Market forecast for 8/12/2014
Nifty future on Friday closed at 8572 with loss on late profit booking. In intraday nifty future made high at 8622 while low was at 8567. Total 50 points intraday volatility and closed with loss on profit booking. 1.22% open interest suggest some short addition. For Monday, above 8490 keep buy on dips view with stop loss 8450 for target 8600 to 8680. Option traders now shift focus on 8400 call option and follow buy on decline strategy with same stop loss.
Banknifty future on Friday closed at 18805 with loss. In intraday banknifty, future hit high at 18929 while low was at 18790. Total 140 points intraday range and closed with loss. 1.19% open interest addition seen on short side. Here risky traders can buy near 18600 with stop loss. Option traders can buy 18600 call options on decline with strict stop loss in place.
For Monday, my intraday stock pick will be HDFC Bank Limited. On Friday, hdfc bank closed at 942 with gain. For Monday trader can buy this stock near 935 with stop loss 925 for target 955.