1. Daily Technical Outlook
17th May 2012
Indices * Close % Chg. Mirroring the negative global market cues the domestic
BSE SENSEX 16030.09 -1.83 markets witnessed a gap down opening. Sustained selling
S&P CNX NIFTY 4858.25 -1.71 pressure was witnessed as the markets drifted lower in the
NIFTY May FUT. 4856.90 -1.73 morning trade. However, the markets managed to come off
India VIX 23.71 6.41 the lows for the day on back of short covering and selective
buying support. The markets ended the day with high losses
S&P CNX NIFTY Technical Levels to close near the lows for the day. The top losers for the day
Level 1 Level 2 Level 3 Tata Motors, SAIL, Tata Steel, HDFC, BHEL, Hindalco, Rel.
Support 4777 4742 4636 Infra, Jindal Steel, Wipro and JP Associates.
Resistance 4950 5070 5106
Technically, the market breadth remained negative
Moving Averages S&P CNX NIFTY amidst higher volumes, which is a negative sign for the
50 Day SMA 5216.09 markets. The global market cues are largely negative.
100 Day SMA 5167.91 The domestic markets are likely to witness a flat opening.
200 Day SMA 5091.97 ◄ Crucial The prevailing technical negatives continued to weigh on
the market sentiment. The Nifty remains placed below its
Market Breadth (NSE) * 50-day SMA, 100-day SMA and 200-day SMA. Moreover,
Advances 388 the Stochastic has again slipped below its average.
Declines 1075 Further the KST, MACD and RSI are already placed below
Same 75 their respective averages. More so the KST and MACD
Total 1538 are placed in the negative territory and warn of
A/D Ratio 0.36 : 1
impending selling pressure. These negative technical
conditions would lead to further selling pressure.
Volume (Lacs Shares) * However, a few positive technical conditions still hold
16/05/12 15/05/12 % Chg. good. The Stochastic and RSI are still placed in the over
BSE 1925 1758 9.50
sold zone. Moreover, the Nifty’s 50-day SMA remains
placed above Nifty’s 100-day SMA and 200-day SMA.
NSE 6469 5960 8.54
More so, the Nifty’s 100-day SMA is placed above the
Total 8394 7718 8.76
Nifty’s 200-day SMA. These positive technical conditions
Turnover ( ` Crores) * would prompt short covering and selective buying
16/05/12 15/05/12 % Chg.
support at lower levels. However, The ADX line and +DI
line are moving sideways, but –DI line is placed at the
BSE 1847.18 1816.58 1.68
31.63 level and has started falling from its recent highs,
NSE 10549.60 9727.75 8.45
indicating sellers have started covering their short
NSE F&O 123772.45 101977.99 21.37 positions at lower levels. The market sentiment remains
Total 136169.23 113522.32 19.95 negative. Now, it is important that the markets witness
buying support at regular intervals for the Nifty to move
F&O Contracts Traded (NSE) *
higher. The 4950 and 200-day SMA remains a crucial
16/05/12 15/05/12 % Chg.
resistance level for the markets. In the meanwhile the
Index Fut. 523890 435781 20.22 markets would take cues from the monthly inflation data,
Stock Fut. 509833 472374 7.93 USDINR, Q4 results season along with global markets
Index Opt. 3848831 3059328 25.81 and the crude prices. The support levels for Nifty are placed
Stock Opt. 197134 179296 9.95 at 4777, 4742 and 4636. The Nifty faces resistance at the
Total 5079688 4146779 19.47 4950, 5070, 5106 and 5250 levels.
NOTE - *- Source – BSE & NSE
Sanjay Bhatia (AVP – Technicals), Email Id sanjay@keynotecapitals.net Yahoo Chat Id: keytechnicals@yahoo.in
Keynote Capitals Ltd.
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The Ruby, 9 Floor, Senapati Bapat Marg, Dadar (W), Mumbai, India – 400028. Tel: 3026 6000 / 2269 4322
www.keynotecapitals.com

2. Short Term Trading Ideas Based On Technical Analysis (5 - 7 Days)
Stop
Initiation Stop Loss Target
Stock Close Action Price Loss * (%) Target (%) Remarks
Bank of Baroda 641.05 Buy Above 645 633.00 1.86 670 3.88
BPCL 752.10 Buy Above 755 736.50 2.45 796 5.43
Cummins 450.30 Buy Above 455 438.75 3.57 491 7.91
* Stop Losses are to be considered strictly on closing basis.
Intra-day Resistance Intra-day Support
Indices Close Pivot Point R1 R2 R3 S1 S2 S3
BSE SENSEX 16030 16046 16117 16204 16362 15959 15888 15730
S&P CNX NIFTY 4858 4859 4881 4904 4950 4836 4814 4769
NIFTY MAY FUT. 4857 4854 4881 4906 4957 4830 4803 4752
Keynote Capitals Ltd.
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The Ruby, 9 Floor, Senapati Bapat Marg, Dadar (W), Mumbai, India – 400028. Tel: 3026 6000 / 2269 4322
www.keynotecapitals.com

3. Stocks to watch out today
AB Nuvo, Areva, BEL, BHEL, Coal India, GAIL, HUL, Indusind Bank, ITC, Jet Airways, Maruti, NTPC, Oil India, Sun TV, Tata
Communication, Tata Motors, Tata Motors DVR, Titan, Union Bank
Asian Paints, Bajaj Auto, Delta Corp; IRB, Jain Irrigation, Jubiliant Foods, Kotak Bank, Max India, MRF, Powergrid,
Sterlite, Tata Global, Ultratech, Unitech, VIP, ZEEL
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