Can you give some good trading ideas for 17 June trading? I am open to long side and to short side trades?
Answer
Answer
Nifty on Tuesday started strong but gave up most of its gains after clashes on the Indo-China border. However, markets did manage to rub it off. Global cues have been positive in late Tuesday across the US and Europe but China will be an overhang on markets.
· I reiterate the sell call on Bajaj Finance at Rs.2370 levels for lower targets of Rs.2200 on the stock in short term. EMI moratorium will make Bajaj Finance vulnerable.
· Buy ITC after its Bayer deal at Rs.184 for targets of Rs.205 in one month time frame. The taxation of cigarette business remains a risk for ITC.
· Buy JSW Steel at Rs.189 for targets of Rs.220 in one quarter. Government insisting oil and gas companies use locally produced steel will create demand for 50 million tons.
The one big geopolitical risk remains what happens on the India-China border and any worsening of situation could have a big impact on the market situation.