oppn parties Stocks on Boil: Tread Cautiously

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  • RSS chief Mohan Bhagwat calls for one temple, one well and one crematorium to do away with deep divisions in the hindu society
  • Staff unrest plagues craft beer manufacturer Bira as current and formaer employess allege delays in salary and other payments
  • Intel appoints India-origin Sachin Katti as CTO & AI chief
  • Sebi says there is no manufacturing activity reported from Gensol's EV plant in Pune
  • Shooting WC: Former world champion drops to last in 10m air rifle individual event as his rifle malfunctions
  • Shooting World Cup: Arjun Babuta misses gold by 0.1 pont, settles for silver in 10m air rifle while Radrankksh Patil and Arya Borse win silver in 10m air rifle mixed event
  • IPL: MI beat CSK as Rohit Sharma (76 no) and Suryakumar Yadav (68 no) make short work of PKBS bolwers. CSK, with 2 points from 8 matches, have reached a point of no return in this years' competition
  • IPL: RCB beat PKBS by 7 wickets as Virat Kohli (73 no) and D Padikkal (61) sizzle
  • After Bangladesh commented on the riots in bengal over the Waqf bill, the Indian government has asked it protect the minorities in its own country and stop commenting on India's internal affairs
  • PM Modi discussed collaboration in technical and innovation fields with Tesdla owner Elon Musk, who is visiting India before the imminent entry of his firm Starlink in the country
  • Murshidabad returning to normal after clashes over the Waqf bill, internet restored, curfew lifted
  • The murder of a 17-year-old boy sparked protests in Delhi's north-east area Seelampur
  • Allahabad HC stayed the demolition of a mosque in UP's Fatehpur after the district authorities order for razing it was challenged by the Masjid Waqf committee
  • Hyderabad Police pick up an alleged fraud accused from a hotel in Kolkata but Kolkata Police not kept in the loop. Relatives of the man file a missing complaint and FIR
  • An ICU technician was held in Gurugram's Medanta Hospital for sexually assaulting a patient
RSS chief Mohan Bhagawat calls for 'one temple, one well',as well as one crematorium, to end caste differences
oppn parties
Stocks on Boil: Tread Cautiously

By Ashwini Agarwal
First publised on 2017-07-11 07:18:06

The stock exchanges finally seem to have shaken off the indecisive phase to enter the grip of the bulls. Or have they? If appearances were ever deceptive, the record levels of Nifty and Sensex now are very much so. For, despite the Nifty closing at 9771 points and the Sensex at 31715, the volumes were thin across the board. This effectively means that just a few traders – and trades - are jacking up the prices. It obviously does not mean that the bourses are being rigged, for all the other sector-wise indices were also on fire and selling pressure was not witnessed at higher levels. If bears wanted control, they could have sold at higher levels. That would have made for healthier volumes. But that was not the case.

Some analysts are predicting a swift and sure march towards 10000 while others are skeptical, mainly due to lack of volumes in trading. But take a look at the smaller indices on Monday. Despite trading on the NSE remaining suspended for close to three hours, all indices except the BSE FMCG, showed healthy gains. Nifty bank and Nifty IT were the largest gainers while the market romance with midcaps seems to have tapered off with the said index gaining only 99 points in a fired up market. Previously, midcaps used to outperform the wider market by healthy margins.

In such a scenario, traders are advised to adopt a wait and watch policy. They should book profits in stocks that are ruling at levels that make for unrealistically high prices while hold for stocks that have seen higher prices than ruling at present. In any case, if the Nifty slips below 9700 again, there will be panic selling by those buying at current levels. It is a tricky market and moving with the herd can land people in a lot of trouble.