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DRREDDY

NIFTY - Test Of 8200 / 8000 Inevitable - 11/4/2016Happy New Year to all. New year has arrived with new opportunities. It is always good to start a new year with profitable note. Our short NIFTY and other selected stocks positions ( via puts of courses ) is well in green and now it looks like the test of solid support levels near 8200 / 8000 is inevitable in coming sessions. Many of the trades we have outlined here have performed the way sound technical analysis defines the chart geometry. Trading theme is, soggy IT sector, topped out auto and pharma sector, so-so oil sector and healthy but lack of momentum in FMCG sector. Here are some of the trades you can review based on such theme, ( Pls Check the Links ) Dr Reddy Cipla Glaxo Lupin Infosys TCS Wipro ONGC Dabur Grasim We have warned about sucker rallies in equities and have advised to be patient with a game plan. Armature investors ask wrong questions about what's going to happen and they tend to waste energy in trying to find when a particular security is going to reach 'where they believe it is heading towards'. Nobody can predict the exact timing and where the things are going to be. Only thing which matters is that what you are going to do when the stock reaches to the point you are interested in ! e.g. people ask, when XYZ stock will reach 100? Instead they should be thinking about what they will do when it reaches 100 or 50 or whatever level is defined as good support or resistance. Let's enjoy the relaxed last weekend of Diwali holidays and get ready for the next week to trade Forex, Commodities and Equities. We are ready with a game plan for the new year, are you?!
NSE:NIFTY
by BombayBulls
Dr Reddy's Lab Stock Is Technically Challenged - 7/25/2016India's one of the biggest drug maker is going to release quarterly results soon and its stock is already feeling the jitters. Analysts and news papers will annotate the appropriate headline but someone who is aware about the technicals will of course be taking profit at this levels. A solid up trend from the beginning of 2009 is still in effect but it is going to be challenged soon. Sock price is random but they usually don't stop at random points which you can surmise by looking that attached charts. Even a huge drop from 4400 stopped at 2800. Well, that is not a coincidence for sure. Good stocks should always be traded with long bias and long side is more rewarding in long term for stocks ! But nothing wrong in taking profit time to time when you feel that the run has enough. We have been actively trading Dr Reddy with amalgamation of stocks, options and futures. So right now we have deployed our favorite strategy of selling covered calls on long positions. After Dr Reddy's quarterly result release tomorrow, following levels are going to be very interesting and this is how we are planning to trade it. Near 4000 / 4200 resistance - Covered call selling on most positions with liquidation of stocks too. And probably switch to short side by buying puts. 3200 / 3000 support - cover existing covered calls and trading it from buy side. Indian pharma trade is very simple. Buy when FDA helps us to get it with bargain and sell when all is good and stock starts sputter at lofty heights. Our other recent pharma trade, Cipla Limited longs are looking very promising and we may add to the position during dips targetting 560 / 600.
NSE:DRREDDY
by BombayBulls