Stockology: What do stars indicate for markets in holiday-shortened week?

Anticipating wealth decline attributed to external factors, we project recovery for private banks and specific blue-chip stocks in the paint and technology sectors

Stockology is a weekly column by futurologist Mahesh Gowande. He is the founder and director of Ayan Analytics which has developed ZodiacAnalyst. It is a research software, with time and price charting tools, and it is exclusively used along with technical support.

We were clear that markets would correct, and stock price movement would confuse the traders and the investors. Volatility is going up. The surprise came from the railway stocks. There was madness chasing the railway sector stocks and PSUs, where we expected a pause and minor correction. Well, it is part and parcel of the analyst's expectations.

Except for the sector surprise, the weekly price movement in the index and stocks aligned with expectations.

Technical: Short-term signal is sell on the rise around 21,710-21,840, a simple technique second confirmation of a sell signal on the hourly chart in case gets triggered, then aggressive selling is recommended. Technically, 20,630 is confirmed on the charts.

Also Read: Primary Market Action | 7 IPOs to hit Dalal Street, 2 listings scheduled this week

The zone's weekly gap level of 20,450 (not specific) will be filled very soon, before March 31, 2024. The rest of the views remain the same from a technical perspective.

Time Map: Last week, we highlighted the significance of the 18th to the 22nd as crucial days influenced by planetary aspects. We preferred to await the events before providing further insights in the upcoming week. Anticipating wealth decline attributed to external factors, we project recovery for private banks and specific blue-chip stocks in the paint and technology sectors. Certain stocks are poised for an extended
corrective phase, while others indicate a new upward trend.

Expect heightened volatility in the next 40 days. The most enticing aspect is the potential to generate substantial wealth with minimal risk.

January 23, 2024: Tuesday: S.13: Aardra: Rise & Fall
Ideally, an up opening is expected. We are expecting, after the initial excitement, significant selling could trigger from the FII and domestic institutional desk.

Steep fall cannot be ruled out any time after 13.30. STBT (sell today, buy tomorrow) recommended.

Also Read: Sony starts legal war, claims $90 mn as termination fees for failed merger with Zee

January 24, 2024: Wednesday: S.14: Punervasu: Good Day
Gap down and quick recovery could be the best possibility. Oversold reversal indicators can give the best results and turnaround stocks using short-term hourly signals. The buy-and-sell strategy will give the best results. BTST is recommended.

January 25, 2024: Thursday: Pournima: Pushya: Bullish
A gap-up positive opening is expected. Rising accumulation in many stocks will be seen, which would give a nice exit to trapped investors of Tuesday 2nd half and Wednesday morning.

Natural resources and select pharma would be in big demand, deep pocket investors would be very active.