Benchmark indices are currently trading in a narrow range amid volatile session with Sensex and Nifty swinging between negative and positive zone.
Market remain cautious as traders will roll over positions in the futures & options (F&O) segment from the near month to November series. The near month October derivatives contract will expire today.
The data for two important indicators -- fiscal deficit and core sector -- for the month of September are likely to be released today.
At 10:20 AM the Sensex was down 4 points at 21,030 and the Nifty was down 6 points at 6,246.
Mohit Gaba, Independent technical analyst & trader tells Manu Kaushik what to trade ahead of Diwali and he picked three stocks could outperform from mid-caps.
SmartInvestor : It was a weak start and then choppiness set in. It is the derivative expiry day. What are the key levels to watch out. Also, where is the market headed after yesterday's rally?
Mohit Gaba : So far the bias is still bullish, as long as we trade above 6200 one should hold onto long positions.
SmartInvestor : What are the counters one should long at current levels?
Mohit Gaba : look at stocks that are at all time highs with a trailing stop loss, stocks like PVR, Havells, Sunpharma, Mindtree
SmartInvestor : Suzlon, Unitech, IFCI, JP Associates are witnessing heavy volumes today. How should one trade these counters?
Mohit Gaba : These stocks are low quality stocks who have a lot of debt on their books, I would not recommend buying in any of them
SmartInvestor : DLF has fallen on disappointing Q2 earnings. How is it placed on the technical parameters?
Mohit Gaba : DLF is kind of base building between 120 - 160 but again it is one of those stocks that has excessive debt on its book hence stay away
SmartInvestor : What are your top picks for Diwali?
