Report for 06 July ’09 :
Daily Close Support / Resistance
S2 - S1 / R1 – R2
Nifty ( spot ) 4424.25 4371 – 4398 / 4446 – 4469
Nifty ( fut ) 4424.65 4374 – 4402 / 4451 - 4474
Sensex 14913.05 14626 – 14786 / 15072 – 15232
Important Level ( on closing basis ) : 4330 ( Nifty Spot ) & 14740 ( Sensex )
St Target : 4535-50 (Nifty spot) & 15230-250 (Sensex)
Mt Target : Undecisive
Sell on rally…
As mentioned in last week that market should consolidate with positive move and Nifty moved almost with expected line with taking support at 4260 which was major support given in last week…
In Nifty Daily chart, after continue its consolidation within important support of 4260 and bounced back sharply on late last week. Even after heavy volatility in last week, Nifty St positive set up still intact for given St target of 4535-50 (in Sensx 15230-250). Most technical indicators are still in neutral zone which suggest that market will continue to get support on lower level at 4280 (major one) and 4330 on closing basis, on the other hand, technical oscillators are still in positive mode which should lead further pullback rally in coming days. By combining both technical indicators and oscillators, market will remain highly volatile in coming days with positive movement…
In Nifty Weekly chart, after heavy volatility from last two weeks, Nifty manages to close on slight positive mode on weekly basis. Nifty has formed another “Hammer” formation in last week. In weekly chart, technical indicators are still in are turning neutral from positive zone while technical oscillators are in
Over all, market will continue its pullback rally towards 4535-50 and 15230-250 in Nifty and Sensex, respectively while updated support at 4330 and 14740, respectively. As major event of Union Budget on this Monday, market will find its next major trend from mid this week but as St set up still positive, leading indices should continue its rally upto mentioned St target before next downward MT move starts…
Intraday Calls :
Buy ACC above 770, s/l. 762, target 783 & 790…
Buy Bhel above 2192, s/l. 2171, target 2213 & 2229…
Sell Bhushan Steel below 649, s/l. 656, target 639 & 631…
Positional ( F & O ) Calls :
Buy Grasim above 2416, s/l. 2371, target 2482 & 2520…
Delivery (St-Mt) Calls :
Buy Glenmark Pharma above 241, s/l. 226, target 268 & 284…
Nifty Daily Chart :
As presented below, Nifty movement was almost with narrow range of 150-180 points and closed almost at weekly high with continuation positive divergence in technical indicators and oscillators. Nifty has taken support at shown trendline, which was at 4260 and continued its pullback rally towards 4535-50 in late last week. One of the important technical indicator, ADX turning sideways while ADX line still in downward move which also suggest that current up move is routine pullback rally after fall from recent high of 4695 to 4140. Nifty will continue its upward move in coming days also with maintaining St target of 4535-50 with St support levels of 4280 (major one) and 4330 on closing basis…
Nifty Weekly Chart :
As presented below, Nifty has formed another “Hammer” formation on weekly chart after taken support excatly at upward trendline which shown in last week. On weekly chart, most technical oscillators are still in OB zone with continue to develop negative divergence which will encourage Bears in coming weeks to active on every rise while technical indicators are turning neutral but still in positive mode which will provide relief to Bulls. On weekly basis, Nifty will continue to get support at 4320-40 on weekly basis while upside capped at 4550-4600…
