Street Signs: 'Buy the dip' strategy, health care stocks gain, and more

Will ‘buy the dip’ persist? Wait and see
 

The Nifty on Friday dropped nearly 2 per cent since bottoming out in June. The index dropped 347 points to finish at 17,531. In recent weeks, traders have used any weakness in stocks as a buying opportunity. With foreign flows turning negative and global markets on tenterhooks, it remains to be seen if investors will continue to ‘buy the dip’. “The 14-day relative strength index has developed a lower top, suggesting that momentum is slowing down. The high degree of immediate support is set at about 17,000 levels. Before making strong long