1. Daily Technical Outlook
22nd July 2011
Indices Close % Chg. Mirroring the negative set of global market cues, the domestic
BSE SENSEX 18436.19 -0.36 markets witnessed a flat opening. Selling pressure was
S&P CNX NIFTY 5541.60 -0.46 visible in the opening trade but markets managed to claw
NIFTY JULY FUT. 5544.20 -0.46 back due to buying support. However, the markets failed to
India VIX 18.75 -1.88
sustain at higher levels due to lack of follow up buying
support and sustained selling pressure. Markets failed to
S&P CNX NIFTY Technical Levels show any resilience against the selling pressure. The markets
Level 1 Level 2 Level 3
ended the day with modest losses to close near the lows for
the day. The top losers for the day were Rel. Comm., Kotak
Support 5500 5364 5262
Bank, Sesa Goa, IDFC, Reliance, SAIL, PNB, Axis Bank, Rel.
Resistance 5600 5721 5885
Power and JP Associates.
Volume (Lacs Shares) Technically, the market breadth remained negative
21/07/11 20/07/11 % Chg. amidst lower volumes, which is a negative sign for the
BSE 3807 3911 -2.66 markets. The global market set of cues are positive. The
NSE 5293 6308 -16.08 domestic markets are likely to witness a gap up opening.
Total 9100 10219 -10.95 The technical negatives continued to weigh on the
Source – BSE & NSE bourses. The MACD, Stochastic, RSI and KST remain
placed below their respective averages, which is a
Turnover ( ` Crores)
negative sign for the markets. This would lead to regular
21/07/11 20/07/11 % Chg.
bouts of selling pressure. The Nifty continues to trade
BSE 2717.91 3165.65 -14.14 below its 200-day SMA. Moreover, the 50-day SMA
NSE 10013.07 11315.26 -11.51 remains placed below the 100-day SMA. The +DI line, the
NSE F&O 108522.48 133492.86 -18.71 ADX line and the -DI line continue to move in a sideways
Total 121253.46 147973.77 -18.06 pattern indicating the markets would remain range bound
Source – BSE & NSE trend. The market sentiment remains nervous and
Market Breadth (NSE)
tentative at higher levels. Occasional bouts of volatility
and choppiness are likely to be witnessed. Now, it is
Advances 503
important that the Nifty finds buying support at regular
Declines 942
intervals, if the markets have to test its long term 200-day
Same 69 SMA, which is placed around the 5721 level. In the
Total 1514 meanwhile the markets would take cues from the
A/D Ratio 0.53 : 1 earnings season, news flow on the progress of monsoon,
Source – NSE crude prices and the global markets. The support levels for
Moving Averages S&P CNX NIFTY Nifty are placed at 5500, 5364 and 5262. The Nifty faces
50 Day SMA 5507.81
resistance at the 5600, 5721, 5885 and 5911 levels.
◄Negative
100 Day SMA 5576.31
200 Day SMA 5720.35 ◄Negative
Intra-day Resistance Intra-day Support
Indices Close Pivot Point R1 R2 R3 S1 S2 S3
BSE SENSEX 18436 18473 18530 18624 18776 18379 18321 18170
S&P CNX NIFTY 5542 5551 5569 5597 5643 5523 5505 5459
NIFTY JULY FUT. 5544 5554 5576 5608 5661 5522 5501 5447
Sanjay Bhatia (AVP – Technicals), Email Id sanjay@keynotecapitals.net Yahoo Chat Id: keytechnicals@yahoo.in
Keynote Capitals Ltd.
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2. Short Term Trading Ideas Based On Technical Analysis (5 - 7 Days)
Stop
Initiation Stop Loss Target
Stock CMP Action Price Loss * (%) Target (%) Remarks
Apollo Tyre 74.60 Sell Below 73 77.25 5.82 66 9.59
Dish TV 85.35 Sell Below 84 87.25 3.87 79 5.95
Rel. Comm. 90.45 Sell Below 89 93.00 4.49 80 10.11
* Stop Losses are to be considered on Closing basis.
Keynote Capitals Ltd.
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4 Floor, Balmer Lawrie Bldg., 5, J. N. Heredia Marg, Ballard Estate, Fort, Mumbai, India – 400001. Tel: 3026 6000 / 2269 4322
www.keynotecapitals.com

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