F&O Talk: Go long in Nifty, Bank Nifty with buying on declines, says Shilpa Rout of Prabhudas Lilladher
Both the Sensex and Nifty gained for four consecutive sessions before closing Friday's trading session in the red. However, both indices managed to sustain their gains and closed the week positively.
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Offering CollegeCourseWebsiteIndian School of BusinessISB Chief Digital OfficerVisitIndian School of BusinessISB Chief Technology OfficerVisitIIM LucknowChief Executive Officer ProgrammeVisitAnalyst Shilpa Rout, AVP of Derivatives Research at Prabhudas Lilladher, discussed the outlook on Nifty and Bank Nifty with an index strategy for the upcoming week in an interaction with ETMarkets. Here are the edited excerpts from her chat:
In the past five trading sessions, Nifty has seen four consecutive green candles, closing above 24,000 and maintaining this level on Friday. Does this development pave the way for a move to the next significant level? If so, what level do you foresee?
From a market perspective, the trade is undoubtedly on the long side. However, it would be quite prudent to exercise some degree of caution now. Since the FIIs' net long is currently at an all-time high of 82%, they can begin to rise in the short. After all, mining and longs can occur. In that scenario, Nifty may potentially experience a 400–500 point drop. Additionally, Bank Nifty is also able to detect up to 1,000 significant points. I don't see how the sentiment has changed, then. It’s not as strong, but this is the place where you should start recording your profits and take your time
Read on economictimes.indiatimes.com
