candleseye

Market Outlook 6 February 2012

2012-02-05T16:30:00.000-08:00

Nifty 5326

On weeklychart; Last week Nifty has crossed two important resistance level of 5174 and5300 on closing basis. After almost 15 months; Nifty has broken upper end ofpricing channel pattern on closing basis. Weekly oscillators are alsoaccompanied with buy signal. Next major resistance placed at 5433 level forvalidating intermediate term uptrend. Major support placed at 5200 levels.

Finantechfuture 779

Stock was incontinuous uptrend since start of the year and last week stock has entered inover boutght zone. On Friday stock has formed “Bearish Engulf” a bearishcandlestick pattern on daily chart and it seems uptrend is surrendered; incontinuation to this last candle of the pattern is “Black Opening Marubozu”which is more bearish sign for the stock. Intra day chart has also formed lowerlows lower highs. Looking at all above technical factor move below 776 willinvite more selling in counter.

Sell below 776sl 790 tgt 753

Mcleod Russel200

Stock hasformed “Long White Candle” a bullish candlestick pattern on daily chart.Intraday chart has also formed higher highs higher lows pattern. Daily momentumindicators are also genarting buy signal. Weekly RSI has given positive cut tosignal line. Looking at all above technical factor move above 201 will invitemore buying in counter.

Buy above 201sl 196 tgt 211

Market Outlook 2 June 2010 and Calls

2010-06-01T04:53:00.000-07:00

Nifty (4970) – Black Opening Marubozu

After making Deliberation pattern on Monday, yesterday Nifty has formed “Black Opening Marubozu” a bearish candlestick pattern and dragged Nifty to below 200 Days SMA , which is placed at 5005 levels, more over Nifty has also broken 50 % retracement level of 5035 levels. Daily momentum indicators are showing sign of weakness after yesterday’s big down fall. Now again Strong support shifted down to 4900 levels but traders should reduce long position as Nifty is trading below 200 SMA and immediate resistance placed at 5005 – 5035 levels.

United Phose (175.40) – Dark Cloud Cover

Stock has tested two important resistance of 177 – 184 in last two days but unable to sustain on closing basis and yesterday stock has formed “Dark Cloud Cover” a bearish candlestick pattern on daily chart. Weekly chart also making high wave pattern with longer upper shadow, which technically suggests supply at higher level. Daily momentum indicators are also showing sign of weakness. Looking at all above technical aspects traders with High risk appetite can consider Sell below Rs.173 with tight stop loss of Rs.179 for a Target of Rs.160.

Cipla (324) – Ascending Triangle

Stock has formed “Ascending Triangle” a bullish continuation pattern on daily chart with decent volume breakout. Short term moving averages are indicating upward movement; momentum indicators are also forming higher highs in bullish zone. Looking at all above parameter traders with moderate risk appetite can consider buy above Rs. 325 with tight SL of Rs. 320 on closing basis for a Target of Rs.342.

Disclaimer: Any action you choose to take in the markets is totally your own responsibility. candleseye.Com will not be liable for any, direct or indirect, consequential or incidental damages or loss arising out of the use of this information. This information is neither an offer to sell nor solicitation to buy any of the securities mentioned herein. The writers may or may not be trading in the securities mentioned.

Market Outlook 1 June 2010 and Calls

2010-05-31T04:46:00.000-07:00

Nifty (5086.30)

Nifty has formed “DOJI” an indecisive pattern on daily chart but lower shadow of the DOJI is almost four times of Body which depicts buying seen at lower level. Daily momentum indicators are generating mix signal at this point of time. Next immediate support placed at 5035 levels and immediate resistance placed at 5120 level, either side breakout will provide us continuation of trend. 200 days EMA placed at 5003 level and as long as this level survives on closing basis trend is likely to remain up.

Mundra Port (696.45)

Yesterday stock has formed “Long White Candle” with decent volume breakout on daily chart. 3 days EMA has given positive crossover to 8 days EMA and also stock has given strong close above 20 days EMA. Daily momentum indicators RSI and Stochastic are featuring in bullish zone. Looking at all above technical parameters traders with moderate risk appetite can consider Buy in range of Rs697-694 with tight stop loss of Rs.683 for a Target of Rs.724.

