A relief rally ?

Why should a rally be called a ‘relief’ rally ? After all, when prices move up, the buyers should make money. With better global cues, the Indian markets may be expected to move higher. there is strong resistance in the 2800 to 2850 zone which should act as a profit taking level for intra day longs, as well as an aggressive short area. Always keep stop losses.

Punj Lloyd has been falling day after day. But, for the past three days it has been making narrower ranges. Yesterday, the stock saw a DOJI. Now, the DOJI may simply be a sign that the decline is giving way to a consolidation. It could also lead to a decent swing move. The stock was trading at 85. WIth a tight 2 point stop, there is a day trade, as well as a swing trade (carry forward) which could see the stock move near 90. Of course, a sudden market collapse may see it go down again. But calculated risk is trading.

Have Fun!