Friday, April 22, 2016

Exit Strategy for April Futures - Action Station

Yesterday Nifty closed slightly in red at 7912 and Dow Jones in US closed deeply in red , down 113 points at 17982.

Global markets are not supportive. Asian markets are in red and SGX Nifty is down by 15 points, as of publishing this post. So Indian markets should open flat with a slight negative bias.

Worst case scenario for Nifty is that it can drift down to 7800. There Nifty should find support in today's trade.

However if Nifty opens with a Gap-up above 7950, then it will be a very positive signal. Nifty will keep moving higher in such scenario. Further, if Nifty closes above 8000 today, then we can safely assume that it is headed to 8300.

Call-to-Action

We have 8 open long positions of Apr Futures. In these scrips, take following actions in trade today :-
  1. RPOWER Apr Fut: Sell at 53/53.5 if it does not open with strong gap up. It was bought at 50 and initial target given was 54. But if it opens with a strong gap up, then hold this position for target beyond 54.
  2. IOB Apr Fut to be sold at 32/32.5 if it does not open with strong gap up. It was bought at 30 and initial target given was 36.
  3. IDBI Apr Fut to be sold at 74/74.5 if it does not open with strong gap up. It was bought at 71 and initial target given was 80.
  4. PNB Apr Fut to be sold at 90/91 if it does not open with strong gap up. It was bought at 87 and initial target given was 100.
  5. SBI Apr Fut to be sold at 199/200 if it does not open with strong gap up. It was bought at 195 and initial target given was 220.
  6. BANKINDIA Apr Fut to be sold at 99.5/100 if it does not open with strong gap up. It was bought at 98 and initial target given was 120.
  7. UNIONBANK Apr Fut to be sold at 136/137 if it does not open with strong gap up. It was bought at 134 and initial target given was 160.
Take a look at the current status of 8 buy positions of April Futures held with us :-

RPOWER :Bought 50,Close 52.25
IOB : Bought 30,Close 31.6
IDBI: Bought 71,Close 72.55
PNB: Bought 87,Close 88.7
SBI: Bought 195,Close 194.3
BANKINDIA: Bought 98,Close 97.4
UNIONBANK:Bought 134,Close 132.4
HEXAWARE: Bought 268,Close 253.6