1. Daily Technical Outlook
25th July 2012
Indices * Close % Chg.
BSE SENSEX 16918.08 0.24
Nifty takes support around its 200-day SMA
S&P CNX NIFTY 5128.20 0.20
The domestic markets witnessed a flat opening. It struggled
NIFTY JULY FUT. 5135.35 0.29
to find a direction and remained range bound. For the better
India VIX 16.97 -9.05 part of the day. However, increased selling pressure was
S&P CNX NIFTY Technical Levels witnessed in the afternoon trade on back of weak European
cues. As we had indicated in our last report the Nifty tested its
Level 1 Level 2 Level 3
200-day SMA but managed to take support around this level
Support 5114 51012 4950
and managed to bounce back. The markets ended the day
Resistance 5250 5333 5379 with modest gains to close near the highs for the day, inching
Simple Moving Averages S&P CNX NIFTY closer to its 200-day SMA. The top gainers for the day were
50 Day SMA 5093.52
DLF, Bharti Airtel, Hindalco, GAIL, PNB, HDFC, Sesa Goa,
Rel. Infra, BPCL and Coal India.
100 Day SMA 5159.81
200 Day SMA 5102.48 ◄Critical Technically, the market breadth remained negative
amidst higher volumes, which is a negative sign for the
Market Breadth * BSE NSE
markets. The global market cues are negative. The
Advances 1391 698
domestic markets are likely to witness a subdue opening.
Declines 1396 767 The prevailing technical negatives continued to weigh on
Same 130 86 market sentiment. The Stochastic, MACD, RSI and KST
Total 2917 1551 all remain placed below their respective averages.
A/D Ratio 0.99 : 1 0.91 : 1 Further, the MACD and KST are placed in the negative
and warn of impending selling pressure. The Nifty’s 50-
Volume (Lacs Shares) * day SMA remains placed below its 100-day SMA and 200-
24/07/12 23/07/12 % Chg. day SMA. Moreover, the Nifty remains placed below its
BSE 1744 2169 -19.59 100-day SMA. These negative technical conditions would
NSE 5508 4788 15.06 continue to prompt selling pressure at regular intervals.
Total 7252 6957 4.25 The only silver lining for the market remains the
Stochastic being placed in the over sold zone, which
Turnover ( ` Crores) * would lead to short covering. Moreover, the Nifty being
24/07/12 23/07/12 % Chg. placed above its 50-day SMA and 200-day SMA but these
BSE 1818.13 1636.47 11.10 are likely to be breached in the near future. The ADX line,
NSE 8621.12 7783.35 10.76
+DI line and - DI line are moving sideways, indicating a
range bound trend. The market sentiment remains
NSE F&O 151384.66 152550.62 -0.76
negative as the markets continue to lack strength and
Total 161823.91 161970.44 -0.09
buying support remains absent. Now it is important that
F&O Contracts Traded (NSE) * the Nifty does not breach its 200-day SMA on a closing
24/07/12 23/07/12 % Chg.
basis otherwise increased selling pressure is likely to be
witnessed. The markets would witness intermediate
Index Fut. 596099 469297 27.02
bouts of volatility ahead of the derivative segment expiry.
Stock Fut. 927396 750963 23.49
In the meanwhile the markets would take cues from the
Index Opt. 4058933 4353317 -6.76 earnings season, Rupee, global markets and the crude
Stock Opt. 219377 254592 -13.83 prices. The support levels for Nifty are placed at 5114, 5102
Total 5801805 5828169 -5.66 and 4950. The Nifty faces resistance at the 5250, 5333,
NOTE - * - Source – BSE & NSE
5379, 5464 and 5500 levels.
Sanjay Bhatia (AVP – Technical Research), Email sanjay@keynotecapitals.net Yahoo 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. Jaldi 5
(Short Term Technical Ideas for 5 Trading Days)
Stop
Initiation Stop Loss Target
Stock Close Action Price Loss * (%) Target (%) Remarks
Andhra Bank Fut 108.30 Sell Below 107.35 110.25 2.70 101 5.92
Ashok Leyland Fut 23.30 Sell Below 23.00 24.80 7.83 19 17.39
Bajaj Hind 35.10 Buy Above 36.00 34.50 4.17 39 6.94
Balrampur Chini 62.30 Buy Above 62.70 60.75 3.11 67 6.86
* 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 16918 16907 16974 17030 17153 16851 16784 16661
S&P CNX NIFTY 5128 5125 5147 5166 5207 5106 5084 5044
NIFTY JULY FUT. 5135 5132 5156 5178 5223 5111 5086 5040
Stocks To Watch Out Today
Bajaj Hindustan; Balrampur Chini, Bata, Colgate, HUL, McLeod Russel, Oil India, Opto Circuit, ZEE Telefilms
Aban, ABB, Allahabad Bank, Andhra Bank, BF Utilities, BGR Energy, Bharti Airtel, BPCL, Canara bank, CESC, GAIL, HDFC,
HDFC Bank, HDIL, Hindalco, HOECL, ICICI Bank, IDBI Bank, IDFC, IFCI, IRB Infra, ITC, JP Associates, Kotak Bank, LIC
Hsg; Maruti, NTPC, Pantaloon Retail, PFC, Powergrid, Sterlite, Tata Steel, Yes Bank
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. NOTE:
TECHNICAL ANALYSIS ABBREVATIONS
SMA – Simple Moving Average
EMA – Exponential Moving Average
WMA – Weighted Moving Average
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