Technical Research | October 12, 2011
Daily Technical Report
Sensex (16536) / NIFTY (4974)
Yesterday markets opened on an optimistic note to move
Exhibit 1: Nifty Daily Chart
towards the expected resistance level of 16800 / 5050 and
profit booking near this resistance level dragged the indices
below 5000 mark. On the sector front, IT, and Teck
counters ended on a losing side whereas Consumer
Durables and Metal sectors were among the major gainers.
The advance decline ratio was strongly in favor of
advancing counters (A=1558 D=1236).
(Source
-
www.bseindia.com)
Formation
• On the Daily chart, we are observing a “Downward
Sloping trend line” joining two highs of 18945 and 17191 /
5702 and 5168.
• We are observing the Gap area formed on
22nd
September in the range of 17000/5110 and16834 / 5060
• The ADX (9) indicator has given a positive crossover on
daily chart.
Source: Falcon
Actionable points:
Trading strategy:
Indices opened higher and moved towards the resistance
View
Neutral
level of 16800 / 5050 but failed to sustain at higher levels.
Resistance Levels
5045 - 5110
The gap area in the range of 17000/5110 and16834 /
Support Levels
4964 - 4923
5060 remains to be a significant resistance level for the
markets. Also we are now observing a “Downward Sloping
trend line” joining two highs of 18945 and 17191 / 5702
and
5168. Thus, yesterday’s price action cannot be
construed as a break out of from this trend line. However,
we are also witnessing a positive crossover in ADX
(9)
indicator which indicates possibility of upside momentum if
indices manage to sustain above yesterday’s high of 16774
/ 5045. In this case, indices may rally towards 17000 /
5110 level. On the downside, 16510 - 16348 / 4964 -
4923 level may act support in coming trading session.
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1
Technical Research | October 12, 2011
Bank Nifty Outlook - (9179)
Bank nifty also opened with an upside gap in-line with our
Exhibit 2: Bank Nifty Daily Chart
benchmark indices and moved towards the “20 Day EMA”
placed around 9355 level. As mentioned in our previous
report, Bank Nifty faces strong resistance near mentioned
level of 9332. Going forward, violation of yesterday’s low
of 9148 would attract further selling pressure and the Bank
nifty is then likely to drift towards 8975 - 8870 levels.
On the up side, 9363 level may act as strong resistance
in coming trading session.
Actionable points:
View
Bearish
Negative Below
9148
Expected Target
8975 - 8870
Resistance levels
9363
Source: Falcon
Stock Recommendations:
Exhibit 3: DLF (Oct.Fut.) Daily chart
Stock - DLF (Oct.Fut.)
Action - Sell
Last close - ` 228.55
Range
- ` 229.50 - 231
Stop Loss - ` 233.80
Target
- ` 219
Justification - We are witnessing that after a sharp rise from
Rs.195 to Rs.235 the Stock is finally facing resistance at an
upward sloping trend line on the Daily Chart. This level
coincides with 127% Fibonacci retracement level of the fall
from Rs.226 to Rs.195. In addition; the momentum
oscillators on the hourly chart are negatively poised. Hence,
we advise selling the stock in a range of Rs.229.50 to
Rs.231.00 for a target of Rs.219.00 in coming 3 - 4 days.
Source: Falcon
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2
Technical Research | October 12, 2011
Daily Pivot Levels for Nifty 50 Stocks
SCRIPS
S2
S1
PIVOT
R1
R2
SENSEX
16,344
16,440
16,607
16,703
16,871
NIFTY
4,913
4,944
4,994
5,025
5,076
BANKNIFTY
9,015
9,097
9,230
9,312
9,445
ACC
1,113
1,124
1,135
1,146
1,157
AMBUJACEM
142
143
145
146
148
AXISBANK
1,024
1,038
1,060
1,074
1,095
BAJAJ-AUTO
1,557
1,568
1,579
1,590
1,600
BHARTIARTL
361
368
374
381
388
BHEL
317
322
330
335
343
BPCL
662
669
674
680
686
CAIRN
273
275
279
282
286
CIPLA
275
278
282
285
290
DLF
221
225
230
234
239
DRREDDY
1,476
1,492
1,509
1,524
1,541
GAIL
409
413
419
423
430
HCLTECH
387
395
409
417
431
HDFC
656
662
670
676
684
HDFCBANK
449
453
459
463
469
HEROMOTOCO
1,954
1,965
1,980
1,991
2,006
HINDALCO
127
129
131
132
134
HINDUNILVR
319
322
328
332
338
ICICIBANK
809
821
841
853
873
IDFC
117
119
122
125
127
INFY
2,425
2,465
2,530
2,570
2,635
ITC
197
198
200
202
204
JINDALSTEL
466
477
490
500
513
JPASSOCIAT
73
73
74
75
76
KOTAKBANK
444
449
456
460
467
LT
1,388
1,399
1,412
1,423
1,436
M&M
782
790
803
811
824
MARUTI
1,050
1,062
1,075
1,086
1,099
NTPC
169
173
175
179
181
ONGC
263
266
270
272
276
PNB
931
943
951
963
971
POWERGRID
97
98
98
99
100
RANBAXY
509
513
518
522
527
RCOM
72
73
75
76
78
RELCAPITAL
327
334
339
347
352
RELIANCE
811
819
830
838
849
RELINFRA
391
397
405
410
418
RPOWER
81
82
83
83
84
SAIL
103
105
107
109
111
SBIN
1,722
1,743
1,775
1,796
1,827
SESAGOA
210
217
222
228
233
SIEMENS
816
823
837
844
858
STER
112
114
117
119
123
SUNPHARMA
455
466
475
486
495
SUZLON
36
37
37
38
39
TATAMOTORS
169
173
175
179
182
TATAPOWER
100
101
104
105
108
TATASTEEL
423
428
436
441
448
TCS
1,008
1,024
1,051
1,068
1,095
WIPRO
329
336
345
351
360
Technical Research Team
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3
Technical Report
RESEARCH TEAM
Shardul Kulkarni
Head - Technicals
Sameet Chavan
Technical Analyst
Sacchitanand Uttekar
Technical Analyst
Mehul Kothari
Technical Analyst
Ankur Lakhotia
Technical Analyst
For any Queries, Suggestions and Feedback kindly mail to [email protected]
Research Team: 022-3952 6600
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