Bonvista Financial Planners

NIFTY View For Week 8 -12 Dec 

We had indicated at range bound activity for the last week. Nifty traded in the range of 8500-8615. The global markets are looking stable. We have seen individual stocks rallying in the last week. On Friday markets have closed in red but the small range is maintained. Traders have booked profits. Probably they did not want to carry positions over weekend ahead of US Employment Data. 

Technical Overview: Nifty has traded in the range of 115 points in last week. That is a pretty small range. We expect Nifty to break the range on either side. The markets have not given any signs of corrections as yet. The support at 8500 is becoming weak. If this is broken, next support emerges in the range of 8410-8300. However for medium term trading, short selling may not be advised.                                   

 Short Term (Few days to a Week) : Our short term traders would have earned 100 points in Nifty trading  by selling short near 8600 last week. Nifty has support near 8500, however buying at this support is advised with a caution, as this support has become weak now. One can sell Nifty near 8560 for a target of 50 points.  

Medium Term (Few weeks to a month): Our support of 8500 is still intact. However Nifty can move down to next support of 8410. Medium term traders may stay away for the week. If Nifty touches 8410, buying in Nifty futures may be done.      

Long Term (Few months to Year): Hope our long term traders would have booked some profits last week. While there is no confusion that Nifty is in Bull run, correction is an inevitable part of market dynamics. Nifty may continue to run up for some more time, we should be ready for a correction. 

                                                                                                                               

 View on Sectorial Indices:  

Bottom Fishing can be done in Metal Stocks. Pharma and IT are under Pressure. PSU Banks and Financials are still looking better. 

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Recommendations of the week: 

Last week Ranbaxy achieved target. Stop loss triggered in Siemens and UPL. Net Loss - 3500/- HINDPETRO (Sell): Sell Hindpetro near  570 for a target of 555. Maintain stop loss at 587 

IGL (Buy): Buy Indraprashta Gas near 447 for target of 460. Maintain stop loss at 435 

PNB (Buy): Buy Punjab National Bank near 1122 for target of 1165. Maintain stop loss at 1090 

• The profit calculations are done considering Futures 1 Lot in each scrip. 

For any clarifications on these recommendations , you may mail us on bonvistaplanners@gmail.com