Hi All,
Nifty did not act as per our expectations in the last post, Ray of Hope, and broke the previous lows near 10850 levels...
Yet again on daily charts, Nifty has given a bullish indication, a set up of on 10th, 11th and 12th October 2018 is very similar to the Bullish Island pattern It's not the exact pattern formation and a look alike as there are no gaps as per the pattern definition....
As per the supports and resistances, Nifty should ideally travel to 10750 odd levels basis this, and it has already touched 10700 levels a couple of days before, however it corrected sharply from there and currently trade near 10300 mark.
Let me share, what I have been doing personally in the recent bottoms and a small bounce thereof (from 10866 to 11000 and then from 10130 to 10700)... At every dip of such kind, I look forward towards heavily beaten down bluechip / quality stocks and take a No exposure position on them with an intention of selling it whenever they give me a decent % increase, but with also predetermined stop loss below the recent lows... Likewise, I have booked small 2 to 5% or in some cases, even 15% profits in stocks like, PEL, PNB, DHFL, Bajaj Finance, HDFC AMC, Jubilant Foods, LIC Housing, Lupin, Marico, TBZ and Yes Bank. However there are some stocks which are yet to perform and I am still holding them.
Now, in the absence of any major trigger (especially with a positive outcome), its advisable for traders not to take positions with exposures for more than a few days and keep booking profits as markets are very volatile and the fluctuation is expected to increase on account of state election results in almost a month's time.
Cheers....
Hrishi
Nifty did not act as per our expectations in the last post, Ray of Hope, and broke the previous lows near 10850 levels...
Yet again on daily charts, Nifty has given a bullish indication, a set up of on 10th, 11th and 12th October 2018 is very similar to the Bullish Island pattern It's not the exact pattern formation and a look alike as there are no gaps as per the pattern definition....
As per the supports and resistances, Nifty should ideally travel to 10750 odd levels basis this, and it has already touched 10700 levels a couple of days before, however it corrected sharply from there and currently trade near 10300 mark.
Let me share, what I have been doing personally in the recent bottoms and a small bounce thereof (from 10866 to 11000 and then from 10130 to 10700)... At every dip of such kind, I look forward towards heavily beaten down bluechip / quality stocks and take a No exposure position on them with an intention of selling it whenever they give me a decent % increase, but with also predetermined stop loss below the recent lows... Likewise, I have booked small 2 to 5% or in some cases, even 15% profits in stocks like, PEL, PNB, DHFL, Bajaj Finance, HDFC AMC, Jubilant Foods, LIC Housing, Lupin, Marico, TBZ and Yes Bank. However there are some stocks which are yet to perform and I am still holding them.
Now, in the absence of any major trigger (especially with a positive outcome), its advisable for traders not to take positions with exposures for more than a few days and keep booking profits as markets are very volatile and the fluctuation is expected to increase on account of state election results in almost a month's time.
Cheers....
Hrishi
