Two Stocks to Buy in the Great Indian Festival

Oct 11, 2019

Apurva Sheth, Editor,Profit Hunter Pro

The first round of the festive season sale ended last week. Flipkart and Amazon had their festive days sale between 29 September to 4 October.

Economic Times reported sales of approximately US$ 3 billion or Rs 190 billion during this six-day period.

What makes these festive days sale popular?


Indians are price sensitive. You need heavy discounts to attract them. Heavy discounting has worked in favour of e-tailers as they have achieved a record sale this festive season.

But what works for e-tailers doesn't always work in the Indian stock markets.

What is the normal reaction of investors when stocks start trading at a discount?

They run away instead of chasing them.

But I don't let that happen to my Profit Hunter Pro readers.

I have come across two stocks which are available at 50% discount. More on that in a bit...

But first let's check what just happened to the Nifty.

It has given up more than half of its gains after Finance Minister Nirmala Sitharaman announced the corporate tax cuts to boost the economy on 20 September.

This down move has taken many people by surprise. They expected markets to continue moving higher after the 1,000-point rally following the tax cut.

--- Advertisement ---
[NOW OUT] Equitymaster's Top Stock Pick for 2021

If there's one thing you need to do today, it's this...

Read all about Richa Agarwal's No. 1 stock pick here...

All we can share in this message is that it's a little-known stock with massive potential in the near future... already working with trusted FMCG GIANTS.

Just continue reading all about it here...

But I was among the few people who thought otherwise and warned my readers and viewers to remain cautious.

I warned: Don't let this euphoria get in to your head.

And I said this not once or twice but three times. You can read my views here and here (subscription needed).

And that's not all.

I even recorded a YouTube video where I explain everything in detail.

Here it is...

Last Friday, I told my readers the Nifty has entered the demand zone after giving up 50% of the 1,000-point rally.

Here's the 75-minute chart of Nifty I showed my readers along with my views...

A 75-minute Chart of the Nifty


  • I have been showing you this chart of Nifty along with the supply and demand zones for a while now. The level of 10,700-10,800 acted as demand zone since August till 20 September.

    As soon as the FM announced tax cuts the index zoomed off like a rocket and crossed the supply zone of 11,100-11,200. This level is now acting as a demand zone. I have marked it in green band in the above chart.

    I expected the range of 11,600-11,700 to act as a supply zone after the markets shot on 20 September. This was the only reason I told you to stay cautious after the 1,000-point rally.

    Now the index has given up 50% of its recent gains. We have seen earlier that markets tend to retrace 50% of their move. This is normal. So one shouldn't get scared. Instead one should be on the lookout for opportunities.

The markets bounced back from the levels of 11,100 this week.

I found two trading opportunities in fundamentally strong stocks.

--- Advertisement ---
For Those Looking to Buy Stocks

If you're looking to buy stocks now, then we've uncovered 3 great stocks for you.

Our research says, these stocks have the potential to create a wave of Indian millionaires.

Get the Details Now

One of them is from the auto sector.

I have written to you that the worst could be over in the auto sector. It has entered the greed phase and will remain there until 2021. This means one should look out for trading opportunities in this space.

You can watch my YouTube video to know more about the greed and fear cycles in Auto sector.

The other stock is a proven multi-bagger.

It moved up sharply after the tax cuts were announced. However, it has given up 50% of these gains. This gives us a good entry point.

Now these two stocks are trading close to their recommended price. However, they may not remain there forever.

As you know, stocks have been moving violently these days and it may take just a few sessions for me to close these trades at a profit.

You can read about these recommendations by signing up for Profit Hunter Pro here.

Warm regards,

Apurva Sheth
Apurva Sheth
Editor and Research Analyst, Profit Hunter Pro

PS: Dear reader, to pick profitable trades by navigating this volatile market, you need a proven trading strategy. This is exactly what I have developed for you. Read more about my trading strategy here.

Recent Articles

I Believe These Stocks Will Deliver the Most Outsized Returns in 2021 and Beyond September 23, 2020
Rules of the racetrack can help you bag the biggest gainers of the coming decade.
My Top Stock to Buy in this Market Selloff September 22, 2020
The recent correction offers a great opportunity to buy this high conviction smallcap stock.
Sensex Can Go to 25,000 Before it Goes to 60,000. Are You Prepared? September 21, 2020
Am I expecting a big crack in the Sensex and what next?
Wait! Don't Chase Smallcaps Now September 18, 2020
Let the markets take a breather before you jump in.

Equitymaster requests your view! Post a comment on "Two Stocks to Buy in the Great Indian Festival". Click here!