Trade setup for 23rd May

 There are sometimes in the market when you are not supposed to trade. I think this is the time. But the problem is if you have not entered then you stay away, but what if you have entered and if your portfolio is in red(which is my case)?? You are getting surprises almost every day. For no reason, nifty moves 300 points and for no reason, nifty falls 300 points. When market movements are so volatile, then it is difficult to identify the direction of the market.

We are in the last week of the May series. It has indeed been mayhem for many as nifty fell 1500 points from the beginning and then recovered 500 points and again started falling. Let's see what is in store for the last week.

Over the weekend, the center reduced the excise on fuel. So today that will drive the market. Some say it is good for the economy as inflation will go down. Some say it is not good as the fiscal deficit will rise. Let's see what the market decides. Govt is planning to borrow more to compensate for the fuel price reduction. 

Paytm results came and the losses have increased. So today that will be under pressure. 

Canada has now banned Huawei 5g devices. So we need to see if this gets escalated with China and what will be China reaction. 

Broadcom is planning to acquire VMware. When markets fall, the cash-rich companies tend to invest and buy good companies. So you can expect more of this kind of deal if markets fall more. 

Friday we had Ashok Leyland and Godrej consumer results. Ashok Leyland is something special for me as almost 7 years back I made almost 17lk profit on its earning's day by investing 3lak. I had bought OTM call options and after the earning it shot almost 12%. It was a pure lucky and gut trade. After that, I did not try these kinds of risky trades. No logic or strategy.

Elon musk supported republicans and now the ruling democrats are putting cases on him and Tesla. I don't understand why he wants all these. In that way, our Ambanis, Tatas, and Birlas never indulge in politics, at least openly.

Friday,CISCO came out with numbers in the US. It did not meet with expectations and it fell but this time the markets shot up. The day before yesterday Target's result triggered the markets to fall. 

On Friday, the US markets fell and then recovered to close in the green. Dow fell 400 points and recovered entirely to close in the green.

S&P fell 20% from its al time high and went to a bear market phase on Friday and recovered. Was that fall was to make s&p to touch bear market?


  1. I am not taking any fresh trades as it's very very confusing how the markets will move. But I have old trades where I am doing adjustment after adjustment
  2. Most of the stock options PE which I had sold is in good profit. I will close them today and take trades in next month as the margin will start rising from today.
  3. I had taken RIL earning trade in this month and that trade is in danger as RIL is going all places. I have put an SL in the trade. If it gets breached then I will close that with a minor loss. I have already done a lot of adjustments. 
  1. US markets fell in the first half and closed in the green.
  2. Europe closed in the green
  3. Today the Asian markets are mixed.
  4. SGX was up by 100+ points in the morning and now it is flat.
  1. On Friday, markets shot up almost 500 points but FII has sold. I think this is the first time I am seeing this kind of a day where FII sold and markets rallied 500 points.
  2. FII sold for 1200+cr and DII bought for 2100+cr
  1. Crude is at $113 which is still high for India. 
  2. $ is at Rs 77.7


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