Hey Raunak the volume today is very high and isnt it similar to what happened when the budget was announced? I see a lot of absorption volumes and high level of manipulation. If you see on budget day we almost touched 5000 but closed well below the high around 4918 even that time volume spike was massive. I believe we might have a short term up move as we did go down to 5209 from 5256 but then to close at 5230 shows that this was a mere test of supply to absorb as much as possible. Again my view and I might be wrong. In last 2 trading sessions, we have moved from a low of 5160 to a high of almost 5260 to close at 5230 which to me sounds further upmove. Contrary to this when market touched 5388 and decided and went down below 5300 on the same day it was a good short call but I believe for now the correction maybe over and soon we ll have a move up.
The other reason I believe market fell today was with the increased Interest rate the Rupee goes up which is very logical hence the IT stocks suffered which brought the index down look at Infy TCS they were all positive in the morning but these stocks exerted substantial pressure and closed towards the low thus forcing nifty to shed its gains whereas if u see banks and other Interest sensitive stocks they were buoyed by the positive expectations and closed towards their days high which is a strong signal that they might further continue their up move.
As far as monsoon goes I think buying Bajaj Hindustan might be a good bet to protect your portfolio as if the monsoon don't go as predicted the sugar crop will suffer and prices for sugar will rise again making these companies a good investment also the stock has fallen a lot and taking good support at 130 levels. I think stop loss of 128 this stock can be a good buy especially now with a price to book value almost being close to 1.
For me I thinking we ll be weak if we fall below 5150. Until then I m going to be sector specific and ride the upmove.
The other reason I believe market fell today was with the increased Interest rate the Rupee goes up which is very logical hence the IT stocks suffered which brought the index down look at Infy TCS they were all positive in the morning but these stocks exerted substantial pressure and closed towards the low thus forcing nifty to shed its gains whereas if u see banks and other Interest sensitive stocks they were buoyed by the positive expectations and closed towards their days high which is a strong signal that they might further continue their up move.
As far as monsoon goes I think buying Bajaj Hindustan might be a good bet to protect your portfolio as if the monsoon don't go as predicted the sugar crop will suffer and prices for sugar will rise again making these companies a good investment also the stock has fallen a lot and taking good support at 130 levels. I think stop loss of 128 this stock can be a good buy especially now with a price to book value almost being close to 1.
For me I thinking we ll be weak if we fall below 5150. Until then I m going to be sector specific and ride the upmove.
Tc.