NEWSLETTER

(Lee)

After the close - So as expected the 2560 gave support which is why I said below, intraday guys can take profits...So this sets up a creek, break below 2560 will mean a quick decline to 2500 where we might bounce a bit again...Next 2 days US market action is key here but I expect we break it sooner than later unless something really unexpected happens on the news front..
Cheers...Have a good couple of days off front the market!
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12:10PM Update - Sometimes TA (and my calls :P) even amazes me :) Again I called this in realtime below...You guys owe me big time...j.k :)..If you are a day trader, take some profits now...I am planning to hold these shorts through the holidays..Good Night to All!...


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11:40AM Update - And THERE you have it....Breakdown baby...Breakdown :)
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11:00AM Update - A look at the charts...Added bit more to shorts...


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10:15AM Update - Entering first small tranche of shorts at around 2583..Just 30% for now...Watching for now...If we get a good bounce to 2660, I will add to these so that I get at 60% short...Probably wont do more than that today as its risky.

Risk averse folks - Dont follow me on these shorts..As I said before, the 2 holidays are a problem here...More later.
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Before the market Open - Most of my thoughts are on the charts.

Trade plan is to start shorting asap. Looks like we have a lower open in store today even though I am not sure why exactly...So looks like I might have to chase short entries today...But whatever...I will try to get short in small amounts today. Remember the next 2 days are holidays..So dont over commit to anything.

Also remember - We are building/or very close to building a very important bottom...Timewise as I have been saying, March end - April mid we shall get an important low.

(Rajandran)

CMP : Rs 1219

Infy
forms a Dragonfly Doji in weekly charts with 5 EMA resistance near 1226
and 13 EMA resistance near 1234. Also Chart shows the bearish 5/13 EMA
bearish crossover 3 weeks back. Now High Probability of Breakdown in

(Rajandran)

Weekly charts of Aban shows a slide from 4500 levels to 231 levels. But Last week Aban Shows a High Volume activity last week on friday. Currently Weekly RSI 2(3.85) is Heavily near Oversold levels. Technically aban is heavily oversold and a

valuable pick now with strict stop loss near 200 region

Also Weekly charts shows a very huge gap difference between 5 EMA and 13 EMA if converge towards 5 EMA then ABAN would target 348(approx) in short term. If converges towards 13 EMA then ABAN would possibly target 543(approx).

Daily RSI2- 0.023 Heavily Heavily Oversold

5 EMA - 270

13 EMA - 321

Maintain Strict Stoploss.

(Ilango)

Nifty gapped down at the Pivot(2596) and traded towards the S1(2564) and broke it briefly and stayed down leaving it to the world mkts to resolve the direction with 2 days holidays ahead. Those holding shorts are in the direction of the trend and will get lower levels even if there is a rally for few days.
Over Sold Nifty with +ve divergences in the hourly charts may give some bounces/rallies. Trade with the Pivot(2576) & S1(2553) & S2(2596) for Thursday.








(B.N.RAO -THE STOCKS DOCTOR)

The extreme side of the market direction from a high of 6357 is the depth of fall one is expecting to stop and at an early date. The effort is to understand and analyse the swings......

The critical analysis shows that the markets are in tail spin fall to a dismal low of 2253.75 on 27-10-2008 from a high of 6357 on 08-01-2009.

The All-time High: 6357 and the All-time Low: 2253

The high to fall 6357 to 4448.50 low registered on 22-01-08 in 10 trading sessions with a fall of 1890 points is the begining........

