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1. Weekly Technical View (Equity)
Weekly call
Index CMP % up/dn S2 S1 P R1 R2
Nifty 10,321.75 0.12% 10215 10270 10305 10360 10400
Sensex 33314.56 0.19% 32995 33155 33270 33425 33540
Nifty Weekly Chart
Comments:
Nifty started the week on a flat note and remained negative throughout the week. Nifty closed at 10322
with a loss of 131 points on a weekly basis.
On the weekly chart the index has formed a bearish candle carrying either side shadows representing
extreme volatility on either side. The index is moving in a Higher Top and Higher Bottom formation on
the weekly chart indicating positive bias. The chart pattern suggests that if Nifty crosses and sustains
above 10390 levels it would witness buying which would lead the index towards 10490-10580 levels.
However if index breaks below 10240 level it would witness selling which would take the index towards
10180-10140. Nifty is trading above 20 , 50 and 100 day SMA's which is important short term moving
average, indicating positive bias in the short term. Nifty continues to remain in an uptrend in the
medium term, so buying on dips continues to be our preferred strategy. For the week, we expect Nifty
to trade in the range of 10400-10140 with a negative bias.
The weekly strength indicator RSI and momentum oscillator Stochastic have both turned negative and
are below their respective reference lines indicating negative bias
The trend deciding level for the day is 10305. If NIFTY trades above this level then we may witness a
further rally up to 10360-10400-10450 levels. However, if NIFTY trades below 10305 levels then we may
see some profit booking initiating in the market, which may correct up to 10270-10215-10180 levels
Stocks to focus for intraday Long HUL, Ipcalab, Cera, SBIN, Heromotoco, Bajajelec,
Pcjweller, L&T, M&M
Stocks to focus for intraday Short Auropharma, Tatamotors,Hpcl, Havells