Trade setup for 28th October



  1. Yesterday the entire world was in the negative mood but we were in full mojo. Nifty shot up 120 points and banknifty shot 700 points. The man of the match yesterday was the kotak bank. They announced their results day before yesterday, but there was not much movement then. Yesterday, there was sudden news that MSCI will be increasing weightage for Indian stocks. In that, the major beneficiary was kotak bank. So it shot up 11%. 
  2. Reliance also started to rally after a long time which added more to the nifty rally. 
  3. Day before yesterday markets fell and yesterday it recovered everything. This is the level of volatility which we are having. 
  4. Yesterday tata motors and airtel came out with results and it looks like it has beaten estimates. In ADR tata motors was up by 4%. So you can expect some movement here too. Airtel has been beaten. There seems to be a reverse cup and saucer pattern in that. If any upside movement has to happen then it has to happen now else the stock may fall more. 
  5. Bihar is going for election and the result will be on 10th Nov.
  6. The covid cases are rising in the US and Europe and there is no consensus about the stimulus as well. So the US markets fell. Even today the futures are down. 
  7. Today we have 5 major nifty stocks coming out with results. They are Axis, hero, reddy, titan.
  8. I feel that the markets will ultimately go down after the election. So I am not having much investment done. I have exited most of my investment. I will take a fresh call after the elections. 

MY TRADES

  1. Yesterday I sold nifty futures in the November month. Till now I have not done any adjustment. 12k is my SL. Will take a call to exit or adjust when it breaks 12k on a closing basis.
  2. Day before yesterday when markets fell I had to do some adjustment. Yesterday when the market shot up, those were in problem and again I have to do an adjustment. I am not worried as my volumes were low.
INTERNATIONAL MARKETS
  1. The US was mixed. Dow closed in red but Nasdaq was in green.
  2. Europe was in red.
  3. Today morning the Asian markets are in red.
FII AND DII
  1. Yesterday the FII have bought for 3500cr and DII sold for 1500cr. This is a massive buying by FII. I feel this will be due to MSCI factor.
  2. In this month they have bought for 16000cr and DII have sold for 17000cr. 
CRUDE AND $
  1. Crude is falling and is now almost neat $40. Looks like the consumption is not as good as there is no problem from the demand side.
  2. $ is at Rs 73.70

Comments

Post a Comment