Neyveli lignite (148.40)

After making low of 138 on 27 May 2010, since then stock is making higher highs and higher lows and it seems stock is bottomed out. 3 days EMA has given positive crossover to 8 days EMA and also stock has given strong close above 20 & 50 days EMA. Four and half month old downward slopping trend line breakout placed at 149 levels. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.149 with tight stop loss of Rs.145 for a Target of Rs.156.

Disclaimer: Any action you choose to take in the markets is totally your own responsibility.candleseye.Com will not be liable for any, direct or indirect, consequential or incidental damages or loss arising out of the use of this information. This information is neither an offer to sell nor solicitation to buy any of the securities mentioned herein. The writers may or may not be trading in the securities mentioned.

Market Outlook 28 May 2010 and Calls

2010-05-27T05:08:00.000-07:00

Nifty (5003.10)

In Yesterday’s edition we have mentioned positive effect of “White Opening Marubozu” and we saw good reversal and Nifty closed above 200 days SMA which is placed at 4999 levels. Daily chart has formed “Long White Candle” a bullish candlestick pattern and reliability is of this pattern is high as long as nifty is trading above 4900 level. Now major resistance placed at 20 EMA which is placed at 5042 levels.

BPCL (572.75)

Stock has formed “Cup and Handle” a bullish continuation pattern on daily chart. on candlestick front stock has formed”Long White Candle” a bullish pattern more over daily momentum indicators are also hovering in bullish zone. Vital oscillators ADX is at 29 which suggest current uptrend is strong. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.575 with tight Stop loss of Rs.562 for a target of Rs.601.

Andhra Bank (129.80)

Yesterday stock has formed “Long White candle” a bullish candlestick pattern with decent volume breakout on daily chart. Daily momentum indicators have also given positive crossover to signal line in bullish zone. Short term moving averages are also showing upward movement especially yesterday stock has given good close above 20 days EMA. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.130 with tight Stop loss of Rs.127 for a target of Rs.136.

Disclaimer: Any action you choose to take in the markets is totally your own responsibility.candleseye.Com will not be liable for any, direct or indirect, consequential or incidental damages or loss arising out of the use of this information. This information is neither an offer to sell nor solicitation to buy any of the securities mentioned herein. The writers may or may not be trading in the securities mentioned.

Market Outlook 27 May 2010 and Calls

2010-05-26T05:03:00.000-07:00

Nifty (4917.40)

Yesterday Nifty has formed “White Opening Marubozu” a bullish reversal pattern; technically it may be a first day of reversal in trend. Although reliability of this pattern is low as this is a single candlestick pattern but it should not avoid as this occurred after good amount of correction. 200 days SMA placed at 4998 levels and now this will work as good resistance zone in market and one should not forget trend is still bearish as long as Nifty is below 200 days SMA. Daily momentum indicators are showing some strength after experiencing over sold zone.

Punjlloyd (131.20)

Stock has fallen more than 30 % in last two months and from last four trading days stock has found bottom at 126 – 127 levels and daily momentum indicators are also hovering in over sold zone so this two combination favor that bottom of the stock is formed. On candlestick front yesterdays stock has formed “White Candle” with decent volume breakout, more over daily momentum indicators have also given positive crossover to signal line. Looking at all above technical parameters traders with moderate risk appetite can consider Buy at current level with tight stop loss of Rs.126 on closing basis for a Target of Rs.144.

TCS (738)

After making high of 845 in mid march stock was in continuous down trend, Yesterday stock has formed “Long White Candle” a bullish candlestick pattern with decent volume breakout on chart. Daily momentum indicators have also given positive crossover to signal line and entered in neutral zone. Short term moving are also showing sign of strength. Looking at all above technical parameters traders with moderate risk appetite can consider Buy at current level with tight stop loss of Rs.724 for a Target of Rs.772.

Disclaimer: Any action you choose to take in the markets is totally your own responsibility.candleseye.Com will not be liable for any, direct or indirect, consequential or incidental damages or loss arising out of the use of this information. This information is neither an offer to sell nor solicitation to buy any of the securities mentioned herein. The writers may or may not be trading in the securities mentioned.

