Dalal Street Week Ahead | Stocks and Commodities

September 7, 2014
Time: 11 am

Dalal Street Week Ahead:

1. Nifty has traded in the range that I predicted last week.
2. Once crossed 8000, further strength has come and Nifty future is having very good support at 8000 now.
3. After breaking out on Monday and Tuesday, markets consolidated for the rest of the last week.
4. Next week is likely to be consolidation week.
5. There are no major news flow.
6. On Monday, there will be export, import data from India,
7. On Friday after our markets close, IIP data and Inflation data are due.
8. Other than these, there no major market moving news.
9. China markets will be closed on Monday and Tuesday.
10. So it is going to be choppy, sideways consolidation with positive bias.
11. Nfty future is likely to trade between 8000 and 8200 next week.
12. In case of breakout or breakdown, Nifty future may, at most, move another 100 points.
13. Breakout may happen, if Brent Crude oil falls below US$100.
14. So in extreme case, Nifty future will trade between 7900 and 8300.
15. So I advise selling 7900 Put option and 8350 Call option to make money out of this consolidation phase.