Markets started the week on an anemic note with both the Sensex and the Nifty losing over 1% in opening trades. However, the only silver lining that could be seen were the gains in the exporters in the Information Technology and pharmaceutical spaces.
So what will be the right strategy to trade stocks in these counters?
Check out the trading strategies with Ravi Nathani, Technical analyst at Nsetoday.com.
Smartinvestor : Markets have slumped further with Nifty trading close to 5,450 levels. Do you expect a technical bounceback from here ?
Ravi Nathani : Support on charts is expected around 5400, post this we might expect a small bounce, overall trend on charts is down therefore best trading strategy would be sell on rise....
Smartinvestor : Is there any opportunity to buy in this market and what will be the stoploss that one should stick to cut losses?
Ravi Nathani : We are at a stage of bearish trend on Indian Indices, therefore buying at this stage would be certainly restricted until we see a halt in near term selling pressure. As strong technical support on charts are broken therefore one could expect markets to trade in negative bias.... Best trading strategy for traders would be to trade with the flow which is "Bearish".
Smartinvestor : Would you recommend investors to book profits in IT and pharma stocks now?
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