Market update for 31/08/2012

 

Nifty daily chart

 

Today's trading session was highly volatile particularly in last one hour because of FnO expiry. Nifty made a low of 5255 and bounced back. It closed at 5315 up by 27 points. Major support for Nifty exists at 5250 and resistance at 5350. The broader range of the Nifty is expected to be between 5220-5350.

 

The sentiment of the traders may be bearish but the chart structure shows that Nifty will get lot of supports in the range 5250-5200. Moreover many index companies are at important support levels. Unless some major negative event happens Nifty is not going to break 5250-5200. If 5200 is breached next target will be at 5000.

 

Nifty has recovered from the day's low of 5255 if Nifty reaches 5350 then short can be initiated and stop loss will be closing above 5350.

Nifty weekly chart

The chart structure of Nifty is clearly visible in weekly chart. You can see in the chart that at 5250 there are multiple support and resistance is at 5440 which defines the broader range of market.

Chart of the day

 

Crude Oil

 

The overall trend of the crude oil is up. But the momentum is slowing down and technical indicators like RSI and MACD are showing a possible down trend in short term. Crude oil may come down to 5250 level which is the lower part of the channel.

 

Nifty Medium term trend

 

Trend	UP
Initiation Date	07/08/20122
Initiated at	5336
High since change	5448
Reversal if closes below	5180

 

 

Open Positions

 

Scrip	Type	Price	CMP	P/L
Britannia	Long	486	488	2

 

Positions squared off

 

 

Scrip	Buy Price	Sell Price	P/L
Bank Nifty Sept 10100 PE 2 Lots	160	240	160
Bank Nifty sep 10200 CE 1 Lot	240	143	-97

 

 

Intraday Trades

 

Scrip	Buy Price	Sell Price	P/L
Tata Motors	232	237	5

 

 

Thought for the day

 

Don't handicap your children by making their lives easy.

 

 

Market updates for 30/08/2012

 

Nifty Daily Chart

 

 

Nifty has once again closed in red by closing at 5287 down by 46 points. The trend of the index is down and it is likely to test 5250-5200. Nifty has a short term support at 5280 and important  resistance  are 5350-5400. The trading strategy should be sell on peaks as long as Nifty is below 5350.

 

Chart of the day

 

REC

 

 

 

 

REC has a major support at Rs.189. If it closes below this level then the short term targets are Rs.180-175. Wait for the breakout.

 

Nifty Medium Term Trend

 

Trend	UP
Initiation Date	07/08/20122
Initiated at	5336
High since change	5448
Reversal if closes below	5180

 

 

Open Positions

 

Scrip	Type	Price	CMP	P/L
Bank Nifty Sept 10100 PE 2 Lots	Long	160	221	122
Bank Nifty Sept 10200 CE 1 Lot	Long	240	159	-81
Britannia	Long	486	488	2

 

 

Today's Trades

 

Scrip	Buy Price	Sell Price	P/L
McDowell	962	978	16
Rel Cap Sept Fut	323	330	7

 

 

Squared off Position

 

Scrip	Buy Price	Sell Price	P/L
Nifty Sept 5300 PE	63	79	16

 

 

Thought for the day

 

You don't need anybody to tell you who you are or what you are . You are what you are.

 

 

 

 

 

 

 

 

Market update for 29/08/2012

 

Nifty daily chart

 

 

As expected Nifty has closed below 5350 which is an  entry point for initiating short in Nifty. It was a highly volatile session and till the end it was difficult to say whether Nifty will close above 5350 or below 5350 as  3 unsuccessful attempts were made to reach 5350. MACD is indicating downtrend and  expected short term targets for Nifty are 5300-5250-5220. As long as Nifty is below 5350 long position should not be initiated. 

Chart of the day

 

Rel Cap

 

 

 

Reliance Capital has breached important support level at Rs. 330 and closed at Rs. 328.20. It is expected to go down further.

 

Nifty medium term trend

 

Trend	UP
Initiation Date	07/08/20122
Initiated at	5336
High since change	5448
Reversal if closes below	5180

 

 

Open Positions

 

Scrip	Type	Price	CMP	P/L
Bank Nifty sep 10100 PE 2 Lots	Long	160	204	88
Bank Nifty sep 10200 CE 1 Lot	Long	240	180	-60
Britannia	Long	486	489	3
Nifty Sep 5300 PE	Long	63	64	1

 

 

Thought for the day

 

We make a living by what we get but we make a life by what we give.

 

 

To get real time updates send your contact details to karthik4ta@yahoo.com

 

 

 

 

 

 

 

 

 

 

Market update for 28/08/2012

 

Nifty daily chart

 

 

Today's trading session was dominated by bears. Nifty has closed at 5350.25 down by 36 points and has managed to close at 5350 which is an important support. MACD has not indicated sell but it may indicate sell if Nifty gives a flat to negative close for one more trading session. Banking , Real Estate , Infra , capital goods and others are looking weak so there is every possibility that 5350 will be breached.

 

Chart of the day

 

Bank Nifty

 

 

 

Today's downtrend was lead by Bank Nifty. It has a support at 10150 (spot level) if it closes below this level then the targets are 10000-9950.

 

Open Positions

 

Scrip	Type	Price	CMP	P/L
Bank Nifty 10100 PE	Long	160	170	10
Bank Nifty 10200 CE	Long	240	235	-5
Britannia	Long	486	489	3

 

 

Nifty Medium Term Trend

 

Trend	UP
Initiation Date	07/08/20122
Initiated at	5336
High since change	5448
Reversal if closes below	5180

 

 

Thought for the day

 

To argue with a man who has renounced his reasoning is like giving medicine to a dead man.

