May 2020 - The uncertainty ahead
Mis à jour
Still no plans for reopening the economy. Lock down for the most of the states extended till May 15-31. People still uncertain on the impact of lockdown on the GDP. The big corporates across the Globe have deferred the revenue guidance for the Q2, 2020.
The Nifty and Bank nifty though given a break out, would recommend to stay away with the same. Falling ATR is concern again. Significant profit booking in the month of January 2020, Feb 2020 and March 2020 fall. I would see this as Profit booking by big institution. In the month of March 2020, there was no bad news and people were expecting COVAID recovery in 15-20 days. But with the bad news coming in (lock downs, rising cases of COVAID, rising cases of deaths, layoffs etc. ) the , market recovers 40% of the fall since January 2020.
This seems to be more for a bull trap. Would recommend to follow value not price. Come May first week and I am expecting the huge profit booking again. Would suggest to be be cautious in the month of May and specifically in the first fortnight. Avoid carry forward of any position that has not been hedged.
The Nifty and Bank nifty though given a break out, would recommend to stay away with the same. Falling ATR is concern again. Significant profit booking in the month of January 2020, Feb 2020 and March 2020 fall. I would see this as Profit booking by big institution. In the month of March 2020, there was no bad news and people were expecting COVAID recovery in 15-20 days. But with the bad news coming in (lock downs, rising cases of COVAID, rising cases of deaths, layoffs etc. ) the , market recovers 40% of the fall since January 2020.
This seems to be more for a bull trap. Would recommend to follow value not price. Come May first week and I am expecting the huge profit booking again. Would suggest to be be cautious in the month of May and specifically in the first fortnight. Avoid carry forward of any position that has not been hedged.
Commentaire
Watch out for 19800 -20200 level....
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