Trade setup for 3rd July

  1. Now there is a slight negativity in the market. All this time, the biz was not good but the stock market shot up. Now there is some recovery seen and stocks markets are consolidating. 
  2. Japan came with its June numbers and it looks good. Tokyo has declared an emergency as COVID cases rise.  
  3. On Friday, our markets were flat as we had a bad day on Thursday. Now 20 DMA in nifty will be seen as a support on the downside. 
  4. Reliance and HDFC bank which was supporting the market is now falling. HDFC bank has broken the 50DMA as well. I am expecting it to come below 1000. 
  5. The Auto sales data shows improvement and GST collection has also improved. 
  6. We have RBI policy this Thursday. We need to convincingly cross 11300 again to get the momentum going. I am not expecting that anytime soon. It might take some weeks. 
  7. The US markets closed in the green after splendid results from tech companies. Apple has now surpassed Saudi Aramco. 
  8. TATA motors came with results and the loss was lower than estimated. So today that might be in focus. 
  9. Microsoft is in talks to buy tiktok. 
  10. Gold is now hitting higher and higher. This is not a good sign for stock markets. If markets now start collapsing then there will be panic selling in equity markets and more money will move to the safe heavens like gold. 
  1. I have executed the below strategy 
    1. 11700ce X 1
    2. 11800ce X 1
    3. 11900ce X 1
    4. 11400ce X -1
    5. 11500ce X -1
    6. 11600ce X -1
  2. I have executed the below strategy in Reliance
    1. 2100ce X 1
    2. 2200ce X -1
    3. 2300ce X -1
    4. 2400ce X -1
  1. The US markets were flat on Friday but there was a big rally in the tech stocks as they came with their earnings. 
  2.  The European markets closed in the red and the major indices lost more than a per cent.
  3. Today the Asian markets are in red. SGX shows that we may open in a gap down.
  1. FII sold for 958cr and DII bought for 442cr.
  2. Now again FII are back to selling spree. 
  1. Crude is now at $43.25. So the recovery is on the cards in terms of consumption. Stock market may not rally more as we have risen a lot.
  2. $ is at Rs74.81. So it will be only IT and Pharma that will be benefitting.