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Tuesday, March 8, 2016

09-03-2016 - Index views



Nifty :

Nifty has closed at 7452.65. Since past couple of days, we are stating that now either a consolidation or a small correction is expected for some time. The trend has become positive but due to sudden jump and a huge rally in a short period of time, may bring some consolidation or a correction. “ Buy On Dips ” strategy is a better option. 7370 & 7240 are good supports & you may initiate a long position around these levels in Nifty for the targets of 7530 & 7580 initially. Close above 7580 may push Nifty towards 7700. Since the trend will reverse only when Nifty closes below 7100, one may buy on dips ONLY. Presently Nifty is showing some weakness which may turn into a small correction. Trade with levels.

Bank Nifty :

Bank Nifty closed at 15,153.40; as we have stated, Bank Nifty is definitely out performing Nifty & with a strong moves. Today it closed 1.10% down Even Bank Nifty is in a “ Buy On Dips ” kind of state. Any dip till 14,700 should be treated as a buying opportunity. 14,300 is a trend reversal point for now. After a small correction / range bound movement / consolidation, one may see 15,700 & 16,100 also in a due course of time. Keep your quantity low on buying and you may add more on any dip till 14,700. The closer you buy from 14,700, lesser will be your Stop Loss & risk. But in case it does not dip enough & goes up fiercely, you may consider buying in call option even at this juncture. By this, you will minimize your risk & not lose the opportunity also. Trade with levels. Trade safely.

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