Technical view by Nooresh

Market View

Our Words on Sunday ...

The Sensex is at top of channel and a fall below 144000 will open gates to 14050 and 13700-135000....Below that scary!!!!!!!
Our words on Friday..
EXIT ALL !!!!!!!!!!!! RISK IS HIGH!!! ( given in side chatbox)
The markets look weak but have support at 13850-13900 ...Only way this fall can get deeper and signal
intermediate downtrend is if we stay below 13850-13900.... Targets possible on lower side is 13500..
Max this fall can go is 13200 and 12800 does not seem probable....
Nifty has broken the channel we are showing on SENSEX so pain is evident as said below 4050...
Contrarian View :
Global Cues are very good so if we sustain 13850-13900 we can expect reversal from there ..
Metals are about to bounce on global indices ...
Our Long term view remains very bullish saying this frm 8000 levels still maintain our huge targets from that view ..
DECIDER LEVEL : 13850 -13900
The world is talking about CRR hike of 50 bps points ...Well this discounting was being done for last 2-3 days and what we will see is a BIG gap Down ...
So all guys reading newspapers and listening News Channels will sell Banks first thing in the morning and will be trapped as they may open too low to short ..!!!! the Gap down will be a trap ...Do you think somebody would be dumb to buy at yesterdays close after this news !!!!!!!
So the best way is to use the opportunity if we sustain below 13850-13900 exit all index longs to buy at 13500 levels the levels which we said the risk is for ...Short and cover quick if you want to ...
Next you try to go short and you are trapped coz its already too down to do anything
So when people are getting very bearish and fearful we get greedy coz all of us sittin naked in the market !!! ( Pun intended as no holding after exit so happy to go shopping in distress sale if it happens otherwise wait for reversal ))
We need to buy some stuff so waiting and looking out for opportunities when we see fundamental stocks at attractive valuations becuase of panic like for example :
Century Textile in last panic low 260 Now 700...So lookout for distress sale if any.....
Stocks To Pick at Lower levels Now :
VSNL ( cmp 413 ) ..
BUY between 370-395 if u get it for long term
Some Midcaps which u like the story can come in cheap now ...We would update the list only if we feel to messenger friends and on the chatBox so keep checking !!!!
Best Regards,
( call me btwn 4-9 .... except 6.45 -7.20 for queries n services...)

Article by Nooresh Merani

Nooresh has written 2531 articles.

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