Watch markets carefully

Blog meant for 9 Nov 2016 Wednesday

Dear friends,

Nifty closed 46 points higher on the eve of the US Elections. Global cues are marginally positive with no major momentum.

PM Narendra Modi tonight made a huge and important announcement regarding scrapping of the current Rs.500 & Rs.1000 notes. This has been done to curb black money and in its use and also to fight fake notes.

This could be positive for the Stock Markets since foreign investors may get more confidence of investing in a country which is trying to fight corruption on a large scale.

For more details, I suggest you read Economic Times online or physical newspaper tomorrow as well as make yourself aware of what you will need to do.

Nifty is still in Don’t Buy zone. As per 30 days moving average graph, the following are the indications for short term –

Hold  –  M&M 

Wait to Buy – HDFC Bank

Don’t Buy – Axis Bank, Titan, Infosys, TCS, L&T

Sell – Maruti

Buy – HDFC (Can be ignored for now until Nifty comes to Buy indication)

All the best!

Dr.Bharath Chandra