Today, short covering is expected which can make the price to test 8300 levels.
Our Trading Strategies
We recommend that our traders create long positions with a target of 8300 points. Bulls can time a market entry around yesterday’s closing i.e. 8220-8230.
The retail segment has significant short positions which are expected to lead to short coverings. Additionally, yesterday the FIIs have increased their long positions in stock futures. At the same time they had kept up with the recent trend of offloading index derivatives.
What happen yesterday?
Yesterday the NIFTY Index opened with a quick increase of 100 points which also lead to some early profit booking. It eased and settled down at 8234. FIIs had created long positions in Stock Derivatives. Surprise Open Interest gainer were Dish TV, TVS Motors, and NTPC. Stocks to Watch: Dish TV, TVS Motors, NTPC and Maruti