NIFTY 31-08-2010 Daily report

NIFTY bang on(read yesterday's post)!!!!nifty could find a support at 5360 levels(futures)and gave a good pull back rally towards 5400 levels...NIFTY would continue to be in a sell mode til 5480 is taken out on the upper side...SBI, Reliance drag nifty to 5360 levels ...and the immediate downside targets are 5360 and 5290 levels /...on the upside 5410 and 5480 levels....Hope all of you have booked good profits in your 5300 put positions...
One stock that was too tempting today was Herohonda and the way it bounced back from intraday low of 1670's to 1800 (equity) was amazing....the bounce back was supported by huge increase in volumes and it would be a good buying opportunity at 1750 levels towards an immediate target of 1840...(would be revised as per the market movements, and it is a traders stock) . If the market gives a pull back this would hit be a major gainer....only one positive factor that could move market upwards is some kind of buying happening in Reliance..but the chart is not showing any strength at all...
watch out for 9925 as intraday support for Dow Jones

NIFTY 30-08-2010 (Daily updates)

Nifty continued its weak trend ...traders used the gap up opening to initiate short positions...our next level in the down ward channel is 5360 levels. At 5360 levels nifty would complete a retracement of 23.6%...on the upside it finds strong resistance at 5450 levels....watch out for intra day support for Dow at 9925 levels...if it breaks that level we will soon see 9800 levels where it can act as a good support...

In NIFTY lot of selling is yet to happen in banking stocks and metals....book your put profits at lower levels like 5350....
initiate put positions at any good pull back to 5450 levels ....and try to book profits in your call positions as soon as possible

27-08-2010 Daily updates

NIFTY bang on!!!!after 3.00 p.m 5300 puts were up by 45%....hope all the 5300 put buyers and 5600 call writers enjoyed their profits...the bulls had a really bad day today as the premier league banking stocks fell including SBI and ICICI...
Herohonda is breaking all the support levels and now you would have realised why did i tell to book your profit in Herohonda at 1920 - 1930 levels (read my previous posts)

Trading strategies

If you already have 2 puts of 5200 or 5300 ...sell one of them and exit the next postion at 5350 - 5360 levels (if the targets are revised, i'll let you know)
wait for buying opportunuites in Hero honda...and SBI if it comes back to 2700 levels(a little bit difficult, but a deeper correction would make it possible)

26-08-2010 Daily update

26/08 F & o expiry day...market was quiet for almost 90% of the time and i would like to call it as a dull day for the bulls..but the last one hour of the session offered good short trading opportunities for JSW steel....the charts are still looking weak and people who are trading only in equity market wait for some more time for a good buying opportunity...
NIFTY might have formed a top at 5542(futures)and in the bullish channel it shows till 5650 levels as the top of NIFTY in 2010(t maximum possible level as of now if it is managed to cross the previous high at any point of time)....in the downward channel watch out for crucial levels of 5430 and 5360...at 5542 an uptrend seems to get matured on the basis of both price and time
So traders can intiate short postions at 5530 -5550 levels as the upside is capped at 5650 levels. Thus the risk:reward ratio suits for shorts and not for long positions.

Dow chart s not at all looking attractive and technical pull backs can happen in crude and dow ..but the short term trend s still in favor of bears!!!

25-08-2010 Daily update

As predicted yesterday Dow jones gave a weak closing and it can be a start of a downward trend ..and we had already predicted NIFTY got locked in t range of 5530 - 5550 (19and 20th blog) for a further up move. Instead of going for any intraday short positions it is better to have put positions that i've discussed earlier(only meant for options traders-people who are new to stock market ...ignore my options calls)....hope all the options traders have made enough money with their put positions or call writing positions....I dont encourage intraday shorts just bcoz the risk:reward ratio is less at this point of time....

Our first support still lies at 5420 - 5430 levels
and S2 lies at 5360...
Dow charts are still looking weak ...!!!cautious!!!
Stock to watch
TATA steel - start buying in small quantities at 475-480 levels with a strict stop loss at 450

24-08-2010 Daily update

It was a good day for options traders especially for 5600 call writers and 5300 put holders...as we have discussed earlier .....always have one put position to trade in equity markets(at this stage)....if u r trading only in equity market wait for a decent correction to happen...Dow is making lower lows every day and if it slips below 10 k levels..it can move towards 9800 levels where some fresh buying will happen..if that situation happens FII's would pull out money from Indian markets and invest in some cheaper markets ...Hope all of you are earning good profits with your JSW steel and Hero honda postions that you had till date and with the options calls (both 5600 call, and 5300 put)Reliance needs some more time to move up...Reliance is the major one which should lead the up move...If NIFTY creates new highs without Reliance it wont be sustainable

24-08-2010 - intraday report

US mkt charts are looking very dangerous....Dow jones seems to be going back to 9800 support levels ...if some kind of buying s not happening Dow will slip to 9800 support levels...enjoy your put positions along with the cash market positions....
Hope you booked your 75% profits in Hero honda and JSW steel
Dow seems to give a gap down opening and may slip to below 10k levels ...
cautious!!!!!dont have any fresh buy calls in equity market ....
Option traders can book partial profits in your put or call writing postions

NIFTY 23-08-2010 (Intrday report)

JSW steel !!!!gave a major breakout and all t traders who have read my blog would have got enough money through this trading!!!!book 75% profit n JSW steel!!!!

