Mr. Shiv Kumar Sehgal from LRO Investment Advisor Ltd:on December 31, 2023?
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Ongoing, First published Jan 03
The market may stay neutral to slightly negative as the FII might not return to the market on the first day of the New Year. A decline below 21,650 may serve as the first indication of a protracted unwind. Accordingly, it's wise to start booking gains or taking on some short positions in the market below 21,650, according to Mr. Shiv Kumar Sehgal of LRO Investment Advisor Ltd.
  However, I can provide general advice and strategies often recommended by financial analysts for trading on the first day of a new year:
  1. Review Market Conditions: - Before the market opens, review the economic indicators, news, and events that occurred while the market was closed. This could include changes in interest rates, geopolitical events, or company-specific news.
  2. Set Clear Trading Goals: - Understand what you want to achieve with your trading on the first day. Are you looking to capitalize on short-term volatility or are you positioning for long-term gains?
  3. Risk Management: - Determine your risk tolerance for the day and set stop-loss orders accordingly. It's crucial to protect your capital from unexpected market moves, especially since the first trading day can be unpredictable.
  4. Watch for Unusual Activity: - The first day of trading can often see increased volatility due to pent-up demand orders. Keep an eye on any unusual price movements that may provide trading opportunities.
  5. Tread Carefully with Position Sizing: - It may be wise to start with smaller position sizes until a clearer market trend is established. This can help mitigate risk in the face of uncertainty.
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