Market update for 21/08/2012

Nifty daily chart

On Friday's trading session Nifty tested important resistance at 5400 and then came down to  5350 level. Nifty can trade between these two levels for some more time before breaking out. Nifty is making higher high and higher low in daily chart and this structure will change if Nifty closes below 5280 until then the trading strategy is to buy on dips. Important resistances are 5400-5440 and supports are 5350-5300-5280.   

Nifty weekly chart

Nifty has sustained the breakout from 5300 and has well sustained above this level. From last two weeks Nifty is facing resistance at 5380 which is 100 DMA in weekly chart. If Nifty sustains above this level then the target is 5440-5500.

Chart of the day

IDFC

IDFC is facing multiple resistance at Rs. 144. Buy if closes above Rs.144 , stop loss is closing below Rs.137 and potential target is  Rs.150-153.

Nifty Medium term trend

Trend	UP
Initiation Date	07/08/20122
Initiated at	5336
High since change	5404
Reversal if closes below	5080

Open positions

Scrip	Type	Price	CMP	P/L
Rel Infra	Long	522	510.5	-11.5
REC	Long	214.8	211.7	-3.1

Squared off positions

Scrip	Buy Price	Sell Price	P/L
Bank Nifty fut	10550	10439	-111
Bank Nifty 10500 PE	110	163	53

 

Thought for the  day

It is too clear and so it is hard to see. A dunce searched for fire with a lit lantern. Had he known what fire was he would have cooked his rice sooner.