These are my personal musings. These are not in any way meant to be trading advise. To view the full chart, right click and open in a new window.It was suggested on Friday that the correction is still not over. From the pattern today, it does seem correct. The up move of the last two trading sessions does suggest that these 100 odd points are a correction.
Today’s move was fuelled by one pharma and the auto pack. But Tata Power was the major driver because of the news related to power. Had the technology pack participated, I would be comfortable in saying that this move is broad based.
This reinforces my above mentioned understanding of today’s up move. Since the major move is still up, it could be suggested for short term traders to possibly buy on dips with a strict stop. However, please keep in mind that the short term trend is still down, so buying could be done on deep down moves.
As far as the longer term perspective is concerned … technically the position remains as a suggestion to buy on dips. Investors could remain cautious about the 4235 level. Profit taking also may be done quickly, unless we are really long term investors.
Plan your trades and trade happy.
1 comment:
Sirji, i believe that in the long term everyone will be dead and therefore there is no such thing as long term. if we cannot win in short term, what guarantees exist that we will win in longer term...!?
So FNO - whether one calls it speculation or anything else - it DOES require higher discipline than an investor (that i try to develop thru ur 'musings' !!)
reg
ketan
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