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1. Technical View (Equity)
Daily call
Index CMP % up/dn S2 S1 P R1 R2
Nifty 10,198.40 -0.51% 10110 10155 10220 10265 10330
Sensex 33891.13 -0.52% 33580 33735 33955 34110 34330
Nifty Daily Chart
Comments:
Nifty opened on a flat note and witnessed sideways movement in initial half. However last hour selling
pressure dragged index lower to end in red. Nifty closed at 10198 with a loss of 52 points.
On the daily chart the index has formed a bearish candle with an upper shadow indicating selling
pressure as well as resistance at higher levels. The chart pattern suggests that if Nifty breaks and
sustains below 10150 levels it would witness selling which would lead the index towards 10100-10000
levels. However if index crosses above 10250 level it would witness pullback rally which would take the
index towards 10300-10350. Nifty is trading below 20 ,50 and 100 day SMAs which are important short
term moving averages, indicating negative bias in the short to medium term. Nifty continues to remain
in a downtrend in the short term, so exit on small pullback rallies to be our preferred strategy.
The daily strength indicator RSI is moving flat indicating absence of strength whereas momentum
oscillator Stochastic continues to scale up indicating upside momentum in near term.
The trend deciding level for the day is 10220. If NIFTY trades above this level then we may witness a
further rally up to 10265-10330-10375 levels. However, if NIFTY trades below 10220 levels then we may
see some profit booking initiating in the market, which may correct up to 10155-10110-10045 levels
Stocks to focus for intraday Long Drreddy, Grasim, Hcltech, Hindunilvr, Infy, Zeel
Stocks to focus for intraday Short Bpcl, Hdfc, Kotakbank, Indusindbk, Itc,
Powergrid