Technical Research | December 20, 2011
Daily Technical Report
Sensex (15349) / NIFTY (4613)
Exhibit 1: Nifty Daily Chart
We witnessed a pessimistic opening in yesterday’s session
and indices remained under pressure during the first half.
However, a bounce during the latter part of the day pushed
markets to close marginally above 4600 mark. On the
sectoral front, Capital Goods, Banking and Realty were
among the major losers, whereas Oil & Gas and FMCG
sectors ended on a gaining side. The advance to decline
ratio was strongly in favor of declining counters. (A=744
D=2030). (Source -www.bseindia.com)
Formation
• On the Daily chart, we are witnessing a “Downward
Sloping Trend Line” joining two lows of 15760 - 15479 /
4728 - 4639.
Source: Falcon
• The Daily chart depicts a “Bullish Hammer”. This
Actionable points:
pattern needs a confirmation.
Trading strategy:
View
Neutral
After a weak opening, indices continued to drift lower
Resistance levels
4623 - 4672 - 4730
Support level
4555
towards the mentioned support level
15330
/
4540.
Subsequently, indices found decent intraday support near
this level and bounced almost near the initial opening level.
Hence, we are now observing a “Bullish Hammer” pattern
near this downward sloping trend line support zone. This
pattern requires a confirmation in the form of crossing and
closing above the high of the candle which is 15440 / 4623
level. If indices manage to sustain above yesterday’s high,
then they are likely to bounce towards 15590 - 15750 /
4672 - 4730 levels. On the downside, yesterday’s low of
15190 / 4555 may act a support in coming trading
sessions. A breach of this low would negate the implication
of “Bullish Hammer” pattern.
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1
Technical Research | December 20, 2011
Bank Nifty Outlook - (7921)
Exhibit 2: Bank Nifty Daily Chart
Bank nifty opened with a downside gap and selling
pressure during the first half of the session led the index
to test 7800 level. The index has closed well below the
trend line support mentioned in our previous report. The
mentioned trend line was providing support to the index
since past three months. The “ADX (14)” indicator is rising
and is currently placed at 26.04, which suggests that the
downtrend is gaining strength. In coming trading session,
on the downside 7801 - 7600 levels are likely to act as
support and 8107 - 8172 levels are likely to act as
resistance.
Actionable points:
View
Neutral
Resistance Level
8107 - 8172
Support Level
7801 - 7600
Source: Falcon
Stock Recommendations:
Exhibit 3: Exide Industries (December Futures)
Stock - Exide Industries (December Futures)
Action - Sell
Last close
` 111.10
Sell Below
` 109
Stop Loss
` 114.5
Target
` 97
Justification - On the Daily chart, we are witnessing an
upward sloping trend line break down at ` 111 along with
the momentum oscillators which are negatively poised. On
the Monthly chart, we are observing a negative crossover in
“5 & 20 EMA” which can lead to a sharp fall below ` 108.
We advise selling the stock ONLY below ` 109 for a target
of ` 97 in coming 5 - 6 trading sessions.
Source: Falcon
For Private Circulation Only |
2
Technical Research | December 20, 2011
Positive Bias:
Expected
Stock Name
CMP
5 Day EMA
20 Day EMA
Remarks
Target
Tata Motors
180
177.3
179.4
190
View will change below 173
Tata Comm
206.2
200.8
194.6
215
View will change below 198
Negative Bias:
Expected
Stock Name
CMP
5 Day EMA
20 Day EMA
Remarks
Target
INFY
2676
2710
2710
2600
View will change above 2722
REC LTD.
163.9
172.5
181
153
View will change above 175
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3
Technical Research | December 20, 2011
Daily Pivot Levels for Nifty 50 Stocks
SCRIPS
S2
S1
PIVOT
R1
R2
SENSEX
15,087
15,233
15,337
15,483
15,586
NIFTY
4,530
4,572
4,597
4,639
4,665
BANKNIFTY
7,627
7,774
7,948
8,095
8,269
ACC
1,097
1,113
1,127
1,144
1,158
AMBUJACEM
148
151
154
157
160
AXISBANK
788
819
858
889
928
BAJAJ-AUTO
1,610
1,625
1,642
1,657
1,674
BHARTIARTL
312
324
334
346
356
BHEL
221
226
233
238
245
BPCL
511
518
527
534
544
CAIRN
284
297
304
317
324
CIPLA
321
327
332
338
343
DLF
180
185
189
194
199
DRREDDY
1,546
1,568
1,587
1,609
1,627
GAIL
360
368
374
383
389
HCLTECH
400
406
413
419
426
HDFC
590
604
614
628
638
HDFCBANK
394
400
406
413
419
HEROMOTOCO
1,847
1,880
1,912
1,945
1,976
HINDALCO
121
123
125
127
129
HINDUNILVR
384
390
395
401
405
ICICIBANK
626
641
657
672
688
IDFC
98
100
102
104
106
INFY
2,631
2,654
2,679
2,701
2,726
ITC
190
194
196
200
202
JINDALSTEL
482
491
501
510
521
JPASSOCIAT
56
57
58
59
60
KOTAKBANK
455
461
472
478
489
LT
1,000
1,016
1,042
1,058
1,084
M&M
632
642
653
664
675
MARUTI
885
901
916
932
947
NTPC
155
157
159
162
164
ONGC
242
244
247
250
253
PNB
759
779
802
822
845
POWERGRID
95
97
98
101
102
RANBAXY
358
371
378
391
398
RCOM
62
63
65
67
68
RELCAPITAL
227
232
239
244
251
RELIANCE
705
720
730
745
755
RELINFRA
329
340
347
359
366
RPOWER
71
72
73
74
76
SAIL
71
74
76
79
80
SBIN
1,562
1,595
1,630
1,663
1,698
SESAGOA
152
155
157
161
163
SIEMENS
633
638
644
649
655
STER
85
87
89
91
93
SUNPHARMA
491
500
508
516
524
SUZLON
17
17
18
19
20
TATAMOTORS
165
173
176
184
188
TATAPOWER
83
85
86
88
90
TATASTEEL
350
357
361
368
372
TCS
1,095
1,120
1,138
1,163
1,181
WIPRO
388
396
400
409
413
Technical Research Team
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4
Technical Report
RESEARCH TEAM
Shardul Kulkarni
Head - Technicals
Sameet Chavan
Technical Analyst
Sacchitanand Uttekar
Technical Analyst
Mehul Kothari
Technical Analyst
Ankur Lakhotia
Technical Analyst
For any Queries, Suggestions and Feedback kindly mail to [email protected]
Research Team: 022-3952 6600
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