Market Outlook 26 May 2010 and Calls

2010-05-25T04:51:00.000-07:00

Nifty (4806.75) - Long Black Candle

In yesterday’s edition we have mentioned that Nifty has wide trading range of 4842-5029 and either side breakout/breakdown will provide continuation of trend and yesterday itself Nifty has broken important support of Hammer low of 4842 and opened door for 4750 levels; and now strong support shifted to 4675 levels. On candlestick front Yesterday’s candle was a “Long Black Candle” which favor more bearish out come in coming days although important point to note here is that current situation is reacting to global cues rather than technical factor alone.

Sun Pharma (1587.40) - Bullish Engulf

Yesterday stock has formed “Bullish Engulf” a bullish reversal pattern with rising volume on daily chart. 3 days EMA has given positive crossover to 8 days EMA moreover daily momentum indicators have given bullish crossover to signal and is on the verge of positive territory. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.1590 with tight stop loss of Rs.1569 (closing basis) for a Target of Rs.1645.

Divis Lab (697.20) - Bearish Engulf

Yesterday stock has formed “Bearish Engulf” a bearish candlestick pattern moreover stock has formed “Symmetrical Triangle” pattern and down side breakout occurred at 705 levels; closing is well below of this level. Daily RSI has also given negative crossover to signal line, rest other momentum indicators are showing uncertainty at this level. Looking at all above technical parameters traders with moderate risk appetite can consider Sell below Rs.693.50 with tight stop loss of Rs.705 (closing basis) for a Target of Rs.670-Rs.663.

Disclaimer: Any action you choose to take in the markets is totally your own responsibility.candleseye.Com will not be liable for any, direct or indirect, consequential or incidental damages or loss arising out of the use of this information. This information is neither an offer to sell nor solicitation to buy any of the securities mentioned herein. The writers may or may not be trading in the securities mentioned.

Market Outlook 25 May 2010 and Calls

2010-05-24T05:01:00.000-07:00

Nifty (4943.95) – DOJI

Nifty daily chart has formed “DOJI” with long upper shadow which suggests there is a supply at higher levels and one more point to note here is that on Friday nifty has formed ”Hammer” with long lower shadow so this two combination suggests that market will experience more volatility in coming days due to abnormal shadow on either side. From last four trading days Nifty is trading below 200 days SMA. We are expecting more volatility with wide range between 4842-5029 levels, and only either side breakout/breakdown provides continuation of trend. Intraday support placed at 4912 – 4880 levels and intraday resistance placed at 4963 – 4987 levels.

Videocon Ind (207.20) - Abandoned Baby

After making high of 250 on 21 April 2010, stock was trading continuously in down trend. Yesterday stock has formed ”Abandoned Baby” a bullish reversal pattern with rising volume on daily chart. Daily momentum indicators after appearing in over sold zone, given positive crossover to signal line. Short term moving averages are also suggesting upward move. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.209.70 with tight stop loss of Rs.203 on closing basis for a Target of Rs.225.

Bajaj-Auto (2052.45)

After making high of 2223 in mid May 2010, stock has given tired out signal and since then stock is trading with diminishing volume with negative bias, more over yesterday stock has broken ten month old trend line support on daily chart. short term moving averages are showing downward movement and price is trading below 20 days EMA. Daily Momentum indicators as well as weekly RSI also generating sell signal. Looking at all above technical parameters traders with moderate risk appetite can consider Sell below Rs.2050 with tight stop loss of Rs.2075 for a Target of Rs.1995.

Disclaimer: Any action you choose to take in the markets is totally your own responsibility.candleseye.Com will not be liable for any, direct or indirect, consequential or incidental damages or loss arising out of the use of this information. This information is neither an offer to sell nor solicitation to buy any of the securities mentioned herein. The writers may or may not be trading in the securities mentioned.

Market Outlook 24 May 2010 and Calls

2010-05-23T09:10:00.000-07:00

Nifty (4931.15) - “Hammer”

Nifty has formed “Hammer” a bullish reversal pattern on daily chart which suggests up move from here on is likely but one thing to keep in mind that real strength for bull is possible only above 5180 levels on closing basis, where multiple tops are there. As per weekly chart Nifty is trading below 10 month old upward sloping trend line support and which is placed at 5015 levels. Daily momentum indicators are hovering in over sold region especially stochastic which is extremely over sold and which negates any further downfall before any bullish reversal. Coming week important support placed in the range of 4895-4842 levels and resistance placed in the range of 4952-5015 levels.

