Daily Technical Report
July 23, 2012
Exhibit 1: Nifty Daily Chart
Sensex (17158) / NIFTY (5205)
On Friday, once again our benchmark indices
opened on a flat note and traded with negative bias
throughout the day to close marginally above 5200
mark. On the sectoral front, Banking, Consumer
Goods and Realty counters were among the major
losers; whereas Auto and Consumer Durables ended
with marginal gains. The advance to decline ratio was
in favor of declining counters (A=1165 D=1659)
Formation
The weekly 61.8% Fibonacci retracement of the
fall from 18524 /5630 (February 22, 2012) -
15749 / 4770 (June 4, 2012) is seen at 17464 /
5302.
On the weekly chart, we are witnessing a
“Downward Sloping Trend Line” resistance near
17687 / 5386 formed by joining the highs of
21109 / 6339 (November 5, 2010) - 18524 /
Source: Falcon
5630 (February 24, 2012).
A horizontal consolidation band is observed in
Actionable points:
the range of 17034 / 5159 and 17635 / 5350.
The ’20-day EMA’ and
’20-week EMA’ are
View
Neutral
placed at 17200 / 5218 and 17000 / 5155
Resistance
5258
level, respectively.
Support Levels
5189 - 5159
Trading strategy:
Policy action is expected on the pricing of diesel and
other petroleum products as an immediate measure
After a flat opening on Monday, indices moved
to contain fiscal deficit and sooth the nerves of the
marginally below the '20-day EMA' to test gap area
investor fraternity. Lack of policy action or deferring
(17135 - 17034 / 5189 - 5159 levels) formed on
of important decisions would clearly further
29thJune 2012. This level also coincides with the
deteriorate sentiment and thus the Index may drift
weekly
20 EMA. Hence, the significance of this
lower to 16808 - 16636 / 5098 - 5041 levels if the
support zone cannot be ignored. We had mentioned
17034 / 5159 mark is breached on the downside on
a trading range of 17034 /5159 and 17635 / 5350
a closing basis. On the upside the immediate
in our last report, which is still intact. Also, there is no
resistance is seen at 17319 / 5258 level. A breakout
significant change in the price pattern on the weekly
above this may push indices higher to test 17635 /
chart. Hence, we continue to mention the same
5350 level. . As mentioned in our previous reports,
trading range for coming week. Looking at daily price
we advise Positional traders to book partial profits on
action, it can be seen that the market awaits reforms
a rise towards 5350 and hold balance positions in
and policy action post the results of the presidential
Nifty by keeping a trailing stop loss at 5090 (Nifty
election. It would be important to note that market
spot).
participants are hopeful considering that the Prime
Minister has himself mentioned reviving animal spirits
of the economy.
1
Daily Technical Report
July 23, 2012
Bank Nifty Outlook - (10482)
Exhibit 2: Bank Nifty Weekly Chart
On Friday, Bank Nifty opened on a pessimistic note
and selling pressure throughout the day lead the
index to close near day’s low. As expected we
witnessed high volatility during Friday’s session. The
“Bearish Harami” candlestick pattern on the weekly
chart mentioned in our report on July 16, 2012 has
been confirmed as the index has managed to close
below the 10524 mark. At this juncture the index has
taken support near the “20 - Day EMA”. However,
the momentum oscillators on the daily and weekly
chart suggest further downside in likely in coming
week. Thus a sustainable move below Friday’s low of
10463 would further intensify selling pressure and the
index is likely to drift towards 10350 - 10250 levels.
On the upside 10543 - 10562 levels are likely to act
as resistance in coming trading session.
Actionable points:
View
Bearish Below 10463
Resistance Levels
10350 - 10250
Source: Falcon
Support Level
10543 - 10562
2
Daily Technical Report
July 23, 2012
Daily Pivot Levels for Nifty 50 Stocks
SCRIPS
S2
S1
PIVOT
R1
R2
SENSEX
17,042
17,100
17,188
17,246
17,333
NIFTY
5,173
5,189
5,214
5,230
5,255
BANKNIFTY
10,363
10,422
10,523
10,582
10,682
ACC
1,245
1,252
1,260
1,268
1,276
AMBUJACEM
167
168
169
170
171
ASIANPAINT
3,511
3,614
3,724
3,827
3,938
AXISBANK
1,025
1,033
1,046
1,054
1,067
BAJAJ-AUTO
1,497
1,545
1,570
1,618
1,643
BANKBARODA
683
690
696
702
708
BHARTIARTL
310
312
316
318
322
BHEL
219
224
232
236
244
BPCL
377
380
384
387
391
CAIRN
318
322
326
330
334
CIPLA
320
323
328
331
336
COALINDIA
357
359
361
363
365
DLF
201
203
205
207
209
DRREDDY
1,574
1,593
1,616
1,635
1,659
GAIL
349
352
355
357
360
GRASIM
2,593
2,614
2,641
2,662
2,689
HCLTECH
467
473
479
485
490
HDFC
674
680
688
693
702
HDFCBANK
576
579
584
587
592
HEROMOTOCO
2,018
2,050
2,074
2,106
2,130
HINDALCO
119
121
122
124
126
HINDUNILVR
443
444
447
449
451
ICICIBANK
917
926
941
951
966
IDFC
135
136
138
139
142
INFY
2,183
2,201
2,223
2,241
2,263
ITC
251
252
253
254
256
JINDALSTEL
418
422
427
432
437
JPASSOCIAT
75
77
77
79
79
KOTAKBANK
548
555
566
573
584
LT
1,363
1,377
1,398
1,412
1,433
M&M
693
698
705
710
717
MARUTI
1,074
1,111
1,131
1,168
1,188
NTPC
154
155
156
157
158
ONGC
277
279
282
285
288
PNB
806
813
821
827
835
POWERGRID
110
111
112
112
113
RANBAXY
473
478
486
490
498
RELIANCE
711
717
723
729
735
RELINFRA
513
519
527
534
541
SAIL
92
93
94
95
96
SBIN
2,098
2,115
2,144
2,161
2,191
SESAGOA
187
190
192
195
198
SIEMENS
675
680
690
696
706
STER
102
104
105
106
108
SUNPHARMA
619
622
625
628
631
TATAMOTORS
220
222
224
225
227
TATAPOWER
98
99
100
100
101
TATASTEEL
409
412
415
419
422
TCS
1,189
1,206
1,217
1,234
1,245
WIPRO
356
360
366
369
376
3
Daily Technical Report
July 23, 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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