1. Daily Technical Outlook
18th May 2012
Indices * Close % Chg. Mirroring the divergent global market cues the domestic
BSE SENSEX 16070.48 0.25 markets witnessed a flat opening. The markets moved higher
S&P CNX NIFTY 4870.20 0.25 due to short covering and selective buying support. However,
NIFTY May FUT. 4852.30 -0.09 markets failed to sustain higher due to lack of follow up
India VIX 23.59 -0.50 buying support, which led to increased selling pressure. The
markets failed to show resilience and moved lower to trade in
S&P CNX NIFTY Technical Levels the negative giving away all the gains but managed to claw
Level 1 Level 2 Level 3 back in positive by the close. The markets ended the day with
Support 4777 4742 4624 modest gains to close near the lows for the day. The top
Resistance 4950 5070 5106 losers for the day L&T, Siemens, M&M, Rel. Infra, Cipla, Axis
Bank, Tata Power, BPCL, Asian Paints and Hindalco.
Moving Averages S&P CNX NIFTY
50 Day SMA 5207.88 Technically, the market breadth remained neutral amidst
100 Day SMA 5168.82 lower volumes. The global market cues are negative. The
200 Day SMA 5088.59 ◄ Critical domestic markets are likely to witness a gap down
opening. The prevailing technical negatives continued to
Market Breadth (NSE) * weigh on the market sentiment. The Nifty remains placed
Advances 736 below its 50-day SMA, 100-day SMA and 200-day SMA.
Declines 713 Further the KST, MACD and RSI are already placed below
Same 80 their respective averages. More so the KST and MACD
Total 1529 are still placed in the negative territory and warn of
A/D Ratio 1.03 : 1
impending selling pressure. These negative technical
conditions would lead to further selling pressure
Volume (Lacs Shares) * especially at higher levels. However, a few positive
17/05/12 16/05/12 % Chg. technical conditions still hold good. The Stochastic has
BSE 1702 1925 -11.58
again moved above its average. Moreover, the Stochastic
and RSI are still placed in the over sold zone. Further the
NSE 5801 6469 -10.32
Nifty’s 50-day SMA remains placed above Nifty’s 100-day
Total 7503 8394 -10.61
SMA and 200-day SMA. More so, the Nifty’s 100-day SMA
Turnover ( ` Crores) * is placed above the Nifty’s 200-day SMA. These positive
17/05/12 16/05/12 % Chg.
technical conditions would prompt short covering and
selective buying support at lower levels. However, The
BSE 1804.73 1847.18 -2.30
ADX line and +DI line are moving sideways, but –DI line
NSE 9737.46 10549.60 -7.70
has moved below its recent highs and has fallen below
NSE F&O 114385.69 123772.45 -7.58 the 30 level, indicating sellers have started covering their
Total 125927.88 136169.23 -7.52 short positions at lower levels. The market sentiment
remains negative. Now, it is important that the markets
F&O Contracts Traded (NSE) *
witness buying support at regular intervals for the Nifty
17/05/12 16/05/12 % Chg.
to move higher. The 4950 level remains a barrier for the
Index Fut. 458605 523890 -12.46 markets. In the meanwhile the markets would take cues
Stock Fut. 502827 509833 -1.37 from the USDINR, Q4 results season along with global
Index Opt. 3525250 3848831 -8.41 markets and the crude prices. The support levels for Nifty
Stock Opt. 212753 197134 7.92 are placed at 4777, 4742, 4624 and 4530. The Nifty faces
Total 4699435 5079688 -6.06 resistance at the 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
AB Nuvo 744.20 Sell Below 743 759.00 2.15 708 4.71
TGT of 87
Achieved
given Sell @
91.50 on
IDBI Bank 86.70 Sell Below 86 88.75 3.20 80 6.98 10/05/12
Pantaloon Retail 131.95 Sell Below 131 133.75 2.10 125 4.58
* 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 16070 16106 16204 16338 16571 15972 15874 15642
S&P CNX NIFTY 4870 4881 4912 4953 5025 4840 4809 4737
NIFTY MAY FUT. 4852 4865 4899 4946 5027 4818 4783 4702
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, Arvind, Bank of India, BEL, Bharat Forge, Cipla, Federal Bank, FT, Fortis, Hindalco, Hind. Zinc, IDBI Bank, JSW
Steel, Pantaloon Retail, Petronet, Rel. Infra, Siemens, Sun Pharma, Sun TV, Titan, Voltas
Ambuja Cements, Bank of Baroda, Cairn India, CESC, Colgate, Delta Corp; Dish TV, GE Shipping, Max India, McLeod
Russel, Suzlon, Uniphos, Videocon
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