Daily Technical Report
August 16, 2012
Exhibit 1: Nifty Daily Chart
Sensex (17728) / NIFTY (5380)
On Tuesday’s session, once again indices opened
quietly in-line with mixed global cues and buying
throughout the session pushed indices higher to close
near mentioned resistance level of 17727 / 5386.
Tuesday’s up move was mainly led by Oil & Gas,
Banking and Metal counters; whereas Realty and
FMCG remained under pressure throughout the day.
The advance to decline ratio was in favor of
advancing counters (A=1412 D=1385) (Source -
Formation
On the weekly chart, the indices have precisely
tested the “Downward Sloping Trend Line”
resistance near 17727 / 5386 formed by joining
the highs of 21109 / 6339 (November 5, 2010)
- 18524 / 5630 (February 24, 2012).
The ’20-day EMA’ and the ’200-day SMA’ are
placed at 17284 / 5242 and 16900 / 5100
levels, respectively.
Source: Falcon
A weekly closing above 17727 / 5386 level
Actionable points:
would confirm a ‘Higher Top - Higher Bottom’
formation on the weekly chart after August 28,
2009.
View
Neutral
The candlestick pattern on the daily chart
Resistance Levels
5387 - 5425
resembles a “Shooting star” and signifies
Support Levels
5329 - 5290
resistance near 17727 / 5386 levels.
Trading strategy:
The sharp up move in the last session was seen after
the announcement of July month inflation numbers.
Going forward, as mentioned in our weekly report,
only a weekly closing above 17727 / 5386 level
would confirm a "Higher Top Higher Bottom"
formation in weekly chart. Hence, we would still await
Friday’s closing, which can be very decisive for our
markets. For coming trading session, if our markets
sustain above 17754 / 5387, then they are likely to
rally higher to test 17840 / 5425 level. Conversely,
17572 - 17450 / 5329 - 5290 levels may provide decent
support for the day.
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Daily Technical Report
August 16, 2012
Bank Nifty Outlook - (10519)
Exhibit 2: Bank Nifty Daily Chart
On Tuesday, Bank Nifty opened on a positive note
and gained strength as the day progressed to close in
the positive territory. Going forward we expect the
Bank Nifty to trade in the broad range of 10240 to
10622. Within the mentioned range intraday traders
should watch out for the 10410 - 10375 levels which
may act as support for the day. On the upside,
intermediate resistance is seen at 10547 and 10600
levels. The broad range is likely to continue so long as
individual stocks display a divergence in trend. At this
juncture, we can clearly infer that SBI is expected to
underperform the market whilst the private sector
banks such as ICICI and HDFC bank have a
substantially bullish outlook.
Actionable points:
View
Neutral
Resistance Levels
10547- 10600
Support Levels
10410 - 10375
Source: Falcon
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Daily Technical Report
August 16, 2012
Research Team Tel: 022 - 39357800
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Research Team
Shardul Kulkarni
-
Head - Technicals
Sameet Chavan
-
Technical Analyst
Sacchitanand Uttekar
-
Technical Analyst
Mehul Kothari
-
Technical Analyst
Ankur Lakhotia
-
Technical Analyst
Angel Broking Pvt. Ltd.
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