Sensex Technical View :
In clear technical terms the current panic low of 15300 is near to the trendline joining prev bottoms of 13800 and 12300 and one more at 9800, also has corrected 61.8% of prev rally frm 12300 . This clearly signals the markets have taken support at an important trendline for short term although the magnitude of the correction with time has made it touch the lows very quickly . So every rise from current levels will face resistance at higher levels and will possibly continue to see dips regularly after rallies and consolidate in a broader range of 16000-18000 for next few weeks.
Current upmove faced resistance at 18200 as we had stated as a level to book profits in stocks bought of late. The current dip should see support at 17050 and 16450. volatility will remain for next two weeks alongwith FNO expiry ( well using the term as we saw an aggravated fall in some stocks coz of that reason only , and have mentioned many times at caution zone to not keep leverage positions )
FNO trading :
Just met with one old time fella in markets ..... This is what the gist came of discussion on FNO trading ...
Well when people do business even if there is on great idea they would never mortgage their house or take borrowed money at 20-25% p.a interest to go ahead and make a bigger business gain . But in markets people love to do business on margin funding , derivatives on a very large scale without seeing any calculation and in good times make great money but in cracks by the time they realize the risks and calculations involved the market makes them numb to react . So its very human to go numb at times but market can hit u hard but this hits can only make u a better investor and trader.
He ended of with markets can teach u great lessons and make u pay for it also but if u respect the risks, calculations and discipline involved in investing and trading with care the markets should reward u much more then u can imagine.
Another thing to end the line was brokers are not your advisors or well wishers they are also doing business so blaming them would only create a sense of denial of mistakes and never let u grow.
Risky value plays :
Escorts buy beetween 85-75 in dips with wekly closing stop at 66 with 6 mths view. Videocon Inds accumulate on dips with 1 year view.