Well do not buy anything in this market turmoil if you are fearsome like me and hate watching loss on immediate purchase. There is a high probability that market will go further down as the strong support level of 8000 got broken today.
I can tell you what I am going to buy tomorrow or so based purely on my personal opinion. My portfolio is hugely unbiased and ruthless but what I am doing is simple –
Buying undervalued stocks in dips but I am trying to optimize the daily PL in between seeing the technical and fundamentals.
The Shopping Cart
This is what I bought today in my Zerodha account.
You can see I have bagged tons of shares of PC Jeweller. If you read my other answers you can read, I am biased towards PC Jeweller abet. I am going to hold it till 480–490 zone.
I’m buying good amount of shares of many companies but why I chose to go with PC Jewellers today is very silly – Hammer.
I read this book How to Make Money Trading with Candlestick Charts Book Online in my early trading days; so I am influenced with candlestick factor the most.
Actually my main target was to create a delta hedged portfolio to battle this situation with its November 330 Call Options but lack of liquidity screwed me.
That was my trade psychology. Here is what I am about to do tomorrow.
Buying LIC Housing Finance
LIC Housing Finance will be least affected by demonetisation amongst the NBFC companies. It finances only salaried government employees.
Technically the lagging indicator Parabolic SAR emerged. I am snapping some shares tomorrow after studying it first trade hour.
Buying Zee Entertainment
Hugely undervalued and touched the Bollinger in weekly chart. It got sharply tanked around 30%. Considering it cut off its bleeding sports news business I think it will go up slowly at least to 535+ when it rebounds.
But I may buy very tiny amount tomorrow as I am not confirmed of its reversal. But I will get a huge chunk shortly.
It touched my buy zone. I will be snapping 100 shares minimum even if Earthquake destroy my house tomorrow! (read – already placed After Market Orders)
Buying Pharma Stocks
I think Pharma Stocks are defensive towards demonetization so I am bagging Aurobindo Pharma, Sun Pharma and Claris tomorrow. (certainly after watching the market for first hour)