Nifty & Market Update/Performance/S&P 500,NASDAQ 100 Analysis
PERFORMANCE:
Today we suggested to buy Voltas (Future &Option) among high volatility session of children day and able to mint profit. We suggested to buy Voltas(FUT) around 580 for target of 600--625+.Our 1st target was tested within a session as voltas made high of 601.50 before closing at 600.80. Our called proved fruitful and we were able to mint profit of Rs 20800 on 1 Lot or return of 3.60% in single session.We also suggested to buy Voltas 590 CE around 12--10 for target of
25--30+.Our 1st target was tested within a session as it made high of 24.15.
before closing at23.05. Our called proved fruitful and we were able to mint
profit of Rs 13000 on 1 Lot or return of 8.33% in single session.Our Voltas 600 CE call to buy around 8 for target of 20 is also doing well as
our target missed by two points will be tested in the next session for sure.
HOPE YOU ALL MINTED MONEY
OUR call given in previous blogs remain intact.We will make money on them as we have the formula of success i.e.........."PATIENCE"
Let us see how our godfather indexes have faired so far and analyze them closely.
S&P 500 and NASDAQ 100 Forecast
S&P 500
The S&P 500 fell during the trading session on Monday, breaking below the 2575 level early in the day. However, we turned around to form a hammer and it suggests that we are going to continue to try to reach the 2600 level, if not break above it. This is a very bullish looking market, but I believe that short-term buying is about all you can do as we are getting to be a bit overdone. Once we finally break above the 2600 level, momentum should pick up again. So, I think short-term traders will continue to jump into this market and pick up little dips, but at this point it is probably more or less just algorithmic trading and scalping that we will be seen. I have no interest in shorting regardless, as it’s obviously a fool’s errand to try to do so.
NASDAQ 100
The NASDAQ 100 initially fell during the trading session as well, but turned around to bounce above the 6300 level. By forming a hammer, it looks very likely to continue to the upside. I am a bit leery about these high valuations, but quite frankly the market isn’t showing much in the way of proclivity to the downside. I think we will eventually break out to the upside, but you need to look for pullbacks to find value, we could get a sudden breakdown after all. The NASDAQ 100 does tend to be very volatile, but at the end of the day it does tend to lead the rest of the United States, at least it has this past year. I don’t have any interest in shorting, so I look at every pullback as a potential buying opportunity.
MARKET UPDATE:
Sensex below 33K, Nifty at lowest closing level since Oct 23; bond yields drag PSU banks
Benchmark indices extended losses for the second consecutive day Tuesday, with the Sensex closing below 33,000-mark on weak Asian cues and unlikely rate cut post increase in inflation.L&T, HDFC twins, Infosys, ITC pushed the market lower; but Reliance Industries (up 1.3 percent) and auto stocks capped losses.The 30-share BSE Sensex was down 91.69 points at 32,941.87 and the 50-share NSE Nifty fell 38.40 points to 10,186.60, the lowest level since October 23, amid volatility.Volatility emerged as hopes of a near term rate cut by RBI has faded given the spike in October CPI inflation to 3.58 percent. Global cues were not helping either amid uncertainty over US tax reform, slowdown in Chinese factory output and growing political issues in UK.The broader markets also traded in line with benchmarks, with the Nifty Midcap falling 0.2 percent. About 1,034 shares declined against 699 advancing shares on the NSE.Global cues were subdued amid uncertainty over US tax reform, slow down in Chinese factory output and growing political issues in UK. China's Shanghai Composite declined 0.5 percent and Australia's ASX 200 was down 0.88 percent.Meanwhile, wholesale-based inflation grew to 3.59 percent, hitting a six-month high in October, due to increase in prices of food and fuel products. It was at 2.6 percent in September and 1.27 percent in last October.Bharti Infratel slipped 4.5 percent as Bharti Airtel sold Rs 3,325 crore worth of shares through block deals in opening trade today.L&T lost 2.5 percent on top of 2 percent loss in previous session as the management on Saturday said it would not meet its full year order inflow growth guidance of 12-14 percent.PSU banks were down as 10-year bond yield hit 7.06 percent, the highest level since September 2016. State Bank of India declined 0.6 percent while Canara Bank and PNB were down 1.7 percent each.Eicher Motors declined 1.6 percent as Q2 earnings missed expectations.Ahead of earnings after market hours, Sun Pharma was down 1.2 percent and Bank of Baroda was up 1.5 percent. The bank's Q2 profit missed analyst estimates, falling 36 percent YoY but asset quality improved QoQ; while the pharma major's profit declined 59 percent YoY.HUL and Havells gained nearly half a percent as Credit Suisse upgraded both to outperform from neutral owing to GST rate revisions.Index heavyweights HDFC, HDFC Bank and ITC were down over half a percent whereas Axis Bank, Hero MotoCorp, M&M and Bajaj Auto gained 1-2 percent.Dhanlaxmi Bank, Karur Vysya Bank and PTC India Financial and NCC were down 3-7 percent post weak earnings.Asian Paints was down 1.7 percent and Kansai Nerolac down 2 percent after disappointing numbers from Shalimar Paints that fell 10 percent.Khadim India closed 8 percent lower at Rs 688.50 per share on first day.
