Daily Technical Report
August 31, 2015
Sensex (26392) / Nifty (8002)
Exhibit 1: Nifty Daily Chart
On Friday, our benchmark index opened with an upside gap
owing to positive cues from the global markets. Post trading
with a positive bias throughout the first half, the Nifty resisted
around the 8100 mark and corrected significantly to give up
entire gains. The index then recovered marginally to end the
day with gains of 0.67%. Amongst the sectoral indices, the IT,
Auto and Oil & Gas were the gainers whereas Realty,
Consumer Durables and Healthcare ended with marginal
losses. The advance to decline ratio was marginally in favor of
the declining counters. (A=1285 D=1419) (Source-
www.bseindia.com).
Formations
The ’89-day EMA’ and the ’89-week EMA’ are placed
at 27623 / 8364 and 25925 / 7811 levels, respectively.
The ’20-day EMA’ and the ‘20-week EMA’ are placed
Source: Falcon
at 27141 / 8232 and 27702 / 8386 levels, respectively.
Actionable points:
Trading strategy:
View
Neutral
The Nifty witnessed massive volatility throughout the week,
Resistance Levels
8100 - 8225
leaving many investors caught on the wrong side of the trade.
Support Levels
7950 - 7850
At the previous week’s closing, the Nifty had given a hint by
breaking down from the four week congestion zone of 8650
Thus, we expect pessimism to continue in the market and
to
8315 with a ‘Breakaway Gap’. As a result, we were
expect the Nifty to retest 7800 - 7670 levels. However,
anticipating weakness in the market; but Monday’s fall was far
considering the extreme oversold condition of the daily
beyond our expectations. The Nifty opened on Monday with a
‘RSI-Smoothened’ momentum oscillator, we may witness
humongous downside gap (can be termed as a ‘Continuation
some time-wise correction rather than a price-wise pull back
Gap’), falling in line with the carnage in equity markets across
on the upside. A possible formation of ‘Lower Top Lower
the globe. There was no respite from the weakness as the
Bottom’ on the monthly chart along with the negative
session proceeded and the Nifty went on to break the recent
placement of the monthly ‘RSI-Smoothened’ supports our
swing low of 7940. In the process, the Nifty on Monday
hypothesis. Traders can use any bounce to lighten up
registered the biggest single day fall in the last seven years.
existing longs and to create fresh short positions. Having
Fortunately, the global episodes of extreme negativity
said that, we do not expect a similar crack down on the lines
condensed a bit and we witnessed a decent recovery, leading
of what we witnessed last Monday. The possibility of a
the Nifty to regain the 8000 mark on a weekly closing basis.
gentle slide is quite high. At this juncture, it’s advisable to
Technically speaking, although the Nifty managed to
trade with a proper exit strategy.
successfully defend the weekly ’89 EMA’ on a closing basis, we
are not so gung ho with this up move. We are interpreting it
as a relief rally and observing a strong resistance of a
downside gap area (8225.05 to 8060) created on Monday.
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Daily Technical Report
August 31, 2015
Bank Nifty Outlook - (17212)
Exhibit 2: Bank Nifty Daily Chart
On Friday, the Bank Nifty opened with gains of more than
200 points in line with the braoder market. The index
witnessd a buying interest in the initial hour of the trading
and as a result it managed to surpass the 17500 mark. But,
this otpimism was short lived as we witnessed a sharp
decline in the banking index at higher levels, which dragged
the Bank Nifty back to 17100. Due to some recovery
towards the fag end, the Bank Nifty ended the session on a
flat note. After a pull back move of last 3-4 sessions, the
Bank Nifty faced a resistance around the
38.20%
retracement level of the entire fall from
18896.45 to
16670.55. Going forward, support for Bank Nifty is seen at
17000 - 17050 zone and a sustainable move below this zone
may drag the index towards 16600 - 16500 levels. On the
flipside,
17550
-
17600 levels will now act a strong
resistance for the index.
Actionable points:
View
Neutral
Source: Falcon
Resistance Levels
17550 - 17600
Support Levels
17050 - 17000
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Daily Technical Report
August 31, 2015
Daily Pivot Levels for Nifty 50 Stocks
SCRIPS
S2
S1
PIVOT
R1
R2
SENSEX
26,033
26,213
26,450
26,630
26,867
NIFTY
7,888
7,945
8,018
8,075
8,149
BANKNIFTY
16,824
17,018
17,294
17,488
17,764
ACC
1,340
1,351
1,370
1,381
1,399
AMBUJACEM
200
203
208
211
216
ASIANPAINT
837
847
861
872
885
AXISBANK
486
497
513
524
540
BAJAJ-AUTO
2,167
2,223
2,258
2,315
2,350
BANKBARODA
175
180
186
191
198
BHARTIARTL
346
354
360
368
373
BHEL
227
231
235
239
243
BOSCHLTD
23,043
23,357
23,595
23,908
24,146
BPCL
836
849
858
871
880
CAIRN
138
142
146
150
154
CIPLA
640
650
665
675
690
COALINDIA
347
353
360
365
372
DRREDDY
4,113
4,147
4,193
4,227
4,273
GAIL
278
283
288
294
298
GRASIM
3,369
3,409
3,482
3,523
3,596
HCLTECH
913
933
944
963
974
HDFC
1,162
1,182
1,199
1,219
1,236
HDFCBANK
1,007
1,017
1,030
1,041
1,053
HEROMOTOCO
2,351
2,375
2,402
2,426
2,453
HINDALCO
78
80
82
84
87
HINDUNILVR
841
848
859
866
878
ICICIBANK
277
280
285
288
293
IDEA
150
152
154
156
157
INDUSINDBK
802
825
853
876
904
INFY
1,089
1,100
1,113
1,123
1,136
ITC
322
325
327
329
332
KOTAKBANK
629
638
650
659
671
LT
1,576
1,596
1,626
1,646
1,675
LUPIN
1,781
1,821
1,878
1,918
1,975
M&M
1,205
1,220
1,233
1,248
1,261
MARUTI
4,107
4,157
4,224
4,274
4,341
NMDC
94
97
99
102
104
NTPC
117
119
122
124
127
ONGC
234
239
243
247
251
PNB
137
140
145
148
153
POWERGRID
132
133
135
137
139
RELIANCE
857
865
874
882
891
SBIN
242
246
251
254
259
VEDL
91
94
96
99
102
SUNPHARMA
838
862
889
914
941
TATAMOTORS
332
336
339
343
346
TATAPOWER
58
60
61
62
64
TATASTEEL
218
223
229
235
240
TCS
2,528
2,549
2,579
2,601
2,630
TECHM
502
509
519
527
537
ULTRACEMCO
2,886
2,916
2,943
2,973
2,999
WIPRO
547
555
560
569
574
YESBANK
636
656
679
699
722
ZEEL
368
378
385
395
403
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Daily Technical Report
August 31, 2015
Research Team Tel: 022 - 30940000
E-mail: [email protected]
Website: www.angelbroking.com
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Sameet Chavan
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Technical Analyst
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