Market outlook for 09/09/10

Nifty closed up 3.85 points (0.07%) at 5607.85 whilst Nifty September Future closed at 5596.65 discount of 11.2 points. Bank Nifty closed down 2.90 points (0.03%) at 11190.05 whilst September Future closed at 11168.35 discount of 21.7 points.

• FII bought in Cash (Net buy 281.96 Crore)
• FII sold in index future and stock future but bought in index option (Net sell 543.25 Crore)
• DII sold in Cash (Net sell 98.21 Crore)
• US market is trading in Green.
• Global cues are flat to positive.
• SGX nifty is flat to positive as of now.
• Most Active Nifty September Call Option: 5600 and 5700.
• Most Active Nifty September Put Options: 5600 and 5500.
• Advance Decline for the day was 727:617

NIFTY TECHNICAL

Current Spot: 5607.85
Pivot: 5600
5DEMA: 5560
10DEMA: 5524
20DEMA: 5492
50DEMA: 5413
RSI (7 days): 75.18
Parabolic SAR: 5365
Supports: 5575 - 5543
Resistance: 5633 - 5658
Nifty VWAP: 5591.55
Bank Nifty VWAP: 11162.02
MP Values Spot: VAH - 5602, POC - 5589, VAL - 5576
MP Values Futures: VAH - 5597, POC - 5580, VAL - 5576
MP Values Bank Nifty Futures: VAH - 11188, POC - 11149, VAL - 11129

OVERALL VIEW

Nifty closed at 5608, above all daily moving averages. Most of the SMA’s are now over their respective EMA’s which signifies bullish undertone. Nifty ended the day making a new high for the year. (See Tech Table for details). Daily RSI is in overbought zone above 70 level, stochastic is in overbought territory but still no negative crossover, the overall volume was good.
Nifty today made a high of 5625 and a low of 5568, and closed at 5608 forming a DOJI on the candlestick which signifies indecisiveness at higher levels. Now Nifty is moving in the up trending channel and the channel support is at 5550 and the resistance at 5640. Keeping your longs hedged will be good as nifty is at yearly highs and any negative global cues can take it down to support levels.

TARGET NIFTY
Buy Nifty above 5601 - 5622 - 5650 - 5680 SL - 5593
Sell Nifty below 5587 - 5570 - 5541 - 5513 SL - 5598

INTRADAY TRADE
Reliance Industries: Buy above 962 for targets of 964, 969, 976 SL 956
Reliance Industries: Sell below 954 for targets of 952, 948, 943 SL 961
UFlex: Buy above 183.5 for targets of 185, 188 SL 180
Talwalkars: Buy above 245 for targets of 250, 258 SL 240

SCORE SHEET
Acc: Buy above 965 for targets of 979, 995 SL 942: Target 1002 achieved
GujNreCoke: Buy above 66 for targets of 67, 69 SL 64.5: Call not activated

POSITIONAL TRADE
MLL: Buy above 56.5 for target of 60 SL 54.7 (One Week)
KRBL: Buy above 36.5 for target of 41 SL 34 (One Month)

 

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