 

 

For real time recommendations write a mail and send it to karthik4ta@yahoo.com along with your contact details.

 

 

 

 

 

 

 

 

Market update for 27/08/2012

 

Nifty daily chart

 

 

On Friday's trading session Nifty has closed below 5400 that is at 5386 down by 28 points. 5440 is a major resistance and now the supports are at 5380-5350. 14 day RSI is in overbought region and so far MACD has not indicated sell. If Nifty closes below 5350 then it may come down to 5300-5250.

Nifty weekly chart

 

 

 

In weekly chart Nifty is forming higher top and higher bottom. But 5440 is checking the uptrend. If Nifty cannot break 5440 then there are possibilities of reaching 5250 and after reaching this level another cycle of uptrend can resume.

 

Chart of the day

 

Rel Infra

 

 

 

Rel Infra is one of the under performer in the recent rally of the market. It has breached important support level and expected to continue the downtrend.

 

Nifty medium term trend

Trend	UP
Initiation Date	07/08/20122
Initiated at	5336
High since change	5448
Reversal if closes below	5180

 

 

Position squared off

 

Scrip	Buy Price	Sell Price	P/L
Rel Infra	522	484	-38

 

 

Thought for the day

There are two ways to get enough one is continue to accumulate more and more another is desire less.

 

 

 

 

 

 

 

Market update for 24/08/2012

 

Nifty daily chart

 

 

As expected 5440 is acting as resistance . Nifty made an attempt to break 5440 by reaching 5448 but closing has happened at 5415 up by 2.5 points. 5380-5350 are important support levels and I would like to initiate short only below 5350. Yes , we may find many intraday short sell opportunities but sustainable down trend can be expected only if Nifty closes below 5350. So 5440 and 5350 are levels to watch.

Chart of the day

LT

 

 

 

Before few trading session LT breached the resistance at Rs.1441 and reached Rs.1480. But today it has closed below Rs.1441 which may indicates weakness in the chart. In short term LT is expected to take trend line support at around Rs. 1420  and if this trendline support is breached than we may notice major fall.

 

Nifty medium term trend

 

Trend	UP
Initiation Date	07/08/20122
Initiated at	5336
High since change	5448
Reversal if closes below	5180

 

 

Open Position

 

Scrip	Type	Price	CMP	P/L
Rel Infra	Long	522	501	-21

 

 

Thought for the day

 

Everyone things of changing the world but nobody things about changing themselves.

 

 

 

 

 

Market update for 23/08/2012

Nifty daily chart

Today's trading session was a choppy session. Nifty reached a day high of  5333 and closed at 5212 down by 8 points. We were expecting a target of 5440 and it is almost reached.

 

What next ?

 

There are some interesting observation in daily and weekly chart of Nifty. 5440 is a region where there are multiple resistance. First resistance is a  trend line drawn by joining 5940 - 5620 and second resistance is formed at 5440 which is 78.6% retracement once we draw a Fibonacci retracement from 5625 to 4770. So far Nifty has breached many resistances such as 5300-5350-5380 but can it break 5440 ??.If it breaks then the target is 5500 - 5600. Traders should note that this is not a ' sell Nifty fut ' recommendation but it is a caution that market cannot rally forever , so , we need to start booking profit/loss and re enter once the breakout happens.

Nifty weekly chart

 

 

 

The structure of Nifty is clearly visible in weekly chart. RSI has reached overbought region in weekly chart as well. But in a perfect trending market RSI can remain overbought for longer than expected period.

 

Chart of the day

 

Dow Jones

 

 

 

Dow Jones Industrial Average (DJIA) has reached 13300 which is the important resistance level. It has reached this level for the fourth time in past 6 months and hence the importance of this level is very high. Dow Jones may consolidate at this level and if it doesn't break 13300 then it may come down to 12950 in medium term.

 

Nifty medium term trend

 

Trend	UP
Initiation Date	07/08/20122
Initiated at	5336
High since change	5433
Reversal if closes below	5180

 

 

Open Positions

 

Scrip	Type	Price	CMP	P/L
Rel Infra	Long	522	510	-12

 

 

Positions squared off

 

Scrip	Buy Price	Sell Price	P/L
LT	1447	1459	12
REC	214.8	209.5	-5.3

 

 

Thought for the day

 

If you have something to do that is worthwhile doing , don't talk about it  but do it. After you have done it your friends and enemies will talk about it.

 

 

 

 

 

 

 

 

 

Market update for 22/08/2012

Nifty daily chart

Nifty has continued its uptrend by closing at 5421 up by 54 points. 5400-5380 were acting as resistance but now they can act as support. As long as Nifty trades above 5350 short term trend remains up and the expected targets are 5440-5500.

Chart of the day

LT

LT had resistance at Rs.1442 and after a breakout from this level it made a high of Rs.1480. Later it started falling and today it took support at Rs.1442 region . The short term targets are Rs.1480-1500 and reversal is closing below Rs.1442.

Nifty Medium term trend

Trend	UP
Initiation Date	07/08/20122
Initiated at	5336
High since change	5425
Reversal if closes below	5180

Open Position

Scrip	Type	Price	CMP	P/L
Rel Infra	Long	522	514.5	-7.5
REC	Long	214.8	210.3	-4.5
LT	Long	1447	1467	20

Today's Trade

Scrip	Buy Price	Sell Price	P/L
LT	1447

Thought for the day

If you find a path with no obstacles , it probably doesn't lead you anywhere.