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Traders Daily Tips- 2211

11/22/2013 Youth Apps 0 Comments

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    The market drifted as the session progressed failing to recover at any stage and closed marking its biggest single-day percentage fall in nearly two months. The Sensex closed the day losing over 400 points at 20229 after dipping to a low of 20189 while the Nifty ended at 5999 losing 123 points. 



    Short-term liquidity indicators though are not very encouraging and have changed in the last 2-3 sessions. These dynamics played their part in our markets. We did see a significant fall in markets with the rise in implied volatility, though the rise was not very significant. Most of the participants would have expected the formation of short positions in Nifty, but openinterest has declined slightly, indicating a blend of long unwinding and some formation of short positions. However, the Bank Nifty did witness almost 10% rise in open interest with the fall in prices, indicating formation of short positions.  There is huge built-up in 6000 call of November series, which we believe is both long and short and, hence, implied volatility has increased with little pace. Our view in midst of this US tapering-led volatility and by taking internals of the market into consideration is that one should be cautious in the market, but not negative as yet. 



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    Our recommendation based on various inputs.   The data is refreshed from 10:30 IST


    The recommendation is based on our research and I believe that this is the way it would be heading.  The data has been used from Bloomberg. In - Bloomberg India‎, The Economic Times Business News, Personal Finance, Financial,CNBC TV18 - Money Control, Money Control, NDTV Profit: Business Finance, Stock Market, Quotes, News, ICICI Direct and discussion with the guru’s of share market.  I have also observed Rakesh Jhunjhunwala portolio and his approach towards the market trading.


    The views and recommendations expressed in this section are my own view. Please consult your financial advisory before taking any position in the stocks mentioned

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