Monthly Archives: July 2011

#44 Nifty Update

NIFTY had a teasing opening today.SGX NIFTY and all asian markets were positive so we were bullish on market but it happened the other way. Our markets open in red and remained red for all the day. Mine owning companies dragged NIFTY down because a bill is prepared which states that companies has to share the royalty with the people who are affected by the mining company. Quarter results are expected to be low due to higher input costs in month of april and may. Dark cloud cover has been seen on NIFTY daily chart and bearish engulfing pattern is seen in many frontline stocks like Reliane, ICICI Bank and AXIS BANK. Even a perfect Doji is witnessed on SBI chart. Therefore above mentioned all are signs of bearish trend in the market further. As I had been mentioning that 5748 is a crucial resistance , market has supported my point. So now my strategy is to sell NIFTY with targets of 5600/5576/5505/5450/5320/5200
NIFTY levels for 11th July:-
R-5685             S-5635
R-5700             S-5580
R-5750             S-5506
R-5804             S-5450

#42 Nifty Update

NIFTY ‘s move was a unexpected one but a superb recovery. NIFTY closed almost 100 points up at 5729 to break out all resistance level. Now, 5750 is the biggest hurdle for the market which is a Fibonacci retrenchment level of last one year. SBI is coming up with the FPO of rs.20000cr in near future. One more country in EU has been fighting debt crisis which is Portugal. If Portugal government is not able to rescue itself then it could be problem global economies which may effect emerging markets such as India and China. TATA steel has been performing well in the market and its awaiting for a approval of a mining license which if granted will be beneficial for the company on cost of raw material. Quarter results are about to announce of all the companies and it is expected that IT sector will perform well and it is already discounted in the market with all IT shares accelerating faster then index in last 2 weeks. Wipro is expected to grow at least pace with regard to QoQ numbers. Government is going to auction the
3rd Phase of Radio license very soon. Technically market opened at the low of today and it moved on with the support of MACD and RSI’s bullish crossover. When open and low of any script and index is same it is a bullish sign. Now watch out for 5748 level.
NIFTY levels for 8th July:-
R-5750             S-5680
R-5805             S-5650
R-5872             S-5600
R-5936             S-5547

#41 Nifty Update

NIFTY was as boring as a circus is for us now. NIFTY opened flat and made a high of 5651 and low around 5610 which was its range today for the market. Intraday players have no major play since last few session as market is consolidating in narrow range. But we have witnessed stock specific movements in the markets. Sugar sector is one of the outperforming sector in last week after the export limits were increased. BHEL was down yesterday on the news that government is going to disinvest its 5% stake from the company. China has increased rates by 25bps which might have effect on our markets tomorrow and we expect that we might see levels of 5570. Technical today a “grave stone doji” has been witnessed on NIFTY chart which suggest a bearish mood of investors. So I would suggest to sell NIFTY with a sl of 5700 tgt 5570/5506/5450.
NIFTY levels for 7th July:-
R-5657             S-5608
R-5700             S-5581
R-5731             S-5556
R-5750             S-5508

#40 Nifty Update

NIFTY today opened flat but then showed some profit booking in all scripts with market staying in red all the time. NIFTY closed at 5632 which was above a strong support of 5600. Market is yet not able to decide the its road ahead. Nothing fundamental in the domestic region to move market on the either side. Technically speaking today a hammer has been formed which might have significance of reversal in the market. Still my call is wait and watch for the either level to breakout at 5600 or 5750.
NIFTY levels for 6th July:-
R-5657             S-5612
R-5700             S-5600
R-5731             S-5556
R-5750             S-5508

#39 Nifty Update

NIFTY was just left by 3 points to confirm a down trend as did Indian Team was left by just 3 wickets to win the series over West Indies. NIFTY opened on a gap and made a high of 5679 and then filled the gap with a low of 5633. NIFTY close again marginally up at 5650. Market is in a very confusing range. On upper side market has a resistance of 5745 (Fibonacci level of last one year retrenchment) and support of 5600 which is a 100 and 200 DEMA levels.Todays close was at 9 week High.  Auto Sales figure were out and they were fairly good and are expected to increase in festive season. U.S. Markets are closed today on account of their Independence Day. Monsoons are expected be lower then Normal which is acting as a big concern for the economy as a whole. Steel sector report of last week says to be cautious about the segment but as i said earlier before few weeks TATA steel is still a good buy for your portfolio for long term. Technically speaking stochastic is in overbought condition on daily chart while MACD is
about to pierce central line giving a buy call, so my view is to wait until it breaches the either level at 5600 or 5745.
NIFTY levels for 5th July:-
R-5688             S-5600
R-5700             S-5576
R-5731             S-5556
R-5750             S-5508

#13 Stock Update: Weekly Picks 4th July to 8th July

STOCKS
CMP
TARGETS
STOP LOSS
REMARKS
Biocon
363.65
370/377/390
348
I recommend to Buy stock on dips and hold for 2-3 weeks. Close was seen over 200 DEMA and a channel was confirmed last week.
DLF
220.30
225/229/237
212
Tweezers bottom was seen on weekly chart with High volumes. Close was above all the moving averages with strong belt hold candle.
EDUCOMP
396.75
403/410/425
387
Tweezer bottoms of last 5 candle with 4 being Doji’s. RSI and MACD supporting bulls. On weekly chart and Doji is witnessed
ESCORTS
115.35
118/121/128
110
Buy the stock on dips and hold for 2 weeks. Long hammer on weekly chart confirmed by a long bull candle. MACD and RSI on daily on bulls side.
GAIL
450.75
456/462/470
440
Channel formation is witnessed so we recommend to buy on dips and hold for few weeks. Weekly close above all the moving avgs.
Hindalco
187
190/195

179
Bullish trend confirmed last week. RSI and MACD crossover on daily chart are still supporting bulls. On weekly chart a long legged hammer was confirmed by a bullish candle.
IDFC
135
139/142/152
128
A Doji was confirmed by a bullish candle with  MACD and RSI supporting it. I recommend to buy on Dips and hold for long term.

#38 Nifty Update

NIFTY opened at the level which was the target by rumors i.e, 5710 level which i mentioned in my reports last week. NIFTY was able to close above 5600 for second consecutive day which is a positive sign. Now Monday’s close will be a crucial point. If the market closes below 5600 then we could see a down side for next expiry. Reliance today was bumped by almost 5% creating a bearish engulfing pattern. We could now see reliance near to 840 levels again. Technically speaking, NIFTY has left behind 2 gaps which is expected to be fill as per TA rules. So I would suggest shorting NIFTY below 5600 with SL of 5700 with Targets of 5505/5450/5335 and Buy NIFTY above 5753 with T-5936

NIFTY levels for 4th July:-

R-5650             S-5600
R-5688             S-5576
R-5720             S-5556
R-5753             S-5508