morning thoughts..

As said and expected the markets continued its weakness and remained highly volatile on the f/o expiry day.
Technically the parameters indicates no strength on charts , however the indices have moved in an oversold zone and could see some short covering and short squeeze in coming sessions.
Though the markets can witness a dead cat bounce but that would be viewed with suspicion and caution , until and unless the nifty manages to close above 4950 levels.
As of now the bounce if it comes can be used to book short term longs , and from a trading point of view one must buy intraday dips and sell intraday rallies , as the markets are providing golden opportunity on both sides.
One must also start buying good quality and strong cash midcaps and use a straddle strategy for coming days.
The supports for the nifty is at 4745 levels and resistance at 4890 levels.
The supports for the sensex is at 16050 levels and resistance at 16500 levels.


Stocks to watch

Unitech , tisco , lic looks good


Yesterday’s calls sent via sms and messenger

Hpcl – buy at cmp 338 sl 335 targets 345 , went 352.35

Balrampur chini – buy at cmp 155 sl 153 targets 160 , went 159.55

Amara raja battery – buy at cmp 156.50 sl 154 targets 162 , went 163.50

Positional Nifty – buy at cmp 4785 sl 4749 targets 4875 – holding

Jackpot Sail – buy at cmp 166 sl x targets x – 3 days (booked full profits at 170.50 the same day)

Fii Praj inds – buy at cmp 85.50 sl x targets x – 3 days (booked full profits at 88 the same day)

Dii Unitech – buy at cmp 83.20 sl x targets x – holding

Punter Jayshree tea – buy at cmp x sl x targets x - holding