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ITC Ltd.

Discussion in 'Technical Analysis' started by anantgkulkarni, Jun 21, 2013.

  1. anantgkulkarni

    anantgkulkarni New Member

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    Hi Shabbir,

    What's your view @ ITC Ltd, can we short it for target of 309 / 285 with SL of 328.

    Thanks,

    Anant.
     

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    anantgkulkarni, Jun 21, 2013
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  2. shabbir

    shabbir Administrator Staff Member

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    Yes but I would prefer shorting in spikes and also make sure you see that long term trend was up and so you are trading against the trend and so make sure your stop loss is very strict
     
    shabbir, Jun 21, 2013
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  3. krasquinha

    krasquinha Member

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    The stock is already in oversold zone, wait for the pull back and then short .
     
    krasquinha, Jun 22, 2013
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  4. verenmitter2001

    verenmitter2001 Member

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    Hi
    Kiran how did you know its in oversold zone? By looking RSI in daily charts?

    Regards
    veren
     
    verenmitter2001, Jun 27, 2013
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  5. krasquinha

    krasquinha Member

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    Hi Veren,

    yes , RSI in oversoled zone and this stock was in strong uptrend , chances are that it may pull back to RSI 50 then we can decide the trend.

    Regards,
    Kiran
     
    krasquinha, Jun 27, 2013
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  6. verenmitter2001

    verenmitter2001 Member

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    Thanks kiran.
    i would be grateful if you can tell what parameter do you put in RSI to read.
    1. Whats is the period? dily or weekly?
    2. Whats is RSI50 ?
    3. Any specific reading or setting to set for RSI? as i have never able to use this.

    Thanks and Regards
    Veren
     
    verenmitter2001, Jun 27, 2013
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  7. saptarshi_sachin

    saptarshi_sachin Responder

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    view on ITC

    Hi friends,

    In my opinion, never try to short ITC when it has upcoming results/agm/dividend declaration. In most of the cases, it will backfire. If done, u should always maintain very strict stop loss.
    Once result declaration is over or it reaches ex-dividend date,etc it becoming weak and generally tends to break down 5-10%. Then it becomes a perfect candidate for shorting. Before results/agm/dividend declaration, it always creates expectation and stock rises without any strong logic. I have seen in the past and also recently it happened quite a no. of times.

    Please reply if u differ in my opinion.
     
    saptarshi_sachin, Jul 20, 2013
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  8. chequesuraj

    chequesuraj Member

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    Hello Friends,

    I have entered into ITC 360 PE...with stoploss of 380 for target of 340...its short term call as events like results/agm/dividend declaration are already over...

    If on Monday 29th July...it opens below previous day close i.e. 368 then this shorting call will be materialized well...

    Pls put your view on this...

    Regards,
    Suraj
     
    chequesuraj, Jul 28, 2013
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  9. saptarshi_sachin

    saptarshi_sachin Responder

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    Hi Suraj,

    Yes, its a fair call. I'm also short in ITC now.
    As you said, previous day close was 368. I think fair target would be somewhere 350/355. You're holding a 360 PE, so once it goes below that, it'll be 'in the money' and you will get good rise in the PE premium.
     
    saptarshi_sachin, Jul 29, 2013
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