NEWSLETTER

(NOORESH)

Sensex Technical View :

Sensex has given the first indication of weakness with a dip today and a quick dip might be an indication of possible weakness to come but in this market its better not to make a quick conclusion after a day or two.

Major trend change level is below 14750 on closing basis. 2-4 sessions closing below 15450 would give indication of momentum being reduced.

Continue to be stock specifc and above all dont be leveraged or on margin. With many trading stops being triggered today the amount of cash in portfolio should increase and if not then look to reduce exposures by booking profits or small losses in new trades.

Stocks to watchout for :

Maha Seamless almost did 285 tgt with high of 284.Sterlite stopped out. Reliance did 2120 then stopped. Shriram gave intra day move to 355. Voltas stopped out. Glenmark and Ganesh hold but do your own research as investment picks.

Have reduced lot of exposure in short term trades due to trailing stop hits for advisory clients.

No new stocks for short term as i would prefer to wait and watch the next few sessions.

MY CHART

Nifty :: And Finally as we say in last post Nifty correct sharply from supply zone near 4700 and made an Engulfing bear long black candle. Volume increase in sharp correction after break down of 4652.. As per our last Elliott wave count post Nifty treading in Y of C leg as far as stay above 4420 for 7th Aug.. Inverted Head and Shoulder bullish pattern still valid up to 4150.. On 7th August watch first strong support 4538 below it next strong support 4420.. And strong resistance zone 4617 to 4642.. Our strategy for 7th Aug if Nifty open green Sell at high (S.L 4642/4720) buy in deep (S.L 4538).. If open gap down watch strong support 4538 if hold then buy in deep (S.L 4538) sell at high (S.L 4642).. Resistance for up move at 4617/4633/4642/4710/4720.. Supports at 4560/4538/4506/4482/4420..

Inder Bhatia)

The Indian market opened weak note and saw selling pressure at higher level and close with red zone.For coming session nifty trade below 4550 levels than we can test 4510-4460 zones.On the other side trading above 4620 level we can test 4650-4670 zones .

(Govindakrishna)

Tata Sponge Iron Ltd.
513010 TATASPONGE Group (B)
CMP 199

Tata sponge is looking good on the charts.
It was on a downtrend from September to March 2009 when it corrected nearly 50%.
Then ir resumed its upward movement and went from 112 to 230 during the middle of june.It has consolidated at 170-180 levels and could go up.



The real breakout could come above 210.
Investors can accumulate this stock around 170 levels if market sees a correction.

SVShah)

NIFTY (4585.5)

Resistance : 4630 / 4695 / 4780

Support : 4555 / 4530 / 4505 / 4460

SENSEX (15514.03)

Resistance : 15840 / 16170

Support : 15315 / 15115

NIFTY FUT (4578)

Resistance : 4620 / 4650 / 4685 / 4760 / 4795

Support : 4560 / 4535 / 4510 / 4440

MKT COMMENTS

NIFTY FUT OI down 3.13% with 17% increasing volumes indicating not only unwinding of long positions plus forming for short positions too.

We expect NIFTY FUT to trade volatile.

On Friday,Opening Is Flat To Negative,

Buy NIFTY Above 4625,Sl Below 4605,Tgt 4640/85/4705/25

Sell NIFTY Below 4600,Sl Above 4620,Tgt 4585/40/20/4500

Buy UNITECH,Sl 80,Tgt 105/10/15/20 (Positional)

Sell

WELSPUNGUJ Below 220,Sl 225,Tgt 215/10/05

RANBAXY Below 275,Sl 280,Tgt 270/65/60+

SBIN (1797),Sl Above 1815,Tgt 1775/65/55

Futures

Buy TATACHEM Above 260,Sl 257,Tgt 262.6/264/66.5/69/71/74/79/80+ (Lot Size : 1350)

Sell INDIAINFO Below 137,Sl 139,Tgt 135.6/33.6/32.3/31/29.6/28.2/26.7/25+ (Lot Size : 2500)

ONGC

Buy Around@ 1130,Sl 1115,Tgt 1145/55/65+

Sell Around@ 1170,Sl 1185,Tgt 1155/45/35+

RELINFRA

Buy Around@ 1150,Sl 1130,Tgt 1175/85

Sell Around@ 1190,Sl 1210,Tgt 1165/55

STERLITE

Buy Around@ 630/35,Sl 625,Tgt 645/50

Sell Around@ 670/65,Sl 670,Tgt 655/45

Daily Support & Resistance level [07-Aug-2009]
	Supports		Resistances
	S1	S2	CLOSE	R1	R2
NIFTY Futures	4590	4641	4696	4732	4800	Strong above R2
Axis Bank	815	839	851	866	885	Strong above R2
TCS	508	522	530	541	553	Go Short with stop loss above R2
DLF	375	382	391	402	407	Strong above R2
L&T	1455	1485	1515	1521	1580	Strong above R2
ICICI Bank	747	757	773	786	804	Strong above R2
Infosys	2021	2046	2095	2115	2148	Go Short with stop loss above R2
J P Associates	236	239	244	247	255	Strong above R2
Maruti	1398	1420	1441	1467	1513	Strong above R2
Reliance	2003	2053	2075	2114	2180	Go long with stop loss below S2
Reliance Capital	880	895	913	929	952	Go long with stop loss below S2
Reliance Comm	265	275	280	286	293	Go long with stop loss below S2
SAIL	167	171	175	178	182	Strong above R2
SBI	1780	1798	1845	1886	1935	Strong above R2
Tata Motors	435	441	450	462	475	Go long above R2,Go short below S2
Tata Steel	455	465	473	483	492	Strong above R2
Rel Infra	1168	1186	1212	1234	1267	Go Short with stop loss above R2

GMR Infra Chart - Hourly:

GMR infra gave breakdown from the Symmetric Triangle today with good volumes in 5 min break down bar and continued further till end of day. Short triggered at Rs.139 and closed the trade at Rs136, total 2% profit for intraday

Will take trade tomorrow again depending on the situation, target for this pattern is not yet reached which is at 127 levels. Caution1 on hourly charts volumes are not big at the breakdown also as I have mentioned in previous post volume pattern is not consolidating. Caution2 from present levels there is little chance of forming bullish ABCD is also there.

Bramesh

Gravestone Doji formed in RIL

Implication:Candelstick denotes a Trend reversal

5 EMA of RIL was 2025 if 2025 got broken today than levels to be watched out are 2027 2001 1988 1977 1966

Upside only above 2096 watch this Chart



Welspun Gujrat Sell if 220 is broeken and Sustained tgt 215 210