3rd Feb 09

What a reversal in the markets on Monday ... all gains made in last 3-4 days got wiped in one single day as Nifty slided more than 100 points in a day and closed at 2735.

Nifty opened at around 2832 (my magic number) and quickly slid below it in the first 5 mins, it was a perfect place to short with SL 5 points above my magic figure of 2832. I had not predicted Nifty to go below 2796 yesterday however once it went below 2796 (my magic number) I knew the next support is around 2720-30 range only. I shared these words in SB in the morning and they finally came true as Nifty made a final intraday low of 2728. I had personally shorted at 2825 in the morning and covered up near 2800 .. and again shorted at 2790 covered up at 2730.

The NF swing shorts initiated at 2850 are doing fantastically well as well... however I am still vary we will see 2800/2900 range once more hence i booked 50% of my swing shorts and holding rest hedged with 2900 calls. My target on the downside is 2630 where I will initiate swing longs SL 2610.

I am jubiliant with my ICICI swing shorts as well initiated at 420 levels as it closed at 384 yesterday. My target here again is around 360. TSL now is 406.

Educomp has been a disappointment since there has been a huge discount, I am planning to drop it from my blog going forward. Please suggest any stocks that you want me to track and I am more than happy to help.

Intraday magic levels for 3rd Feb 09
NF = 2662, 2701, 2772, 2805,2870

Swing Levels
As yesterday, hold ICICI and NF shorts.

Cheers
SH