We come into a trading week after long weekend , and after too many holidays , taking cues from the asian and u.s markets which traded on Friday.
Technically we have achieved our logical and said targets of 17200 , from where the indices reacted on profit taking and probably some shorts too.
Now the parameters suggest that the indices are in an overstretched – high resistance zone and can see some reaction on back of more profit taking.
However there exists a strong and crucial support at 16790 levels on sensex , and must we watched carefully.
As long as this crucial levels are held , the markets have the potential to bounce back and make newer and higher highs.
So from a trading point of view , I would like to buy dips closer to my crucial levels and be long as long as these levels are held , trailing it as stoploss for all longs.
The supports for the nifty is at 4925 levels and resistance at 5150 levels.
The supports for the sensex is at 16790 levels and resistance at 17400 levels.
Thursday’s calls sent via sms and messenger
Hindoil – sell at cmp 314 sl 317 targets 307 , went 309
Idfc – buy at cmp 148.50 sl 146.50 targets 152 , went 156.50
Idfc 150 ca – buy at cmp 6.10 sl 5.40 targets 8.50 , went 10.35
Nifty 5100 ce – buy at cmp 114 sl 107 targets 130 , went 124.40
Dlf 440 ca – buy at cmp 22.50 sl 21 targets 26 , went 25.70
Nifty – buy at cmp 5053 sl 5025 targets 5090 , went 5089.55