Biocon (284.60) - “Bullish Engulf”

Stock was in downtrend after completing “Evening Star “a bearish candlestick pattern on 3 May 2010. On Friday stock has formed “Bullish Engulf” a bullish candlestick pattern with strong volume breakout on daily chart. Daily momentum indicators have given bullish crossover to signal line. Short term moving averages also showing upward movement. Looking at all above technical parameters traders with moderate risk appetite can consider buy above Rs.286 with tight Stop loss of Rs.281 (closing basis) for a Target of Rs.299.

Tata Power (1259.55) – “Highwave Pattern”

Stock was facing multiple resistance in the range of 1390-1408 levels from Mid March 2010 to late April 2010 but unable to sustain and started showing swing lower lows. On Friday stock has formed “High Wave” pattern with long upper shadows which imbibes there is supply at higher levels and closed below its previous swing low. Weekly chart also showing weakness and Weekly RSI entered in negative territory. Looking at all above technical evidence traders with moderate risk appetite can consider Sell below Rs.1253 with tight stop loss of Rs.1275 for a Target of Rs.1195.

Disclaimer: Any action you choose to take in the markets is totally your own responsibility.candleseye.Com will not be liable for any, direct or indirect, consequential or incidental damages or loss arising out of the use of this information. This information is neither an offer to sell nor solicitation to buy any of the securities mentioned herein. The writers may or may not be trading in the securities mentioned.

Market Outlook 20 May 2010 and Calls

2010-05-19T19:56:00.000-07:00

Nifty (4919.65) – Hammer Low broken

Finally Nifty has broken strong support of hammer low of 4966 and also broken 200 days SMA support of 4989 but important point to note here is that still 200 Days EMA is intact, which is placed at 4897 levels and this will work as strong support on closing basis. More on bear side, on weekly chart also there is a dead crossover of moving averages. More over nifty has also broken six month old trend line support on daily chart. Intraday support placed at 4897-4850 levels and intraday Resistance placed at 4952-4972 levels.

Bank of Baroda (675.40)

Stock is trading below “Rising Wedge “pattern since last three days which suggests bearish out come for the stock. Short term moving averages are also increasing downward gap more over Daily momentum indicators are also entered in negative territory. Looking at all above technical evidence we are expecting that stock is poise to fall up to 653 and stock has minor support at 672 once it breaks down then we may see good round of selling on this counter. Sell below Rs.672 Stop Loss Rs. 682 Target Rs.653.

Disclaimer: Any action you choose to take in the markets is totally your own responsibility.candleseye.Com will not be liable for any, direct or indirect, consequential or incidental damages or loss arising out of the use of this information. This information is neither an offer to sell nor solicitation to buy any of the securities mentioned herein. The writers may or may not be trading in the securities mentioned.

Market Outlook 19 May 2010 and Calls

2010-05-18T05:06:00.000-07:00

Nifty (5066.20) - Long Legged Doji

Nifty daily chart has formed “Long Legged Doji” an indecisive candlestick pattern but this appeared after “Hammer” so this will favor bull as long as hammer low is sustain, which is placed at 4966 level. Daily momentum indicators are generating mix signals. Intraday support placed at same level of yesterday which is in between 5037-5006 levels and Resistance placed in between 5095-5122 levels. Buying on dips strategy works well in this type of market as Nifty is trading around 50 % Retracement level of previous dynamic impulse wave.

Dishman Pharma (220.60) - Long White Candle

Yesterday stock has formed “Long White Candle” a bullish candlestick pattern with decent volume breakout on daily chart. 3 days EMA has given positive crossover to 8 days EMA. Moreover stock has given good close above 20 days EMA. Daily momentum indicators are featuring in bullish zone. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.222 with tight stop loss of Rs.217 for a Target of Rs.234.

Ambuja Cement (107.85) - Meeting Line + Long White candle

After making “Meeting Line “ a bullish candlestick pattern on 17 May 2010 stock has given more bullish confirmation by making “Long White candle” on yesterday. Stock was in down trend after making high of 125 in late April 2010 and from last three days stock has given evidence of trend reversal. Daily RSI after appearing in over sold zone is on the verge of positive crossover to signal line. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.108.50 with tight stop loss of Rs.105.50 for a Target of Rs.114.50.

