Market Estimates for 25/05/2012
Nifty Hourly Chart
In yesterday's trading session (23.05.2012) , even though 4830 was breached , Nifty closed at 4835 and the support was defended. Today, in spite of various bad news related to petrol hike and rupee depreciation, Nifty has managed to give a bounce of 90+ points and closed at 4921. Now Nifty is expected to move towards 4950 and tomorrow if Nifty trades above 4950 for an hour then only we can expect the levels of 5030-5100.
Suppose Nifty is unable to cross 4955-60 levels trades can short nifty by keeping a stop loss of 30 points.
Nifty Daily Chart
In daily chart you can observe that Nifty is trading in a narrow range of 172 points from past 10 trading sessions. Now the trading range is between 4960 and 4788.
Some of the important observations to be made in daily chart are RSI is above 30 after 12 trading sessions and showing signs of recovery and MACD is expected to give buy indication in one or two trading sessions provided the uptrend continues . So there is a possibility that Nifty will give a break out on the upside in next 2-3 trading sessions. But to be on the safer side wait for the breakout to happen. Long position in Nifty can be taken if it closes above 4960.
Nifty Weekly Chart
In spite of various bad news about world as well as domestic economy Nifty has managed to hold 4800 levels.
The descending trend line is not broken and RSI is oversold. In this scenario investors with at least 6 months to 1 year time frame can start buying blue chip/index stocks / Nifty Bees. It is not advisable to invest all the money but investors can start buying partially.
Axis Bank
In hourly chart of Axis Bank you can observe that the stock price has breached the previous peak Rs.981.6 . This breakout has occurred after consolidating between the range Rs.953-981 and so the importance of this breakout is high. You might have also observed that Axis bank made a high of Rs.998 with in a short period of time.
So hold Axis bank for a target of Rs.1012-1018-1035 and stop loss is below Rs.1165.
Open Positions
| Scrip | Type | Qty | Buy Price | CMP | P/L | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| SBI | Long | 10 | 1907 | 1966 | 50 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Axis Bank | Long | 86 | 988 | 998 | 860 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Hindalco 110 CE* | Long | 2000 | 3 | 3.1 | 200 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
* Hindalco
was given traders with higher risk appetite.Intraday Trades
Thought for the day"Most men make money in their own business and lose it in some other fellow's." |
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