HIGH : DATE LOW: DATE
6357.00 08-01-08 4448.50 22-01-08
5391.60 29-01-08 5071.15 31-01-08
5545.20 04-02-08 4803.60 11-02-08
5368.45 19-02-08 4620.50 10-03-08
5019.20 12-03-08 4468.55 18-06-08
4970.80 28-03-08 4628.75 16-04-08
5298.95 02-05-08 4913.80 12-05-08
5167.40 16-05-07 4536.25 05-06-08
4626.45 09-06-08 4369.80 10-05-06
4679.75 18-06-08 4093.20 25-06-08
4324.75 26-06-08 3848.25 02-07-08
4114.50 07-07-08 3896.05 08-07-08
4215.50 11-07-08 3790.20 16-07-08
4539.45 24-07-08 4159.15 29-07-08
4615.90 06-08-08 4464.00 08-08-08
4649.45 12-08-09 4248.00 22-08-08
4398.80 25-08-08 4201.85 28-11-08
4522.40 02-09-08 4328.90 05-09-08
4558.00 08-09-08 3919.35 16-09-08
4303.25 22-09-08 3715.05 30-09-08
4000.50 01-10-08 3198.95 10-10-08
3648.25 14-10-08 3046.60 17-10-08
3254.85 21-10-08 2252.75 27-10-08
3240.55 05-11-08 2502.90 20-11-09
2832.85 01-12-08 2570.70 02-12-08
3110.45 22-12-08 2701.75 15-01-09
2868.20 19-01-09 2661.75 23-01-09
2969.75 13-02-09 2539.45 06-03-09

(SVShah)

NIFTY

Resistance : 2665 / 2700 / 2735 / 2780 / 2865

Support : 2580 / 2545 / 2515 / 2480 / 2450 / 2415

NIFTY might stay in Range of 2450-2735, Because of (3 Working Days)Truncated Week.We are Expecting Some Bounce Back



WEEKLY MARKET OUTLOOK

NIFTY FUTURE

Trend : Volatile

Total OI of NIFTY FUT up 9.20%, NIFTY FUT down 4.64% last week. OI of NIFTY 2600 CE is up 465.34%

prices down 56.99%, NIFTY 2700 CE is up 132.04% prices down 70.52% last week showing aggressive

call writing. OI of NIFTY 2200 PE is up 20.75% prices down 35.41% last week showing put writing.

NIFTY 2400 PE is up 45.91% prices down 17.12% showing profit booking plus put writing. OI of

NIFTY 2500 PE is up 71.98% prices flat last week showing put buying. We expect NIFTY SPOT

will trade rangebound with volatility next week. NIFTY SPOT will face resistance at 2680-90 levels.

Strong resistance at 2730-40 levels. On downside, NIFTY SPOT support at 2560-70, 2520-30 levels.

Strong support at 2450-60 levels.

SECTOR WATCH

CEMENT

Trend : Bullish

Total OI of ACC FUT up 44.08% prices up 1.45%, AMBUJACEM FUT up 30.36% prices up 6.42%,

GRASIM FUT up 32.13% prices up 1.87% and INDIACEM FUT up 4.76% prices up 2.25% last week.

We expect cement sector to outperform next week. ACC FUT, GRASIM FUT looks strong.

Banking Stocks: Among the banking stocks we sell more selling pressure specially in SBI we are short from rally. Now High volume members can Sell SBI on Rally or Cmp,Target possible 880/850/& Higher Targets in coming week

Power Stocks: Among the power stocks in NTPC some correction is pending as per 52week low is 113 in this stock now support level of 171 below this level we can Sell Next Support Around 165/155 by making strict Stoploss of 185 as per weekly trend.

(Tryin2Trade)

(Niftytrends)

In last post we have suggested that big move is coming . Bears still have upper hand now and their position is safe till 2702-2710 is not broken and closed above that.

CHARTS ABOVE SHOWS NIFTY IN DOWNWARDS CHANNEL AND SHORT WEEK WILL ALSO PLAY CRUCIAL ROLE NOW .No one wants to take huge position home as dow trading below crucial level any big movement in Dow can make gaps in our charts .

Bulls have last hope as show in last chart area of 2490-2520 . This will be bouncy for them and any break for that area will be invite trouble for them as next support below that lies in area 2252-2350

Infy if these two levels

are not crossed on weekly basis.