'BUY' OR 'SELL' ideas by experts for Friday, January 06
NEW DELHI: Indian markets are expected to trade flat-to-lower on Friday tracking muted Asian markets as worries about the euro zone debt crisis remained unabated.
The BSE Sensex ended choppy session in the negative territory on Thursday as profit booking intensified following weak opening of European peers.
According to analysts, the benchmarks indices are likely to consolidate for a few more sessions after the recent rally. As far as short-term outlook is concerned, breakout in downward direction could be much quicker than the way up.
"I do not see many positive triggers for the market to breakout on the upside, so the upside is limited to 4800-4850 on the Nifty or maximum up to 4900. The day we close below the last low, which has been seen in the recent past, we could see 4200 levels on the Nifty," said Ambareesh Baliga, COO, Way2Wealth Brokers Pvt.
"The triggers could be anything for example; below expectation quarterly results, monetary policy not up to the mark or the budget. Well. No one really knows but, the downside is more than the upside, at least if you are looking at the next three months. Markets closed absolutely flat and consolidated in a small range in the last two day. Once again 4780 acted as strong resistance but, that does not change the positive bias, says experts.
"There is a developing pattern of head and shoulder on hourly chart of index which could complete if, Sensex crosses 16050 and Nifty scales above 4800 levels. Indices are finding hard to cross the neckline of the head & shoulder but, if the pattern does get complete than we can expect a smart rally which can take index to 4975 levels within few days"Short term charts are indicating that as long as Nifty stays above 4680 the possibility of it touching 4800 remains open in this leg of uptrend and a fall below 4680 will negate the current uptrend.
LKP Securities Ltd recommends buying Tata Motors Ltd, SBI, ICICI Bank Ltd and Tata steel Ltd on declines for trading perspective.
The BSE Sensex ended choppy session in the negative territory on Thursday as profit booking intensified following weak opening of European peers.
According to analysts, the benchmarks indices are likely to consolidate for a few more sessions after the recent rally. As far as short-term outlook is concerned, breakout in downward direction could be much quicker than the way up.
"I do not see many positive triggers for the market to breakout on the upside, so the upside is limited to 4800-4850 on the Nifty or maximum up to 4900. The day we close below the last low, which has been seen in the recent past, we could see 4200 levels on the Nifty," said Ambareesh Baliga, COO, Way2Wealth Brokers Pvt.
"The triggers could be anything for example; below expectation quarterly results, monetary policy not up to the mark or the budget. Well. No one really knows but, the downside is more than the upside, at least if you are looking at the next three months. Markets closed absolutely flat and consolidated in a small range in the last two day. Once again 4780 acted as strong resistance but, that does not change the positive bias, says experts.
"There is a developing pattern of head and shoulder on hourly chart of index which could complete if, Sensex crosses 16050 and Nifty scales above 4800 levels. Indices are finding hard to cross the neckline of the head & shoulder but, if the pattern does get complete than we can expect a smart rally which can take index to 4975 levels within few days"Short term charts are indicating that as long as Nifty stays above 4680 the possibility of it touching 4800 remains open in this leg of uptrend and a fall below 4680 will negate the current uptrend.
LKP Securities Ltd recommends buying Tata Motors Ltd, SBI, ICICI Bank Ltd and Tata steel Ltd on declines for trading perspective.
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