newsletter

(NOORESH)

Sensex Technical View :

Sensex has seen some resistance around the upper trendline area around 16200-16300. Will the resistance break ( Probably yes ). The move can take it to 16500/17200 band also.

Support for short term at 15800/15350 which are deciders for short term traders.

Stocks to watchout for :

Amar Raja posted some days bback gave a trading move.

Hindalco and Reliance Infra rocked in the day. Spicejet wait for sustaining above 28.2

Reliance Inds

The stock has multiple resistances at 2080-2100 which if crossed and stays for 1-2 sessions then can lead the index to higher levels. Traders can keep a watch.

HDFC Ltd

Needs to stay above 2560 to lead a quick move of 100 rs. Another index heavy which can create a major move.

Day call buy Sintex around 244-246 stop of 240 tgt 254.

Moser Baer if stays above 95 can give a good move.

Mukand Engineers,Andor Fontech and Gemini Communications look interesting as small cap investments with small exposure.

MY CHART

Nifty :: As per our last post even after breakout Nifty face strong resistance in between 4800 to 5000 zone.. Made an Stalled Candle Pattern.. Bearish if Nifty unable to cross 4843 and close above it .. Still Wolfe wave and Ending diagonal pattern valid and that’s why closely watch breakout level 4758.. If hold then nothing to worry for bulls but be careful at higher level (may be correction due within one or two days).. Our strategy up to 4758 buy in deep (S.L 4758) Sell at high (S.L 4924).. If Nifty open up and unable to cross 4843 then change strategy as sell at high (S.L 4843) buy in deep.. Resistance for up move at 4843/4869/4888/4900/4924... Supports at 4767/4758/4743/4727/4697...

Today (8-9-09) Nifty completed Sa Ri Ma Ga Pa Da Ni Sa (256 points) in daily scale that started from 4th September,2009. At 4842 (14.00) came profit booking - can it be called as a sell off ? - which pushed down NIfty to 4785, down 57 points. At the closing, Nifty was at 4805 and Nifty PE Ratio was 21.59. Experts are of the opinion that the maximum P/E can be 22 only and above 22 it is a bubble and bubble will not be formed in successive years. That is why Nandi told that Nifty can go to the top of Gandharam at 4859 only. Incidentally today's Soma level was just below that at 4852 and Nifty's high was 4842. As Arohan (upmove) has almost completed avarohan (downmove) may start very soon. Tomorrow's Agni level is at 4788 and you know what to do when Nifty slides below that level.

It was another highly volatile but a range bound day for the Indian equity markets. In the morning market opened in a positive zone and then moved northwards. But this all happened amid high volatility. In the afternoon session market witnessed a sharp decline and lost most of the ground. Sensex closed at 16123 (Up 107.35 points) Nifty closed at 4805.25 (Up 22.35 points). On the sectoral front metals, Oil and capital good sector witnessed positive trend but FMCG witnessed negative movement. Even auto, realty and IT sectors witnessed negative movement. Market breadth was negative with 1461 declines and 1362 advances.

The market did open flat to positive and It was a positive closing for the Indian market on the third consecutive day.which saw decent rally since morning and market almost could not break the initial low made in the opening itself.Market as expected by me that we can see profit booking from higher side around 4825,and market did cross this level to kiss an intraday high of 4842 but could not sustain above it and we seen decent selling pressure from higher side that dragged nifty to close below 4825 which is our second weekly resistance in this week.going forward market may see some kind of profit booking but as long as it holds the level of 4780-60 every decline may be used to create fresh longs and short recovery is also expected around this level, if we are not holding the level of 4760 then it will crash to kiss 4710-4700 mark.

NIFTY (4805.25)

Resistance : 4840 / 4870 / 4905 / 4940

Support : 4785 / 4740 / 4650

SENSEX (16123.67)

Resistance : 16200 / 16310 / 16400

Support : 16015 / 15980 / 15880

NIFTY FUT (4808.45)

Resistance : 4835 / 4870

Support : 4775 / 4750 / 4710

MKT COMMENTS

NIFTY FUT OI flat with 24% increasing volumes indicating unwinding of long positions plus forming of short positions at higher levels.

We expect NIFTY FUT to trade rangebound with volatility.

On Wednesday,Opening Is Flat To Up,

Buy NIFTY Above 4810,Sl Above 4780,Tgt 4835/55/80/4910

Sell NIFTY Below 4780,Sl Above 4810,Tgt 4755/35/10/4680

BUY

HEG Around 280,Sl 275,Tgt 285/90+

TANLA Above 70,Sl 68,Tgt 72/74/75

BEML Above 1180,Sl 1155,Tgt 1205/15/25/35

ZEEENT Above 220,Sl 215

SBIN (1894),Sl Below 1870,Tgt 1915/25/35/45

ICICIBNK, Sl 765,Tgt 825/35/45

Sell BEL Below 1410,Sl 1435,Tgt 1380/65/50

FUTURES

RIL (2075) : Buy@ 2055,Sl 2035,Tgt 2100/10/20/30 ( Close Abive 2120, Hold Longs As BTST)

INDIACEM : Buy@ 132,Sl 130,Tgt 134/35.3/36.6/38/39.2/40.5/42 (Lot Size : 1450)

RELCAP (911.85) : Sell@ 920,Sl 935,Tgt 910/900/890

MARUTI (1522) : Sell@ 1545,Sl 1565,Tgt 1510/1500