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1. Technical View (Equity)
Daily call
Index CMP % up/dn S2 S1 P R1 R2
Nifty 10,831.40 -0.53% 10770 10800 10855 10885 10940
Sensex 36153.62 -0.66% 35895 36025 36245 36375 36595
Nifty Daily Chart
Comments:
Nifty opened with a downward gap and witnessed consolidation in initial hours. However last hour
selling pressure in second half dragged index lower to close near the day's low. Nifty closed at 10831
with a loss of 57 points.
On the daily chart the index has formed a bearish candle forming lower High-Low compare to previous
session indicating negative bias. Nifty is trading at its 50 day SMA which will remain crucial support zone
for Nifty in near term. The chart pattern suggests that if Nifty breaks and sustains below 10800 levels it
would witness selling which would lead the index towards 10750-10700 levels. However if index crosses
above 10900 level it would witness pullback rally which would take the index towards 10930-10970
levels. Nifty is trading below its 20 day SMA which indicating negative bias in the short term. Nifty
continues to remain in a downtrend in the short term, so exit on small pullback rallies to be our
preferred strategy.
The daily strength indicator RSI and momentum oscillator Stochastic both are moving downwards and
are below their respective reference lines indicating negative bias
The trend deciding level for the day is 10855. If NIFTY trades above this level then we may witness a
further rally up to 10885-10940-10975 levels. However, if NIFTY trades below 10855 levels then we may
see some profit booking initiating in the market, which may correct up to 10800-10770-10715 levels
Stocks to focus for intraday Long Sunpharma, Ncc, Jindalstel, Ajantpharm,
Balkrisind
Stocks to focus for intraday Short Bajfinance, Niittech, Voltas, Havells, Icicibank