Daily Technical Report
May 26, 2014
Sensex (24693) / Nifty (7367)
Exhibit 1: Nifty Daily Chart
The concluding session of the week started on a positive
note as indicated by the SGX Nifty. As the day progressed,
we witnessed a strong buying interest across the broader
market, which pushed the index higher to close with more
than a percent. On the sectoral front, the Realty, Power and
Oil & Gas were among the major gainers; whereas the
FMCG and Consumer Durables sectors underperformed
our benchmark index. The advance to decline ratio was
strongly in favor of the advancing counters (A=2192
D=840) (Source-www.bseindia.com)
Formation
The ’89-day EMA’ and the ’89-week EMA’ are placed at
22188 / 6618 and 20271 / 6068 levels, respectively.
The ’20-day EMA’ and the ‘20-week EMA’ are placed at
23586 / 7040 and 22254 / 6640 levels, respectively.
Trading strategy:
Source: Falcon
The entire week’s movement was very much in-line with our
expectations. Though, the Nifty advanced by another two
Actionable points:
percent on a weekly closing basis, this up move should be
relatively considered as a ‘Narrow Range’ movement. Since,
View
Neutral
there is no major change in the chart structure, we continue
Support Level
7302
to maintain our view that the index is likely to move within
Resistance Level
7414
the wider range of 7564 to 7067 for some more time. The
market has undergone a sharp rally in the past two
consecutive weeks and the important event - the general
However, it is difficult to predict the precise time frame for
elections, has already unfolded. So a ‘Time-wise
the Nifty to reach this target. We reiterate that this market
Correction’, which is currently being witnessed, is essential
has now become a buy on dips market and advise traders
for the market from a longer term perspective. However,
to use any meaningful correction to accumulate stocks
individual stocks may continue to outperform the
with a value buying proposition. On the downside, the
benchmark Nifty.
strong base for the Nifty has now shifted to 6650 from
6350.
We broadly maintain our view that the Nifty has entered a
strong bull-run and is likely to make new highs over the next
few months considering the breakout of the ‘Bullish
Ascending Triangle’. Going forward, we expect the Nifty to
continue its upward momentum and test the 161.8% ‘Price
Extension’ level of 7750.
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Daily Technical Report
May 26, 2014
Bank Nifty Outlook - (15286)
Exhibit 2: Bank Nifty Daily Chart
On Friday, the Banking index too opened on a positive
note in line with the benchmark index. Subsequently,
strong buying interest was witnessed in few index
constituents. PSU banking heavyweight - State Bank of
India (SBI) surged by ten percent after posting a stellar set
of results (4QFY2014) on the day, which had a rub off
effect on stock prices of other PSU conglomerates. This
resulted in more than one and half a percent rally in the
banking index. Despite Friday’s up move, there is no
major change in the chart structure. Hence, we expect
Banking index to trade in a broader range of 15550 to
14850 over the next few trading sessions. Intraday
resistance and support level is seen at 15363 and 15128,
respectively.
Actionable points:
View
Neutral
Support Level
15128
Source: Falcon
Resistance Level
15363
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Daily Technical Report
May 26, 2014
Daily Pivot Levels for Nifty 50 Stocks
SCRIPS
S2
S1
PIVOT
R1
R2
SENSEX
24,362
24,527
24,637
24,803
24,912
NIFTY
7,260
7,314
7,347
7,401
7,434
BANKNIFTY
14,844
15,065
15,193
15,414
15,542
ACC
1,354
1,367
1,383
1,397
1,413
AMBUJACEM
206
210
214
218
222
ASIANPAINT
529
535
539
544
548
AXISBANK
1,826
1,845
1,859
1,879
1,893
BAJAJ-AUTO
1,946
1,961
1,980
1,996
2,015
BANKBARODA
912
933
946
968
981
BHARTIARTL
327
336
342
350
356
BHEL
258
265
272
279
287
BPCL
543
550
559
566
575
CAIRN
342
346
349
352
356
CIPLA
379
384
388
393
397
COALINDIA
385
391
396
402
406
DLF
206
212
217
223
228
DRREDDY
2,259
2,284
2,301
2,326
2,343
GAIL
410
418
424
432
438
GRASIM
2,870
2,936
2,983
3,049
3,096
HCLTECH
1,302
1,322
1,337
1,356
1,371
HDFC
909
921
930
941
950
HDFCBANK
771
781
792
801
812
HEROMOTOCO
2,296
2,323
2,342
2,369
2,388
HINDALCO
146
149
153
156
160
HINDUNILVR
552
557
564
568
575
ICICIBANK
1,434
1,447
1,459
1,472
1,483
IDFC
133
138
141
146
149
INDUSINDBK
538
550
565
577
592
INFY
2,925
2,997
3,084
3,156
3,243
ITC
336
339
344
348
353
JINDALSTEL
273
287
298
312
323
KOTAKBANK
858
868
883
893
908
LT
1,469
1,491
1,506
1,529
1,544
LUPIN
914
919
926
930
937
M&M
1,120
1,140
1,153
1,172
1,186
MARUTI
2,214
2,300
2,351
2,437
2,489
MCDOWELL-N
2,753
2,773
2,795
2,815
2,837
NMDC
170
174
179
183
187
NTPC
152
156
159
164
167
ONGC
385
397
404
415
422
PNB
960
999
1,021
1,060
1,083
POWERGRID
116
123
128
135
140
RELIANCE
1,090
1,109
1,120
1,139
1,150
RELINFRA
703
716
724
736
745
SBIN
2,396
2,575
2,676
2,855
2,956
SSLT
257
262
267
273
277
SUNPHARMA
577
581
584
587
591
TATAMOTORS
417
424
432
439
447
TATAPOWER
98
102
104
108
111
TATASTEEL
463
471
477
484
491
TCS
2,071
2,100
2,124
2,153
2,177
TECHM
1,709
1,748
1,777
1,816
1,845
ULTRACEMCO
2,216
2,243
2,263
2,290
2,310
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Daily Technical Report
May 26, 2014
Research Team Tel: 022 - 30940000
E-mail: [email protected]
Website: www.angelbroking.com
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Sameet Chavan
-
Technical Analyst
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