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Stock indices were largely flat in volatile trading last Friday, with weakness in information technology stocks, hit by concerns about US tariffs, offsetting gains in the auto sector, which was boosted by optimism about the Goods and Services Tax cut. Last week, the indices rose 1%, rebounding from losses the previous week. The National Stock Exchange's Nifty index rose 6.7 points to 24,741. The Bombay Stock Exchange's Sensex fell 7.25 points to 80,710.76.

Elsewhere in Asia, stocks rose ahead of the release of the crucial August US jobs report on Friday evening. Mainland China rose 1.24%, Hong Kong gained 1.5%, Taiwan rose 1.3%, Japan gained 1.03%, and South Korea edged up 0.1%. The jobs report, released after the Mumbai trading session, showed rising unemployment, fueling expectations of further interest rate cuts from the Federal Reserve. A US interest rate cut could weaken the US dollar and drive more capital inflows into other global markets.

Therefore, supported by signs of global economic activity and expectations of US rate cuts, the Indian market is expected to recover this week, which is expected to boost global risk assets.

Regarding trading strategies, the Nifty index is finding support at the bottom of the gap, so hold positions and wait for a rebound to around 25,000 points. Profitable stocks should still be sold at high levels to lock in profits and avoid losses. If the Nifty index declines today and the market shows signs of stabilizing at the support level of 24,500-24,400 points, use this support level as an entry point to buy new high-quality stocks and wait for a rebound to realize short-term gains. We announced two portfolio stocks for you over the weekend, so stay tuned!

Stock Tips short term:

DRREDDY
Purchase price: ?1260--?1270
Expected selling price: ?1380--?1450
Expected return: 10%--20%
Holding period: 5-10 days

SHAILY
Purchase price: ?2180--?2200
Expected selling price: ?2380--?2580
Expected return: 10%--20%
Holding period: 5-12 days