Hello reader, hope you’re doing well. Missed out on writing the blog for the last couple days due to work travels. Market may record early dips even with an uptick in the Gift Nifty index although US markets ended sharply lower in overnight trades while Asian gauges are displaying a mixed trend. Investors would be cautious after Moody’s downgraded the debt ratings on a number of small and midsize U.S. firms and said it may downgrade the credit ratings on six major U.S. banks, including U.S. Bancorp and State Street. Further, China’s data shall upset Nifty’s Metals index the most, after its exports fell 14.5% in July from the year-ago period, the biggest decline in more than three years. While local markets have been range-bound in recent trades, FII selling in recent sessions have led to caution amongst the investors. Also, traders don’t want to take any chances ahead of the RBI’s credit policy on Thursday and the central bank’s outlook on inflation and economy for the year.
Important points to note:
- Maruti looking good for longs with a low risk opportunity here.
- Canara bank another good candidate for longs from current levels, low risk opportunity.
- We can expect a small dip on nifty upto 19300-19000 levels also, definitely a good zone there to add longs, for further targets of 20500-21000 levels.
As always, risk management is key, and a proper system in place prevents one from losing out too much, in case of outlier events. Have a good trading day, and may the force be with you!
Disclaimer: this post is for educational purposes only, we are not SEBI registered analysts. Trades mentioned here are not trade recommendations. Equity Investments are subject to 100% market risk, please consult your financial advisor before investing.