NiftyforAll: Weekly Review

Friday, August 22, 2014

Weekly Review - 25.08.2014

Dear All,

The rupee rose on Friday, after earlier hitting a three-week high against the dollar, on continued strong buying of debt and shares by foreign investors, while gains in emerging market currencies also contributed to the improved sentiment.

The rupee was also helped after analyst at Standard & Poor's calling the government's target to lower the fiscal deficit a positive for the country's ratings, helping the currency rise to a session's high.

The rupee put on 0.5 percent for the week, a third straight week of gains, as foreign funds turned active buyers of Indian assets, especially debt, despite lingering concerns in global markets including the prospect of earlier-than-expected U.S. rate hikes.

Foreign institutional investors bought debt worth $2.65 billion on Wednesday alone, which some traders called the biggest single-day buying on record. That took total inflows into the debt and sharemarket so far in 2014 to about $29 billion.

However, caution set in ahead of U.S. Federal Reserve Chairwoman Janet Yellen's speech at Jackson Hole, Wyoming, due on Friday.

Federal Reserve Chair Janet Yellen said Friday that the Great Recession complicated the Fed's ability to assess the US job market and made it harder to determine when to adjust interest rates.

The Fed chair noted that while the unemployment rate has steadily declined, other gauges of the job market have been harder to evaluate and may reflect continued weakness. These include high levels of people who have been unemployed for more than six months, many people working part time who would like full-time jobs and weak pay growth.

Yellen repeated language the Fed has used at its last meeting that record-low short-term rates will likely remain appropriate for a "considerable time" after the Fed stops buying bonds to keep long-term rates down. The Fed's bond buying is set to end this fall.

But Yellen said the Fed's rate decisions will be dictated by how the economy performs.

"Monetary policy is not on a preset course," she said. The Fed "will be closely monitoring incoming information on the labor market and inflation in determining the appropriate stance of monetary policy."

Yellen also suggested that pay gains, which have been sluggish since the recession ended five years ago, could rise faster without necessarily igniting inflation.

>>> NIFTY - Daily Chart <<<

Nifty on Record High - So the Question from every one is ?? - Is this a right time to Short or Buy PUTS or Exit my Investment Holdings ?? So Check out the above chart for your questions.

I say its not a right time to short the market - Though market is over bot with life time high - its not good time to short now. Yes RSI on a break out mode. Price moving towards the upper channel of the Expanding triangle - shows, still some stream left for bulls.

>>> Nifty - Hourly Chart <<<

For the past week nifty has consolidate inside a small expanding triangle for sub wave 4 as shown on above chart, hence upmove till the above channel possible. Break above the small triangle may confirm the further uptrend. Stay long till then.

>>> Bank Nifty - Daily Chart <<<

Bank Nifty - Clear Resistance @ 16000. If RSI breaks out - Rally may continue. We need to wait and watch till then to decide the trend.

>>> Weekly Chart Performance <<<

>>> L&TFH - As Posted on 18th Aug, 2014 <<<

We wrote to Buy L&TFH last monday. See what happened

>>> L&TFH - Happened <<<

Hit our first Target 70 with a Profit of Rs.18000. Still more rally coming - Just buy on every dips and enjoy the rally.

>>> TATAPOWER - As Posted on 11th Aug, 2014 <<<

Wrote on 11th Aug, 2014 - to Buy on every dips for a good upmove. See what happened

>>> TATAPOWER - Happened and Yet to <<<

Tata Power - We made a part profit for 10,000. Stock on consolidation mode and still looks attractive to buy on dips. Keep Buying for a good upmove.

>>> NTPC - As posted on 11th Aug, 2014 <<<

Along with Tata Power we wrote about NTPC to Buy on every dips, See what happened.

>>> NTPC - Happened and Yet to <<<

We made a Part profit of Rs.8000. Still its a Good buy on every dips and Just Buy Buy Buy for a good rally.

>>> BANKINDIA - As Posted on 21st Aug, 2014 <<<

Wrote to Buy BankIndia on 21st Aug, 2014. See what happened.

>>> BANKINDIA - Happened <<<

Made a high of 297 - almost near our first target of 300 with a profit of 17000.

>>> DRREDDY <<<

Rally almost over for Dr.Reddy. Just Sell on every rise and Earn. We have shorted this stock at 2840 and part booked Rs.5000 at 2800. Still its a sell on every rise. Just Sell and Earn.

>>> HEXAWARE - As posted on 21st Aug, 2014 <<<