Daily Technical Report
February 18, 2013
Exhibit 1: Nifty Daily Chart
Sensex (19468) / NIFTY (5887)
On Friday, our benchmark indices opened lower below the
support level of 19414 / 5879 and consolidated during the
intitial hours of the trading session. However due to short
covering in the final hour, indices recovered from the day’s
low to end with minor losses. On sectoral front, Oil & Gas, IT
and Healthcare counters wrer among the biggest losers;
whereas, Auto, Banking and FMCG sectors outperformed the
markets. The advance to decline ratio was strongly in favor
of declining counters (A=896 D=1234) (Source
-
Formation
The ’20-day EMA’ and the ’20-week EMA’ are placed at
19669 / 5957 and 19191 / 5820 levels, respectively.
The Nifty has broken down from the ‘Upward Sloping
Trend Line’ (as shown in the chart).
The weekly ‘RSI Smoothened’ and ‘3 & 8 EMA’ are
Source: Falcon:
signaling a negative crossover.
Actionable points:
Trading strategy:
View
Bearish Below 5854
Expected Targets
5823 - 5800
There were few domestic events during the week which had
Resistance Levels
5900 - 5938
mixed impact on our market. One of them was the quarterly
result from banking heavyweight - State Bank of India.
Negative results put the spanner in the works and eventually
On the flipside, this week’s high of 19723 / 5970 continues
the market closed the week on a negative note. Indices are
to act as strong resistance. Only a move beyond this level
now heading towards strong support of ’20-week EMA’
may nullify the impact of negative technical evidences. In this
which is placed at 19190 / 5820. This level also coincides
case, indices may then rally towards 19768 - 19865 / 5991
with the weekly swing low of 19149 / 5823 (low of weekly
- 6025.
candle on December 21, 2012). Hence, it can be considered
as a decent support level. However, the weekly ‘RSI-
Smoothened’ oscillator and the ‘3 & 8 EMA’ are negatively
poised. The impact of these technical evidences would be
seen once indices sustain below 19149 / 5823. In this
scenario, we may witness a corrective move towards 19000
- 18870 / 5800 - 5735 levels.
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Daily Technical Report
February 18, 2013
Exhibit 2: Bank Nifty Hourly Chart
Bank Nifty Outlook - (12337)
On Friday, Bank Nifty opened with a downside gap in line
with our benchmark indices and drifted lower to test
mentioned support level of 12245. However, during the last
hour of trade short covering rally led the index to close in the
positive territory. We reiterate our view that a breach of
12245 level would drag the index lower towards 12043 -
12000 levels. On the upside only a move beyond the
resistance trend line at 12402 may enhance buying interest
among the market participants.
Actionable points:
View
Neutral
Resistance Levels
12402 - 12486
Support Levels
12245 - 12043 - 12000
Source: Falcon:
2
Daily Technical Report
February 18, 2013
Research Team Tel: 022 - 30940000
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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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