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1. Technical View (Equity)
Daily call
Index CMP % up/dn S2 S1 P R1 R2
Nifty 11,369.90 0.73% 11210 11285 11335 11420 11460
Sensex 37717.96 0.81% 36195 37455 37605 37865 38015
Nifty Daily Chart
Comments:
Nifty opened with an upward gap and witnessed selling for most part of the session. However last hour
pullback action pulled index higher to close on day’s high. Nifty closed at 11370 with a gain of 82 points.
On the daily chart the index has formed a small Bullish candle carrying long lower shadow indicating
buying support at lower levels. The index is moving in a Lower Top and Lower Bottom formation on the
daily chart indicating negative bias. The chart pattern suggests that if Nifty breaks and sustains below
11350 level it would witness selling which would lead the index towards 11280-11230 levels. However if
index crosses above 11390 level it would witness pullback rally which would take the index towards
11440-11470. Nifty is trading below its 20 day SMA’s 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 have both turned negative and are
below their respective reference lines indicating negative bias
The trend deciding level for the day is 11335. If NIFTY trades above this level then we may witness a
further rally up to 11415-11465-11550 levels. However, if NIFTY trades below 11335 levels then we may
see some profit booking initiating in the market, which may correct up to 11285-11205-11155 levels.
Stocks to focus for intraday Long ABB, Amarajabat, Bajaj Auto, Coffeeday,
Hindalco ,Reliance ,Sunpharma
Stocks to focus for intraday Short Aban offshore , Abcapital, JK Tyre, DBL,
Repcohome,VIPIND