Market updates for 27/09/2012

 

Nifty daily chart

 

 

 

Another day of consolidation has come to end. Today Nifty traded between 5671-5638 and the price movement was quite volatile. 5630-5600 is the region which can act as strong support and any breakout from this range can take Nifty to 5500. Since tomorrow is the day of FnO expiry market can be highly volatile that too in last one hour of trade. Expiry may happen within 5600-5700.

 

It is very important for Nifty to close above 5630 to reach 5800 in coming days. However a weekly close below 5630 could be the early indication of reversal of short term trend.

 

Chart of the day

 

Tata Motors

 

 

 

So far Tata Motors was consolidating between a narrow range of 268-280 and today this range is broken. MACD is indicating slow down in upside momentum and another day of flat to negative close will lead to a sell indication by MACD. This is the beginning of downtrend and we can notice decent amount of fall in coming days.

 

Nifty medium term trend

 

Trend	UP
Initiation Date	07/08/2012
Initiated at	5336
High since change	5720
Reversal if closes below	5485

 

Open Positions

 

Scrip	Type	Price	CMP	P/L
Tata Motors Oct Fut	Short	266.9	264	2.9
Tata Motors Oct 270 CE	Long	9.7	8.6	-1.1

 

 

Positions squared off

 

Scrip	Buy Price	Sell Price	P/L
Nifty Sept Fut	5705	5655	-50
Nifty 5700 Sept PE	45	50	5

 

 

Thought for the day

 

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