Disclaimer: Any action you choose to take in the markets is totally your own responsibility.candleseye.Com will not be liable for any, direct or indirect, consequential or incidental damages or loss arising out of the use of this information. This information is neither an offer to sell nor solicitation to buy any of the securities mentioned herein. The writers may or may not be trading in the securities mentioned.

Market Outlook 18 May 2010 and Calls

2010-05-17T04:31:00.000-07:00

Nifty (5059.90) – Hammer

Yesterday Nifty has formed “Hammer” a Bullish reversal pattern on daily chart, this pattern consist small body and shadow of the same must be around 2.5 to 3 time of real body, this imbibes buying or short covering at lower level, moreover nifty has kissed and hold 200 days SMA and 50% retracement level of previous dynamic impulse wave, which will now work as strong support area on closing basis. Daily momentum indicators are generating mix signal. Nifty intraday support placed in the range of 5037-5006 levels and Intraday Resistance placed 5094-5115 level.

Mcleod Russel (216.60) - Bullish Engulf

After making high of 293 in late march 2010, Stock was in down trend. Yesterday stock has made “Bullish Engulf “a bullish reversal pattern with strong volume breakout more over stock has given close on the verge of one and half month old downward sloping trend line. Daily RSI and MACDh have given buy signal. Short term moving averages are also showing upward movement in stock. Looking at all above evidence traders with moderate risk appetite can consider Buy above Rs.219 with tight stop loss of Rs.208 for a Target of Rs.237

Areva T & D (256.80) - Piercing Pattern

After making high of Rs.319 in early April 2010, Stock was in down trend. Yesterday stock has formed “Piercing Pattern” bullish candlestick pattern, with decent volume breakout in daily chart. 3 days EMA has given positive crossover to 8DEMA. Momentum indicators have come out from oversold region and given positive crossover to signal line. Looking at all above evidence trader can consider Buy above Rs.258.50 with tight stop loss of Rs.250 for a Target of Rs.275.

Market Outlook 17 May 2010 and Calls

2010-05-15T00:09:00.000-07:00

Nifty (5093.50) - “High Wave Pattern”

Last week Nifty has formed “High Wave Pattern” on weekly chart which suggests there is supply at higher level but we would like to point out here is that last week trend was backed by weak global cues so we refer last week all candles were news driven candles rather than technical.

On daily chart last week nifty consist of two down days and three up days candles but closed near lower band of high and low, moreover Nifty has also broken important crucial support of 5122 level which is 62% retracement level of previous dynamic impulse wave. Daily momentum indicators have also given negative crossover to signal line. Over all capital preservation is more advisable as market is more news driven at this point.

Next week Important support range is between 5037 – 4952 levels, 200 days SMA placed at 4981, and important Resistance placed in between 5134 – 5156.

Sesa Goa (374.20) – 100 days SMA

Sell below Rs.373 Sl Rs.387 Tgt Rs.345

Stock is trading below its 100 Days SMA since last ten trading days and this incidence occurred almost after more than one year this imbibes hidden bear grip on the stock. Short term moving averages are showing down ward movement with increasing gap, Daily momentum indicators are also featuring in bearish mode and More on bear side, On Weekly chart stock is trading below its 38% retracement level. Looking at all above technical evidence traders with moderate risk appetite can consider Sell below Rs.373 with tight stop loss of Rs.387 for a Target of Rs.345.

Bank of Baroda (686.50) - “Rising Wedge Pattern”

Sell below Rs.683 Sl Rs.692 Tgt Rs.667-663

After making High of Rs.720.90 in early May, stock was trading in consolidation zone. On Friday stock has formed “Rising Wedge Pattern” a bearish pattern with “Long Black Candle” on breakdown day in daily chart. On moving average front 3 days EMA has given negative crossover to 8 days EMA. Daily momentum indicators are also featuring in bearish zone. Moreover weekly RSI has also given negative crossover to signal in over bought zone. Looking at all above technical parameters trader with moderate risk appetite can consider Sell below Rs.683 with tight SL of Rs.692 for a Target of Rs. 667-663.

