24 January 2020: View on stocks and bullion

Global Stock Indices

In the previous session, S&P500 made low of 3301 and bounced back to 3331 in today’s Asian hours. Around 3330-3340, it is advised to buy put options in S&P 500. Saturn moved to Capricorn today. There can be a sudden news-driven decline. With S/L of 3350 (on closing basis), remain short.

On 3^rd February 2020, Venus will enter Pisces. Market may turn bullish.

In next week, a considerable uncertainty is due.

Chinese markets are closing for one week from today.

Precious Metals

In the previous session, Gold made a low of 1551 followed by high of 1566.75. We asked you to book profit – 50% around 1565. In MCX, we’ve booked profit in GOLD @ 40185 (INR).

Today, you can buy Gold around 1555-1545. In the first half of next week, geopolitical tension may lead to rise in price of bullion. This upward trend can take Gold to 1580-1600 and Silver to 18.50. Sudden fall from the top is possible. It may remain downward till 3^rd February 2020 wherein it may retest 1540-1530.

Wait for first week of February to make long position at lower level. Silver will also start to trade positive from the first week –February.

Indian Stock Market

Indian market traded as per our prediction in the previous session. A bounce was observed from lower levels. We went long in Nifty @ 12120 & Bank Nifty @ 30800; booked profit around 12210 (Nifty) and 31100 (Bank Nifty). It was advised to make 50% short position there itself.

Today, downward opening is possible; which shall be followed by recovery. In the first half (till 12.30 HRS IST), uptrend is indicated. From 12.30 HRS to closing, volatile to weak trend is possible.

You can short Nifty and Bank Nifty for next week.

A correction is possible before Indian government announces budget. In this phase of correction, Nifty may drop down to 12050 while Bank Nifty may drop down to 30500-30200.

After the budget, we are bullish in the stock market.

IMPORTANT INFORMATION: We went short in Nifty originally at 12350 and then covered it around 12130 wherein we also went long. Around 32000, we went short in Bank Nifty (Future) and covered it around 30800; there we advised long position and booked profit at 31150. Also made 50% short around 31150.