HEROHONDA made an intra day high of 1929 which is close to our medium target of 1940 (17-08-2010) blog ...start booking ur profits in HEROHONDA

NIFTY and world markets - weekend report 22 - 08 - 2010

As per the prediction NIFTY got trapped in the range of 5530 - 5550....If you wanna trade at these levels it is always advisable to trade by first exiting the banking sector stocks and move to some inexpensive sectors...The bullish channel of NIFTY remains till 5600 - 5620 levels..but dont expect it to cross that level with a good confirmation....
NIFTY is trading below its 20 day moving average.

As the futures expiry is on 26 th August and i expect some selling to happen....If you see some buyig interest you can see in RIL and that too short covering....
Dow jones is making new low's and is trading at a month's low....

Trading strategies

If you still have any positions in any stock (other than that i've already mentioned) it is always better to have one put (5200, 5300) and then trade your stock

It would be a contrary to other analysts ...but above 5650 levels i expect a bubble and if it happens banking sector would lead that....
Hope it wont happen and if NIFTY gives a good correction and form a base at 5350 -5360 levels then all s well.....

20-08-2010 - Evening report

As per yesterday's prediction NIFTY got locked in that range and could not move out of 5530 - 5550 trap....people who had bought Reliance and JK lakshmi cement would have got decent returns this week (for the new users - just see the previous blogs for t purchase price recommended) Short sellers could get enough profit for intraday...as it got stuck in that range as per the prediction....

COMING UP...Weekend reports on NIFTY and world markets..... trading strategies for the coming week

NIFTY 20 - 08 - 2010

As predicted in the early trades Reliance gave a good upmove and it helped NIFTY to form a good level in the upside. As expected SBI was in a sell and it was not giving any momentum on the upside ...u can exit bank stocks on the rise and move to some inexpensive sectors where your risk reward ratio would be better.
We expect NIFTY to get locked in the upside range of 5533 - 5550

NIFTY 19-09-2010

Market - 18 - 08- 2010

NIFTY gave a good closing for the day and if Reliance gives a good breakout on the upper side it can cross 5500 in a goodway....Reliance can give a good breakout only if the shorts are covered just before the expiry of futures on 26-08-2010

Dont buy any premier league bank stocks like SBI...and if u r still holding those positions u can book 75% of ur profits in tht....
still holds a hold position in JSW steel and JK lakshmi cement

NIFTY 18 - 08 - 2010

NIFTY was able to cross the intra day resistance of 5338 but it failed to close near that levels. Thus we remain bearish on NIFTY with a downside target of 5330 - 5350 levels.Besides that we could see lot of shorts coming in compared to the last miute short covering that we saw during the last minutes.
NIFTY is in a buy only if it could close above 5464

Stocks to watch

1.As i said in yesterday's post ..exit bank stocks and move to some inexpensive stocks
Still have a sell call on the major banking stocks like SBI
2. Enter JK lakshmi cement if it gives a good range above 59 with a stop loss of 54
Target 65 - 70 (medium term call)

3. Enter JSW steelat 1100 - 1110 levels for intraday and as a postional call
Target 1180 - 1200 (positional )
Stop loss 1080

NIFTY 17-08-2010

NIFTY is forming a kind of bearish pattern for the shoirt term...
From it prervius short term low of 4700 levels it has jumped almost 700 points and completed a 5 wave pattern..it has to retrace and i have a downside target of atleast 5330 - 5360 levels....
Trading strategies

1.Sell NIFTY futures if reaches to 5460 - 5470 levels witha stop loss of 5486
2.If you dont have any positions wait for a buying signal at 5350 levels....
3.Buy 5300 put options (Sep) and 5600(Oct) call options.

Stock Calls
1. Reliance - Buy ( 975 - 980 )levels
Target 1024 - 1030 Stop loss - 960

2. Hero honda - Buy 1850 - 1870 levels
If you are already holding this position wait for a target of 1940
stop loss 1832

3. Enter JSW steel at 1100 levels
Target 1180....
Stop loss 1070

4. Have a sell call on SBI
Book profits!!!!