Friday, August 21, 2009
Market outlook for 21/08/09
Yesterday’s trading shows that market is preparing itself for settlement closure. Nifty in this week traded up and down alternatively and closed at 4453. As seen from FII trading they sold in cash, more buying in index and stock futures. F&O data seen in shifting of nifty futures to next month, option writing shows range is 4500-4400-4300 only. Global cues are US +ve, Asian markets are -ve as of now. SGX nifty is positive.
Over all view: All pressures in international markets were fully absorbed by our operators till now with out breaking nifty 4350. May be the international pressures are over and we are nearing to settlement. Hence, markets are converging to a point that may be 4400-4500. As seen from the weekly chart if we see one lower weekly closing ie., below 4353 today we may see a big correction in further weeks. As of today it is only to intra day.
Yesterday I had written above 4429 level NF will zoom to kiss 4464 & there after expect 4482-4500 level. (I thought it will not kiss 4500 ,but it zoomed upto 4504 level )
Just see day before yesterday nifty did not break 4335, taken U-turn from 4340. My target was of 4411-4429 level. (So see the power of chart from 4340 to 4504 in just 2 sessions )
Today will face hurdle at 4483-4508. Now suppose crosses 4508 with volumes then expect Nifty Future to rally upto 4553-4571 in Intraday trade.
Remember it has to fill Gap at 4552 level. (So will it kiss and cross this level or after kissing will crash??)
Yesterday’s low of 4440 is crucial support. Break will create panic upto 4422-4411 & there after watch free fall to 4381-4371 level.
NIFTY Technicals :
Current Spot : 4453.45
Pivot : 4465.40
Supports : 4422 & 4338
Resistance : 4481 & 4508
BUY NIFTY ABV 4482 TGT 4496,4515,4540
SELL NIFTY BLW 4434 TGT 4426,4403,4370
Stock Idea for the Day
BUY SINTEX NEAR 207 SL 197 TGT 210,213,216
BUY CROMPTON NEAR 284 SL 277 TGT 287,291,296 (Buy on decline & hold for short term)
BUY CAIRN NEAR 245 SL 239 TGT 247,251,256
RNRL : BUY ABOVE 80 FOR TARGETS OF 81.50 AND 83.25. SL OF 78.90
MNM : BUY ABOVE 775 FOR TARGETS OF 782 AND 790. SL OF 771
LNT : BUY ABOVE 1490 FOR TARGETS OF 1500 AND 1510. SL OF 1485
GUJRAT NRE COKE : BUY ABOVE 54 FOR TARGETS OF 55 AND 56.25. SL OF 53.10
SELL RELIANCE BLW 1915 TGT 1900,1892,1880
BUY RELIANCE ABV 1922 TGT 1930,1938,1947
SELL ICICI BANK 724 SL 729 TGT 718,712,705
BUY ICICI BANK ABV 729 SL 724 TGT 735,740,748
SELL REL CAPITAL BLW 818 SL 830 TGT 805,800,792
BUY REL CAPITAL ABV 830 SL 818 TGT 840,845,850
BUY KOTAK BANK 695 SL 690 TGT 700,705,712
SELL KOTAK BANK BLW 690 SL 695 TGT 685,680,672
SELL MPHASIS 532 SL 542 TGT 520,515,508
BUY MPHASIS 542 SL 532 TGT 552,558,565
Positional Call :
Mindtree. STRONG BUY between 452-530. Tgt 660-650 in 3 weeks. Intraday 475-485.
Use strict STOP LOSS in each and every trade in this kind of volatile market
Thanks & Regard
Market Pulse S&P Team