InvestorQ : Can you give me some profit making trading tips for 06 August? Why did the Nifty correct so sharply on 05 Aug?
Rutuja Nigam made post

Can you give me some profit making trading tips for 06 August? Why did the Nifty correct so sharply on 05 Aug?

Answer
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diksha shah answered.
2 months ago


Nifty gave up close to 470 points from the peak and closed flat on 05 August as the index-heavy banks lost value on fears that the RBI may not cut rates due to high inflation. RBI will announce the MPC outcome on 06 August. Here is how to play the trades on Thursday.

· It is time to book profits on Tata Steel at Rs.397 and shift holdings to NMDC. Buy NMDC at Rs.85 for upside targets of Rs.110 on strong mineral demand from China.

· After the fabulous response to the promoter stake sale, FII interest should drive Bandhan higher. Buy Bandhan Bank at Rs.310 for targets of Rs.375 in 2 months.

· I think it is time to focus on a defence portfolio consisting of Bharat Dynamics at Rs.420 and HAL at Rs.948. Target 20% upsides in the stocks in the short run.

The street is still mixed on the likely outcome of the MPC meet. The street will be pleased with a 25-50 bps rate cut from the RBI.