Daily Wealth – Nifty – short term down but Trend up

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HAPPY DIWALI TO ALL READERS

NIFTY

Nifty slipped to 5660 on Muhurat Trading day and possibility of testing 5640 level does exist. But, as I said earlier unless Nifty closes below 5640 on weekly closing basis, trend still remains up.

Previous Trading Day’s Update:

Nifty was showing strength till yesterday, buckled down today. Yes, it has closed above recommended stop loss level of 5680 but chances of visiting lower levels of 5660 and 5640 have increased once again.

But, let me affirm that Nifty is still in uptrend un till closes below 5640 on weekly closing basis, and till that hitting upper channel 6050 remains alive.

Fundamentally Sound and Technically positive stocks: Sintex, Crompton greaves, Educomp, Force Motors, NMDC, TCI ( Transport Corporation of India ), Tecpro systems. I will keep revisiting this list.

Sesa Goa shows very good pattern. Buy Sesa Goa at current level for target price of 182-190.

USDINR

Rupee has shown considerable weakness after strengthening in September. And, last few days pattern indicates that this week, chances do exist of testing 56 and even weekly and monthly closings could come around 56 level. But, that does not mean trend has reversed. But, at the same time un till Rupee falls below 53.50, significant strength would not be seen.

Previous Trading Day’s Update:

Rupee slipped again today. Rupee will have high resistance zone between 55-56. Rupee has tried once to take out 55 but failed and came down. But, I think the way Rupee is behaving, it can try once again to take out 55-56 resistance zone. Rupee is still in trend.

GOLD

Gold is consolidating after last week’s up move. Gold has 2 options now, either to continue up side or to make a range around this level & remain in a range unless next trigger comes. I think, next few days will tell us about Gold’s intention. Best is to step aside and wait. New breakout in Gold will come only after Gold breaches $1779 – $1787 successfully. And If, Gold falls below $1717 and remain below the level, testing bottoms again will become imminent.

Previous Trading Day’s Update:

Gold is taking some rest today. Gold can stabilise here for a while before riding again if attained levels ( closing above $ 1717 ) not quickly given up. In Indian price, Gold has risen to some extra degree, thanks to Rupee’s slide.

SILVER

Silver will continue to follow Gold.

CRUDE

I will remain sideways. Will update as opportunity arises.

Note:

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Regards

Dhaval Shah

Blog: https://investmentacademy.wordpress.com/

Disclaimer: Daily Wealth is a free daily investment newsletter published by Investment Academy. This publication does not provide individual, customized investment or trading advice. All information is based upon data whose accuracy is deemed reliable, but not guaranteed. Performance returns cited are derived from our best estimates, but hypothetical as we do not track actual prices of customer purchases and sales. Author might have open positions in the stocks and Indices recommended above.

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