Sunday, October 18, 2009

Rakesh Jhunjhunwala echoes my views....

What a wonderful 1 year we have seen. Last Diwali, Nifty recovered from a major crash 1 day prior to that to close 6% up on Muharat Trading at 2600. This year we are almost at double that value and closed flat on Muharat Day.

So far as Nifty is concerned, I have already presented my broader view of the market with a detailed presentation. So, I will really not move into the broader perspective now. But, I felt really surprised to see Rakesh Jhunjhunwala speak almost in the same lines yesterday. Read....
http://www.moneycontrol.com/news/market-outlook/see-nifty4200-6200-range-next-year-rakesh-jhunjhunwala_419649-0.html


Compare the levels with my ppt posted on 30th September.....
http://www.4shared.com/file/137262793/adb3ed68/Nifty_Views02102009.html


Now, lets speak something on Diwali to Diwali picks....
Technically, even if Nifty remains rangebound from 4200-6200, we might actually see funds flowing into several neglected sectors. I have already spoken about Aviation as my preferred sector. Personally, I have bought KFA on Muharat Trading with a 3 year multibbagger perspective.

Current Technicals
As for now, lets look at the levels of 5166 and 5290 on closing basis. Both are critical resistance zones. If 5166 is not crossed, then we might again see 4950-4980 immediately. Above 5170, we should move towards 5290....One can refer to the ppt for charting details......

Specific strategy: People who are bullish should sell OTM puts and people who are bearish should sell OTM calls. These are called covered strategies and should be adhered to as far as possible.....

Happy Diwali to All of You........

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Disclaimer:

Investing in stock markets carries inherent risks. Readers are requested to consult their financial adviser for trading / investing. The views expressed here are solely that of the author and he wont be responsible for any gains or loss arising to the readers for trading based on the expressed ideas.