Technical Research | September 22, 2011
Daily Technical Report
Sensex (17065) / Nifty (5133)
Markets opened on a subdued note and traded in an
Exhibit 1: Sensex Daily Chart
extreme narrow range to close marginally below previous
day’s close. On the sector front, Consumer Durables and
Banking counters were among the major gainers whereas
Oil & Gas and Auto sector ended on a losing side. The
advance decline ratio was in favor of advancing counters
Formation
• On the Daily chart, there is a “Horizontal Trend Line”
joining two recent highs of 17256 and 17212 / 5198
and 5169.
• Also, “Upward Sloping Trend Line” joining two lows of
15765 and 16374 / 4720 and 4911.
Trading strategy:
Source: Falcon
Yesterday, markets opened marginally higher and moved
towards the important swing high of 17212 / 5169 but
ultimately fail to cross this level. Subsequently, indices
moved in a very narrow range and hence, closed
marginally below Tuesday’s closing. On the higher side, we
continue to mention the resistance level of
17212
/
5169.Only a sustainable move beyond this level may push
indices towards 17400 - 17600 / 5240 - 5300 levels.
Looking at the global cues indices are expected to open
with a negative bias. On the downside, 16880 - 16700 /
5070 - 5019 levels may act as support in coming trading
sessions. A violation of 16700 / 5019 level would lead to
the breakdown of upward sloping trend line and indices
may see further downside.
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Technical Report
RESEARCH TEAM
Shardul Kulkarni
Head - Technicals
Sameet Chavan
Technical Analyst
Sacchitanand Uttekar
Technical Analyst
Mehul Kothari
Technical Analyst
Ankur Lakhotia
Technical Analyst
Research Team: 022-3935 7600
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