Tuesday, September 13, 2011

A better morning

The S&P500 rallied to close higher on Monday. This is leading to a better morning in Asia, and, probably in India. Monday was a narrow range day. Today's gap up could lead to a trend day with higher levels by the close. In Sepember futures, support comes in at 4958 approx. I think, buying is possible with 4935 as a stoploss. Please understand that these are indicative levels before the market opens. Traders should have their own plan available, after watching the first 15 minutes of the market.

With Monday's decline, the possibility of an inverted (bullish) head and shoulde also exists in the Nifty. Earlier, Balu had commented on this possibility. With a stop below 4900, call buying may be considered.

6 comments:

Akash said...

Hi, Sir Current Market , invester buy 4700 , rally to 5100 invester can book profit ?? time frame long term 2 to 3 year, current market is rangebound , so what call for invester ??

sudhin said...

Which stocks should one buy ON DECLINES if one has a 1- 3 years time frame, the one which has fallen the least or the most for eg hdfc vs sbi?

jonak said...

Sir, When is the Inflation data coming ?..What do you think will be the number that will decide whether there will be rate hikes or not??

Balu said...

Sir

Thank you very much sir. You remembered that I commented on Inverse H&S pattern's possibility and mentioned here.. Now waiting anxiously if yesterday's lows are going to hold.

Regards
Balu

sudhin said...

If we are in a market which is going down, then what is the point of investing in a conservative sector? Say we go down by 500-1000 nifty points then will such sectors not go down? and if they go down less still it goes down so staying in cash would be better no? Yes a MF manager may be forced to invest because of the laws but as individuals what are the advantages?
Secondly when we have gone 20-23% below the 200 dma on the nifty we have recovered except for 2008 when we went down 49%, but for individual stocks it was 30-40%, so then is it worth buying stocks which are around 20-30% below their respective moving averages? here I am talking of index counters ONLY. Please let us have your views. Thanks Mr. Sudarshan.

Sasi Uppuluri said...

Market volatility is crazily high. Sir, if time permits, please post an article on how to trade the volatile markets. Thank you.