Market updates for 31/07/2012

Nifty hourly chart

In previous trading sessions Nifty has closed below 5100 which is 200 DMA. Today's trading session was dominated by bulls and Nifty shut shop at 5199 up by 99 points.

In the above mentioned chart you can see that Nifty has broken out of descending trend line which is constructed by joining 5350-5258. Hourly chart is indicating short term uptrend and the expected targets are 5250-5300.

Nifty daily chart

.In daily chart Nifty was trading within a sloping channel. Today Nifty has closed above this channel which is bullish sign moreover it has  also closed above important moving averages like 200 DMA and 100 DMA. Nifty is expected to test 5250-5300 in short term.

Chart of the day

Tata Steel

In the recent down trend metal sector , being a high beta sector , was badly beaten. But now there are signs of turn around in the trend. Today Tata steel being a leader in the sector has gained  nearly 2.5%. Tata Steel has major support at Rs.388 and form past two trading sessions it showing signs of strength by bouncing back from this level. The expected targets are 418-427.

Open positions

Scrip	Type	Qty	Price	CMP	P/L
Tata Steel	Long	100	406	410.5	450
Nifty 5300 CE	Long	50	53	53	0

 

Today's Trade

Scrip	Qty	Buy Price	Sell Price	P/L
Nifty Aug fut	50	5126	5205	-3950
Nifty 5200 CE	50	72	95	1150
Tata Steel	100	406
Nifty 5300 CE	50	53

Nifty medium term trend

Trend	Down
Initiation Date	26/07/2012
Initiated at	5043
Low since change	5043
Reversal if closes above	5283

Thought for the day

Most people do not want freedom because freedom involves responsibility and most people are frightened of responsibility - Sigmund Freud