CORONA attack on nifty..

The recent mayhem in the global equity market is mostly attributed to corono virus . Nifty corrected about 25% with a massive sell off in few trading sessions . Many financial listed firms especially banks may see a further hit in their stock prices because the business cycle may take a standstill . The fall of nifty from about 12200 to 8900 is quite steep in the last few years . The obvious comparison of these steep fall would be the year 2008.

But the crash of 2008 and that of 2020 are entirely different . 2008 was all about banks , funding and very concentrated risks . On the other hand , the crash of 2020 is all sudden resulting in halt of a number of businesses . Also there was a severe liquidity crisis back in 2008 . But during this crisis , the reverse holds true. There is ample of liquidity in the current scenario . Recently , fed announced to cut the interest rates to zero in the usa.

The global stock market would not recover easily . The aviation industry is severely impacted by the corona . Entertainment and tourism industry may also see a massive dip in their sales. This will have contagion effect on other industries and effect the economy negatively . This will result in weaker financial and economic data points in coming weeks. Hence giving more strength to bears. Probably overall trends indicate that nifty is likely to stay in the range of 10000 - 8000 in coming weeks. Until vaccines come for corona and market regain the confidence .

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Trade 12: CARERATING

Buy CARERATING Buy = 530 Target = 700 stop loss = 480 1 Day chart of Carerating Why carerating is a buy? The stock is consolidating for the last 30 days. the price level of around 530 is a critical price zone. once, it breaks the level of 560, the next target maybe 700. overall, based on other parameters, this stock is a good buy with a pre-defined stop of 480.

Bonus 1: DLF

# This blog is all about Swing Trade, but today I will give you one stock which you can buy and hold for long term say at least 2 years The stock is DLF Monthly Chart of DLF Why DLF? The stock is currently ( 7th Feb 2021) trading around 300. it has recently broken the multi-year resistance. the potential of this stock looks huge. in the coming years, it might reach the level of 1000. therefore, you should buy this stock around 300 and hold it for about 2 years. ---------------

Where is nifty headed ?

The previous calendar year of 2018 was too volatile . nifty began with the level of 10531 and made a high of 11760 , but this was unsustainable and selling pressure brought the index down to the level of 10862 by the end of 2018. The annual return on the index was 3.2% ( approx ) i.e. about 350 points . major stock market related events of 2018 were - pnb scam , ilfs default and trade tensions. The calendar year 2019 started with levels around 10880 and nifty is currently trading at 11950 as of may 30 , 2019 . which is gain of about 1050 points . is there any further room for extra stretch ? The answer as obv ious , depends on many factors . the return of bjp government in centre is a major event of 2019 . Reasons to be bullish - earning growth , good Q1 result this fiscal , good monsoon Reasons to be bearish - slowdown in global economy , high valuation of nifty 50 firms overall , pessimistic forecast from IMF on overall economy of the world , volatility Overall If al...

Indian stock market - Swing Trading

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