Market Outlook 14 May 2010 and Calls

2010-05-13T06:57:00.000-07:00

Nifty (5178.90) – High Wave Candle

Yesterday again nifty has formed “High wave Candle” but important point to note here is that from last two days nifty is making higher highs and higher lows and given crucial close near 50 day EMA on daily chart. Daily momentum indicators are still in jittery mode. Important support placed in the range of 5145-5122 levels and important resistance placed in the range of 5192-5210 levels. Over all scenario slightly favors bulls.

PFC (290.05) – Rising Price Channel

Buy above Rs.292 Sl 285 Target Rs.315

Yesterday stock has given close on the verge of upper end of “Rising Price Channel” pattern; more over stock has also broken important resistance of 285 levels. In addition yesterday’s volume was also supported by daily momentum indicators with buy signal. Weekly Volume also started increasing compare to previous week and Weekly RSI has given positive crossover to signal line. Looking at all above evidence traders with moderate risk appetite can consider Buy above Rs.292 with tight Stop Loss of Rs.285 (closing basis) for a Target of Rs.315.

IGL (236.30) – Pennant

Buy above Rs.237 Sl 232 Target Rs.250

Yesterday Stock has formed “Pennant” a continuation pattern with strong volume breakout on daily chart. On moving average front 3 days EMA has given positive crossover to 8 days EMA. Daily momentum indicators are featuring in bullish zone. Looking at all above technical parameters trader with moderate risk appetite can consider buy above Rs.237 with tight SL of Rs.232 (closing basis) for a Target of Rs.250

Market Outlook 13 May 2010 and Calls

2010-05-12T06:35:00.000-07:00

Nifty (5156.65) – Small White Candle

Yesterday was a second day, where nifty has sustained important support of 5122 level. On candlestick front Nifty has formed “Small White candle” with long lower shadow which suggests some sort of buying at lower level. Daily momentum indicators are showing some sign of tiredness on either side movement. Important intraday Resistance placed in the range of 5172-5192 levels and intraday support placed in between 5122-5098 levels. Still avoid spike on either side.

Tech mahindra (734) – Long White Candle

After making high of Rs.1130 in January end, stock was in continuous downtrend and yesterday stock has formed a “Long White Candle” with decent volume breakout, which technically suggests initial stage of trend reversal. From last four days stock is trading in accumulation phase. Daily momentum indicators like RSI, Stoch and MACDh after appearing in over sold zone given positive cross over to signal line. Looking at all above evidence traders with moderate risk appetite can consider Buy at current level of Rs. 734 with tight Stop Loss of Rs.712 for a Target of Rs. 774.

ALBK (164.30) – Long White Candle

After making low of 148 in early may, stock was in uptrend and yesterday stock has formed “Long White Candle” with rising volume on daily chart. 3 days EMA has given positive crossover to 8 days EMA. Daily momentum indicators have also given positive crossover to signal line. Weekly RSI also showing strength for up move. Looking at all above evidence traders with moderate risk appetite can consider Buy above Rs. 165 with tight Stop Loss of Rs.161 for a Target of Rs. 174.

Market Outlook 12 May 2010 and Calls

2010-05-11T08:21:00.000-07:00

Nifty (5136.15) - “Long Black Candle”

Looking at yesterday’s move it seems market is in still jittery mode and on daily chart Nifty has formed “Long Black Candle” a bearish candlestick pattern. Important point to note here is that nifty has sustained crucial support of 5122 level on closing basis. Strong bull rally is possible only above 5250 levels and strong support placed at 4952 level. Traders should avoid spike on either side and still capital preservation is advisable.

Petronet (84.35) – Buy above Rs.84.70 Sl 82 Tgt Rs.90

Stock has formed “Long White Candle” with strong volume and closed on the verge of one month old downward slopping trend line. Daily momentum indicators have given positive crossover to signal line and 3 days EMA has given positive crossover to 8 days EMA more stock has given good close above 20 days EMA. Weekly RSI has also given positive crossover to signal line. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.84.70 with stop loss of Rs.82 for a Target of Rs.90.

