Winning Strokes 

I'm not well today and have to visit a doctor, as yesterday night while taking food I accidentally fell asleep on the bed and something entered my food pipe which is giving me uncomfortable feeling accompanied by intermittent cough. Hence, I'm writing this post in a hurry, so as dash to a healthcare centre or to a nursing home. Besides, this new blogger interface causes problems for a quick update of this blog. 

Anyway, on the last Friday, Nifty50 declined for the fourth consecutive session and slipped below the crucial 15,000 mark, forming a  "Bearish Engulfing pattern", on weekly charts. The Nifty50 EOD chart apart from sell signals from the momentum oscillators, gives an indication of continuity of the earlier trend. The Nifty50 may drift towards 14000/13600 in the coming days. 

Therefore, all the initial rises in Nifty50 may get sold into, in the latter half of the day.

DIIs sell Rs.1,175 crore worth of equities:

Though the FPIs were net were buyers of domestic shares to the tune of Rs.118.75 crore, the DIIs were net sellers of (mammoth) Rs.1,174.98 crore.

Meanwhile, the crude Oil prices rose on Monday, piggybacking on the rise of US demands and the hopes of a stronger global recovery, post coronavirus pamdemic. However, this belief might be short lived in terms of India, as the Covid - 19 cases continued to spike in Bombay and rise in the petroleum prices might put a jolt to demand, as people battle with their monthly sale kitty.

Also, the CM of Maharashtra has announced a complete ban for a few days on all political, social and religious gatherings, processions, morchas and public protests to check the spread of Covid - 19 pandemic. This is likely to have a negative effect on some sectors of Indian economy. 

Continuing with the negative outlook, the yields on benchmark bonds surged to 6.14% last Thursday after falling to a low of 5.94%, post the interventions nearly two weeks ago. Inflation patterns and projection also looks to alarming, in a record high government borrowings.

Sell the share of  L&T Ltd at the CMP of Rs.1507.80 for the short term targets of Rs.1330/1260. SL: Rs.1580.

The stock has been on the rise since the last few months on the news that in a $ 21 billion deal the Indian engineering major has exited its only products business so that it can focus on its core competencies in construction and engineering and the high margin services business. Photo: The Business Standard.