Market Update for 20/06/2012

 

Nifty Hourly Chart

                                                     

Nifty has managed to bounce back from the intermediate support at 5047 and closed at 5103 up by 39 points. Now Nifty is expected to touch 5143 which is upper part of the range.  If Nifty sustains above 5143 then we can expect a target of 5200 and above. Market can remain choppy as RBI policy is behind us. The short term reversal of the trend can happen if Nifty sustains below 5047.

Nifty Daily Chart

Nifty is trading between 5050 to 5150 from few trading sessions. Whenever an Index or Stock trades in a range one day there will optimism in the market and next day pessimism. So traders should wait for breakout from the range before carrying the positions. The short term trend of Nifty will be up until it is above 5000.

Charts of the day

Infosys Ltd

Today short in Infy was recommended to traders. The reason behind this is Infy was in uptrend from 2351 levels and it made a high of 2543. In this rally it formed a ascending channel. The peaks of the channel are 2463 and 2543 and bottoms are at 2393, 2418, 2473. Now in hourly chart this channel is broken and Infy is expected to reach Rs.2445-2430 and below and reversal is above Rs. 2500.

Bank of Baroda

In today's session BoB is one of the losers in Banking sector. BoB is down by 1.2% and closed at Rs.669.60. In the above mentioned daily chart you can observe that it has closed right at the trend line. Its a make or break situation. MACD is showing a sell indication and there is every possibility that BoB can give a downside breakout. If it closes below Rs.669 for a day then the expected target is Rs.639 and reversal will be above Rs.Rs.674.

Open Positions

Scrip	Type	Qty	Price	CMP	P/L
Havells	Long	150	545	539	-900
SBIN 2100 PE	Long	125	69	45.95	-2875
SBIN 2000 PE	Short	125	26	14.5	1437
Infy fut	Short	125	2472	2488	-2000
Infy 2500 CE	Long	125	28	34	750

Today's Trade 

Scrip	Qty	Buy Price	Sell Price	P/L
SBIN 2100 PE	125	69
SBIN 2000 PE	125		26
Bank Nifty Fut	25	9600	9760	4000
Bank Nifty 9800 CE	25	90	156	-1650
Infy fut	125	2472
Infy 2500 CE	125	28

Nifty Medium Term View

Trend	Up
Date	12/06/2012
Initiated at	5116
Reversal if closes above	4880

Thought for the day

  "I try to buy stock in businesses that are so wonderful that an idiot can run them. Because sooner or later, one will." - Warren Buffett