Market outlook for 01/09/10

Nifty closed down 13.05 points (0.24%) at 5402.40 whilst Nifty September Future closed at 5403.70 premium of 1.30 points.

• FII bought in Cash (Net buy 287.88 Crore)
• FII bought in index options but sold in index futures and stock futures (Net buy 1348.46 Crore)
• DII sold in Cash (Net sell 595.33 Crore)
• US market is trading flat to Positive.
• Global cues are flat to Positive.
• SGX nifty is positive as of now.
• Most Active Nifty September Call Option: 5400 and 5500.
• Most Active Nifty September Put Options: 5400 and 5300.
• Advance Decline for the day was 355:1003

NIFTY TECHNICAL

Current Spot: 5402.40
Pivot: 5388
5DEMA: 5432
10DEMA: 5449
20DEMA: 5447
50DEMA: 5386
RSI (7 days): 35.74
Parabolic SAR: 5539
Supports: 5363 - 5323
Resistance: 5428 - 5553

Nifty VWAP: 5385.59
Bank Nifty VWAP: 10700.31
MP Values Spot: VAH - 5384, POC - 5362, VAL - 5350
MP Values Futures: VAH - 5393, POC - 5379, VAL - 5366
MP Values Bank Nifty Futures: VAH - 10718, POC - 10694, VAL - 10674

OVERALL VIEW

Nifty closed at 5402, below all daily moving averages, weekly 5EMA and Monthly HEMA but just above daily LEMA. Nifty had a long tail today signifying buyers at lower levels. (See Tech Table for details). Nifty closed just above 50SMA (5396). Nifty need to close above daily 5EMA at 5424 to carry on with the upward momentum, and any close below 5365, it goes into bear grip. RSI is in downtrend from overbought levels; stochastic has given a negative crossover and is in downtrend, the volume was good.
Nifty bounced up from the channel support at 5350 to close above the psychological figure of 5400. The trend line resistance is now placed at 5500 and the channel support at 5350. Trade the range of 5350-5500 till it gets resolved.

TARGET NIFTY
Buy Nifty above 5408 - 5424 - 5446 - 5481 SL - 5388
Sell Nifty below 5383 - 5371 - 5357 - 5336 SL - 5394

INTRADAY TRADE
Reliance Industries: Buy above 933 for targets of 939, 945, 961 SL 926
Reliance Industries: Sell below 915 for targets of 911, 904, 895 SL 930
Karurvysya: Buy above 750 for targets of 757, 765 SL 742
TataGlobal: Buy above 121 for targets of 122, 123.8 SL 119

SCORE SHEET
PowerGrid: Buy above 109 for targets of 110.5, 112 SL 107.5: Target 110.75 achieved
KFA: Buy above 60.5 for targets of 61.5, 63 SL 59.3: Target 62.50 achieved

POSITIONAL TRADE
UBL: Buy above 208 for target of 232 SL 196 (One Month)
PTC: Buy above 120 for target of 126 SL 118 (One Week)

 

Use strict STOP LOSS in each and every trade in this kind of volatile market and Trade at your own risk.

 

Thanks and Regards

 

S&P Wealth Creators