Technical Research | November 28, 2011
Daily Technical Report
Sensex (15695) / NIFTY (4710)
Exhibit 1: Nifty Daily Chart
On Friday, yet another session began on a pessimistic note
and traded with negative bias throughout the day,
confirming the lowest Weekly close (4710) in last two years.
On the upside, indices faced intraday resistance near 4775
level, which coincides with the value of “5 Day EMA”. On
the sectoral front, IT, Metal and Teck counters were among
the major losers, whereas Consumer goods and Realty
ended on a positive note. The advance decline ratio was in
favour of advancing counters (A=1550 D=1218). (Source
-www.bseindia.com)
Formation
• Momentum oscillators viz. the RSI and the Stochastic on
Source: Falcon
the Weekly chart are negatively poised.
Actionable points:
• We are witnessing a negative crossover in “3 & 8 EMA”
on Weekly chart.
View
Neutral
Resistance levels
4780 - 4854
• On the Weekly chart, we are observing a “Horizontal
Support level
4640
Line” which coincides with our mentioned support level of
15330 / 4540.
Trading strategy:
In a worst case scenario, if indices sustain below 15330 /
After several attempts, finally bears managed to break
4540 level then the possibility of testing monthly
50%
Fibonacci retracement level of the rise from 7697 / 2252
important support level of 15745 / 4718 and indices closed
(October 31, 2008) to 21108 / 6338 (November 30, 2010)
below this support after nearly two years. After breaching
cannot be ruled out. This retracement level is at 14400 /
15745 / 4718 level, indices traded within the price range of
4300.
Wednesday’s trading session. Therefore, going forward,
Wednesday’s high of 15970 / 4780 may act as a resistance
Therefore, we reiterate our view that traders should stay
in coming trading sessions. If indices manage to sustain
light on positions and follow strict stop losses.
above this level, then they are likely to test 16213 - 16400
/ 4854 - 4930 levels. However, the Weekly momentum
oscillators and “3 & 8 EMA” are still negatively poised. As a
result, violation of
15479 / 4639 level may reinforce
negative momentum and then indices may drift towards the
next support level of 15330 / 4540. This level coincides
with the Weekly “Horizontal Line” support.
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1
Technical Research | November 28, 2011
Bank Nifty Outlook - (8489)
Exhibit 2: Bank Nifty Daily Chart
Bank Nifty opened on a flat note and traded in a narrow
range throughout the session. During the week, Bank
Nifty tested the 50% Fibonacci retracement level (8320) of
the rise from 3339 (06th March 2009) to 13301 (12th
November 2010) and managed to give a close well
above that. On the daily chart, technical indicator viz. the
“ADX (14)” is at 28.76 mark, which suggest that the
downtrend is gaining strength. However, due to oversold
condition of the momentum oscillators on the daily chart,
the possibility of a bounce back cannot be ruled out. In
such a scenario, if Bank Nifty sustains above Friday’s high
of 8559, then it is likely to test 8626 - 8700 levels. On
the downside, 8360 - 8275 levels may act as support
levels for the day.
Actionable points:
View
Neutral
Resistance levels
8559 - 8700
Support Levels
8360 - 8275
Source: Falcon
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2
Technical Research | November 28, 2011
Positive Bias:
Stock Name
5 Day EMA
20 Day EMA
Expected Target
Remarks
Apollo Tyre
62.4
59.9
71.4
View will change below 60
NMDC
187.7
207.8
207
View will change below 177
Negative Bias:
Stock Name
5 Day EMA
20 Day EMA
Expected Target
Remarks
Rpower
88.6
91.7
83.5
View will change above 93
Maruti
963.8
1016.7
910
View will change above 1000
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3
Technical Research | November 28, 2011
Daily Pivot Levels for Nifty 50 Stocks
SCRIPS
S2
S1
PIVOT
R1
R2
SENSEX
15,499
15,597
15,744
15,842
15,989
NIFTY
4,649
4,680
4,723
4,754
4,798
BANKNIFTY
8,271
8,380
8,469
8,578
8,667
ACC
1,084
1,102
1,116
1,134
1,147
AMBUJACEM
142
144
147
150
153
AXISBANK
931
949
964
982
996
BAJAJ-AUTO
1,604
1,622
1,648
1,665
1,691
BHARTIARTL
364
370
376
381
388
BHEL
253
261
269
277
285
BPCL
480
499
511
530
542
CAIRN
290
294
299
303
307
CIPLA
308
312
317
322
327
DLF
187
195
203
212
220
DRREDDY
1,514
1,527
1,546
1,559
1,578
GAIL
379
382
386
389
394
HCLTECH
379
383
388
392
397
HDFC
598
606
615
622
631
HDFCBANK
412
422
428
438
444
HEROMOTOCO
1,979
2,008
2,051
2,080
2,123
HINDALCO
110
112
115
117
120
HINDUNILVR
367
371
378
382
389
ICICIBANK
700
709
722
731
744
IDFC
101
104
107
109
112
INFY
2,551
2,575
2,615
2,639
2,679
ITC
190
191
192
193
194
JINDALSTEL
475
481
491
497
507
JPASSOCIAT
59
60
61
62
63
KOTAKBANK
428
438
445
455
462
LT
1,178
1,222
1,254
1,298
1,330
M&M
681
694
709
722
738
MARUTI
917
933
963
979
1,009
NTPC
152
155
158
160
163
ONGC
246
249
251
255
257
PNB
856
868
881
893
905
POWERGRID
94
95
96
97
99
RANBAXY
417
429
440
452
463
RCOM
67
68
70
71
73
RELCAPITAL
265
270
280
285
295
RELIANCE
738
746
759
766
779
RELINFRA
382
389
398
406
415
RPOWER
82
84
86
88
91
SAIL
79
81
83
84
87
SBIN
1,611
1,651
1,675
1,715
1,739
SESAGOA
166
169
172
175
178
SIEMENS
655
672
685
702
716
STER
96
98
101
103
107
SUNPHARMA
479
485
495
501
511
SUZLON
21
22
23
23
24
TATAMOTORS
163
168
174
178
184
TATAPOWER
90
91
92
94
95
TATASTEEL
367
371
376
380
385
TCS
1,039
1,051
1,070
1,082
1,100
WIPRO
361
366
369
374
377
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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