With today being the expiry day for the November F&O series, some short covering may be seen. Nifty may find difficult to cross 6120 spot today (28th Nov, 2013).
Strategy for NIFTY:
Traders may hold long positions in Nifty with stoploss at 6035 spot. Targets should be at 6140 & 6182 spot.
Today, the market opened in the red and lost 1.45% for the day. The selling pressure intensity remained quite on the higher side.
Only Pharma stocks were able to see some buying interest, while Real-estate and Auto stocks fell heavily for the day.
Pre-market opinion yesterday (2nd April, 2013) morning on one of the TV program remained – book partial profit on long positions around 5750 spot. Nifty touched an intra-day high of 5754.60 spot and is now down to 5664.55 spot in a day – a fall of 90 points from the predicted level.
Overall, the market has seen huge downside. Before this recent downtrend, we had predicted the volatility to move high and this is very much visible in the markets now.
Overall, the volatility is likely to play its role over next few days. Nifty has broken crucial level of 5700 spot levels also.
Target of 5580-5450 spot from current levels is not denied.
Remember, shorting at current levels is not likely to fetch you much returns especially in case of a bounce before the possible fall.