Market updates for 14/12/2012

 

Nifty hourly chart

 

 

 

In yesterday's post it was mentioned that there is a slow down in momentum and break out below 5875 will teke Nifty to 5840 . Refer previous post http://karthik4bullsnbears.blogspot.in/2012/12/dear-traders-i-have-started-conducting.html . Today Nifty made a low of 5841. There is room for further correction. Expected targets are 5810-5760-5740 (spot levels) .

 

Nifty Daily Chart 

 

 

Nifty is showing signs of exaution in hourly as well as in daily chart. RSI is overbought and showing signs of possible short term dip. It has  major support around 5740 which is likely to be tested. Reversal will be above 5900.

 

Chart of the day

 

SBI

 

 

SBI is one  of the out performer in the recent rally. It has made a rally of around 250 points. t has formed multiple tops around Rs.2250 breakout from this level will leed to fall towards 2200 and much below. However today we have created bearish position based on trend indicators. Lets see !

 

Nifty medium term trend

 

Trend	UP
Initiation Date	29-11-12
Initiated at	5825
High since change	5950
Reversal if closes below	5680

 

 

Thought for the day

 

We can gain experience from the past but we cannot relive it.  We can hope for the future but we don't know if there is  one.

 

 

 

 

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Market updates for 13/12/2012

 

Nifty hourly chart

 

 

 

Nifty has become flat from few trading sessions. After a rally of 400 points this contraction is obvious. RSI is showing signs of divergence and if Nifty sustains below 5875 (spot) then it may go down till 5840.

 

Chart of the day

 

BHEL

 

 

BHEL made a break out from resistance at Rs.240  and reached a high of  Rs.248. But this breakout was not sustained and now it has closed below the support and 20 DMA. It is expected to correct further.

 

Nifty medium term trend

 

Trend	UP
Initiation Date	29-11-12
Initiated at	5825
High since change	5950
Reversal if closes below	5680

 

 

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Thought for the day

 

All the powers in the universe is already ours. It is we who have put our hands before our eyes and cry that it is dark. Swami Vivekananda

 

 

 

 

 

 

 

 

Market updates for 12/12/2012

 

Tata Motors

 

 

Tata Motors is facing resistance around Rs.285. Wait for breakout above Rs.285 for continuation of up trend. It has trend line support around Rs.266 which can act as low risk entry level.

 

Bharti Airtel

 

 

Bharti Airtel had breached trend line resistance and reached a high of Rs.340. But now it has closed below the trend line support and oscilators like MACD and RSI are indicating sell. We have initiated short in Bharti at Rs.319 today it has closed at Rs.316 further fall is expected.

 

Nifty medium term trend

 

Trend	UP
Initiation Date	29-11-12
Initiated at	5825
High since change	5950
Reversal if closes below	5680

 

Thought for the day

 

He alone is entitled to be called a man who possess a thoughtful nature and feel for others in the same way as he does for his own self , does not fear unjust , however powerful , but fears the truly virtuous , however weak. - Dayananda Saraswati 

 

 

 

Market updates for 11/12/2012

 

Nifty daily chart

 

 

Nifty is consolidating in a narrow range. We cannot expect continuation of uptrend unless it breaks 5950 on closing basis. RSI is in extreme over bought position. However the disadvantage of RSI is that it can remain over bought for longer than expected time in a perfect trending market.

 

Wait for break out.

 

Chart of the day

 

TCS

 

 

TCS has breached 200 DMA as well as support at Rs.1260. It is forming lower high lower low which is a bearish formation. Further downfall is expected.

 

Nifty medium term trend

 

Trend	UP
Initiation Date	29-11-12
Initiated at	5825
High since change	5950
Reversal if closes below	5680

 

 

Thought for the day

 

India of the ages  is not dead nor she has spoken her last creative word : she lives and has still something to do for herself and to the human beings - Maharshi Aurobindo.

 

 

 

 

 

 

Market updates for 10/12/2012

 

Nifty weekly chart

 

In the previous posts it was mentioned that Nifty is likely to reach 5950 . Now it has completed 78.6% retracement. Earlier Nifty has made a peak at 5950 in April 2011 which can act as intermediary resistance. RSI is in over bought position and there could be possibility of a short term correction. If market corrects, then in worst case scenario, it may come down to 5700 which is trend line support. If Nifty sustains above 5940 then it will move towards 6000-6300.

 

Overall direction of Nifty from short term and medium term perspective remains bullish. Short term reversal is below 5780 and medium term reversal is below 5685.

Chart of the day

 

BHEL

 

 

 

BHEL has made multiple peaks at 240 and it has breached this level and sustained for 2 trading sessions. Also it is trading above 50 MA and momentum indicator is showing uptrend. We have initiated bullish strategy at Rs.241.

 

Lead

 

 

 

Lead faced resistance at Rs.123.2 and started falling. It has closed below Rs.121 which is 20 DMA and MACD is indicating sell. Based on above observation we have created short position at Rs.120. The reversal of the trend will be closing above Rs.123.20.

 

Nifty medium term trend

 

Trend	UP
Initiation Date	29-11-12
Initiated at	5825
High since change	5950
Reversal if closes below	5680

 

 

Thought for the day

 

Men occasionally stumble over the truth , but most of them pick themselves up and hurry off as if nothing has happened.