Winning Strokes 

Today the Indian Stock market tanked following a rise in the unemployment figures. The BSE Sensex was trading at 51,480.25 down 454.39 points (-0.88%), while the Nifty50 was seen at 15,469.45 down 105.45 points (-0.68%). The sideliners were looking for some correction to enter and fresh money is expected to pour in the bourses, especially after a fall in the number of fresh Covid-19 cases. However, with the talks of a fresh round of stimulates coming from the NDA government is being heard in Dalal Street, the Nifty is not likely to go for huge batterings from this level. 

Also, there are recent media reports that nearly half of India is reporting a less than 5% test positivity rate, the Centre said, suggesting the peak of the second Covid-19 wave has been crossed, and the disease transmission has largely stabilised. I see Nifty50 to get likely supports at around 15200/15300 ranges.

#The scrip of Future Retail Ltd (Rs.47.85) is now likely to storm ahead, as mentioned in my Facebook post, it is the new Amazon and Flipkart of India, as the company has gone #ONLINE with its products. I'm very bullish on this Rs.30,000 crore company and have a target of Rs.100 - plus before Deepawali. 

#Meanwhile, the crude oil prices have started to inch - up on the international markets and has hit 3 - months high above $70/barrel, as optimism grew over the fuel demand outlook during the summer driving season of the United States, the world's top oil consumer. The crude prices, also got boosted after data from China showed that factory activity expanded at its fastest this year in May.

In this backdrop buy the shares of Suzlon Energy Ltd near the CMP of Rs.6.40, for short term targets of Rs.11/12 and medium term targets of Rs.30/35. The stock in all likelyhood is going to hit the upper circuit today at Rs.6.45.

The company is likely to effect a turnaround in the first quarter of 2022. So, you need to be inside the counter, before time. On the chartical front, the scrip has formed a Bullish Cup and Handle Pattern on the EOD Candlestick Chart. This is also a reversal pattern, with good confirmation history if accompanied by volume breakouts. 

By the way India’s levelised cost of onshore wind power generation, estimated at $48.9 per MWh (Rs.3.36 per unit) is cheapest in the region. It is followed by Australia at $74.6 per MWh which translates into Rs 5.12 per unit. 

#The shares of debt free, Kolkata based NBFC United Credit Ltd (Rs.10.97) is consolidating at the current prices. This is not a momentum counter and is for those who are risk adverse.