As predicted, Indian Stock Markets slid on Friday on the backdrop of negative global cues. Technically too, Indian equity markets are in strong resistance zone and it will take a while before we may see another attempt to break the final wall of resistance.
The global cues during the weekend aren't too good. Three US based banks have been closed / taken over. There have been concerns on the possible impact of Yuan appreciation on Chinese economy. Stocks in Gulf have closed lower on renewed apprehension on global recovery.
Provisional data released by exchanges on Friday gave a subdued picture. Foreign Institutional Investors have been net sellers by around 250 Crores in the Capital Market segment. In Derivatives segment too, FIIs have been net sellers by more than 1000 Crores in the Index and stock futures segments.
All these factors indicate that the coming week might be volatile. We may see a negative to flattish opening on Indian bourses on Monday morning. The traders may adopt "Sell on Rise" strategy on Monday and sell in the range of 5280-5290 with stop-loss @ 5320 and target price of 5225.
Stock-specific one may buy Tulip Telecom in 845-850 range for target price of 920 and stop-loss price of 810. Technically the stock has entered into its support range of 840-860 and with corporate action for Split coming on 6th July, we might see a spurt in the stock anytime soon.
Another stock that traders may fancy is Hero Honda. The stock has a strong resistance zone of 2060-2090. One may sell the stock in this range with target price of 1920 and stop-loss price of 2125.
The pair-trade strategy for M&M and Tata Motors is still open. TCS Sell strategy is now in profit after languishing in losses for initial few days. Overall things working fine for us :)
Wishing you a great trading day tomorrow!!!
The global cues during the weekend aren't too good. Three US based banks have been closed / taken over. There have been concerns on the possible impact of Yuan appreciation on Chinese economy. Stocks in Gulf have closed lower on renewed apprehension on global recovery.
Provisional data released by exchanges on Friday gave a subdued picture. Foreign Institutional Investors have been net sellers by around 250 Crores in the Capital Market segment. In Derivatives segment too, FIIs have been net sellers by more than 1000 Crores in the Index and stock futures segments.
All these factors indicate that the coming week might be volatile. We may see a negative to flattish opening on Indian bourses on Monday morning. The traders may adopt "Sell on Rise" strategy on Monday and sell in the range of 5280-5290 with stop-loss @ 5320 and target price of 5225.
Stock-specific one may buy Tulip Telecom in 845-850 range for target price of 920 and stop-loss price of 810. Technically the stock has entered into its support range of 840-860 and with corporate action for Split coming on 6th July, we might see a spurt in the stock anytime soon.
Another stock that traders may fancy is Hero Honda. The stock has a strong resistance zone of 2060-2090. One may sell the stock in this range with target price of 1920 and stop-loss price of 2125.
The pair-trade strategy for M&M and Tata Motors is still open. TCS Sell strategy is now in profit after languishing in losses for initial few days. Overall things working fine for us :)
Wishing you a great trading day tomorrow!!!
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