE BEST STRATEGY SHALL BE TO SHORT NIFTY OR BUY PE ON EVERY SHARP RECOVERY AND BUY CE ON ANY SHARP CUT TILL NIFTY REMAINS IN THE RANGE OF 5600-5200.
TECHNICALLY NIFTY(5386.55) IS WEAK BELOW 5372 TARGET 5350-5320-5290 AND STRONG ABOVE 5408 TARGET 5440-5460-5490.
ASTROLOGICALLY: TODAY ON 24TH MAY 2011.NIFTY MAY OPEN WEAK BUT RECOVERY IN THE LATER HALF OF THE DAY OR RECOVER FROM THE LOWS.HENCE BUYING IN THE MONEY CALL IN NIFTY, CE5300 & CE5400 MAY GIVE PROFITS DURING OR AT THE END OF THE DAY.
STRATEGY: BUYING CALLS IN NIFTY WILL BE GOOD IDEA IF NIFTY OPENS WITH GAP DOWN AND WITNESS SHARP CUT DURING THE DAY
Safe Harbor Statement:
Some forward looking statements on projections, estimates, expectations & outlook are included to enable a better comprehension of the Company prospects. Actual results may, however, differ materially from those stated on account of factors such as changes in government regulations, tax regimes, economic developments within India and the countries within which the Company conducts its business, exchange rate and interest rate movements, impact of competing products and their pricing, product demand and supply constraints.Nothing in this article is, or should be construed as, investment advice.
Disclaimer:
This is neither an offer nor a solicitation to purchase or sell securities. The information and views contained on this blog are believed to be reliable, but no responsibility (or liability) is accepted for errors of fact or opinion. Writers and contributors may be trading in, or have positions in the securities mentioned in their articles. Neither I (Vikas Srivastava) nor any of the contributors accepts any liability arising out of use of the above information/article. Reproduction in whole or in part without written permission is prohibited.
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