COLPAL (736.10) - Sell belwo Rs.735 Sl 743 Tgt Rs.718

After making high of 770 in early May, stock was in down trend. Yesterday stock has formed “double Bottom” at 735 if this level break down then we may see some more selling in this counter. Short term moving averages showing downward movement and increasing gap on down side; more over stock has given close below 20 days EMA. Daily momentum indicators are also suggesting sell at this point of time. Looking at all above technical parameters traders with moderate risk appetite can consider Sell below Rs.735 with stop loss of Rs.743 for a Target of Rs.718.

Market Outlook 11 May 2010 and Calls

2010-05-10T06:27:00.000-07:00

Nifty (5193.60) - White Opening Marubozu

Yesterday Nifty after kissing 50 % retracement level of previous dynamic impulse wave, Nifty has formed “White Opening Marubozu” which suggests strong buying seen since opening. Daily momentum indicators have given positive cross over to their signal line and now are on the verge of positive territory. Other way round all this happened due to global level good macro news and sustainability at this level is still a billion dollar question. Traders should use this rally to exit from existing longs. Major support placed in the range of 5148-5122 levels and major resistance placed in the range of 5239-5250 levels.

ACC (891.75) - Buy abv 892 Sl 881 Tgt 916

After making high of 986.95 in early April ,stock was in continuous down trend and yesterday stock has formed “Bullish Abandoned Baby” a bullish candlestick pattern with satisfactory volume on daily chart. Further, short term moving averages started moving upward and Momentum indicators like RSI , Stoch, and MACDh has also given positive cross over to signal line. Looking at all above technical parameters trader with moderate risk appetite can consider Buy above Rs.892 with tight stop loss of Rs.881 (closing basis) for a Target of Rs.916.

SCI (166.80) - Buy abv 168 Sl 164 Tgt 176

On daily chart stock has given “symmetrical triangle “breakout and formed “white opening Marubozu” with rising volume. 3 days EMA has given positive crossover to 8 days EMA and daily momentum indicators are making higher highs, suggests strong up move is on the card. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.168 with tight stop loss of Rs.164 (closing basis) for a Target of Rs.176.

Friends comments welcome at dhawal14@gmail.com and djoshi14@yahoo.com

Market Outlook 10 May 2010 and Calls

2010-05-09T04:11:00.000-07:00

Nifty (5018.05) - lower lows and lower highs

Last week we saw 294 points move between high and low and it was most volatile week after 22 January 2010. On candlestick front weekly chart has formed “Black Opening Marubozu” which imbibes weakness in coming week also. Weekly RSI and MACDh have generated sell signal.

On daily chart front, Nifty has made lower lows and lower highs and last whole week ended in a red, which now also suggests weakness at this point of time, but here important point to note is that, RSI almost hovering in over sold zone where as Stochastic is already in over sold zone, this two indicator may provide some pull back rally on downfall or other way we can say that not much downfall remain as long as this indicators are in over sold region.

Major support placed at 38% retracement level of previous impulse wave which is now placed at 4952 level and 200 days EMA placed at 4961 level. Strong resistance placed in between 5122 – 5150 levels.

PFC (265.10) - Long Black Candle

Stock has broken One year old trend line support adjoining from the lows of 20 March 2009. On Friday Stock has formed “Long Black Candle” a bearish candlestick pattern. Momentum indicators have given negative crossover to signal line where as on moving average front 3 days EMA has given negative crossover 8 days EMA, even stock price close below 20 days EMA. Looking at all above technical parameters traders with moderate risk appetite can consider sell below Rs.263 with Tight Stop Loss of Rs.272 for a Target of Rs.245-239.

LICHSGFin(910.10)-BlackOpeningMarubozu

On Friday stock has broken important support zone of Rs.912-Rs.915 levels and formed “Black Opening Marubozu” a bearish candlestick pattern. Short term moving averages started showing weakness and 3 days EMA has given negative crossover 8 days EMA more over stock closed on the verge of 20 days EMA. Daily momentum indicators also generating sell signal. Looking at all above technical parameters traders with moderate risk appetite can consider sell below Rs.905 with Tight Stop Loss of Rs.921 for a Target of Rs872.

Market Outlook 7 May 2010 and Calls

2010-05-06T07:02:00.000-07:00

Nifty (5090.85) - Hammer Again

Nifty (5090.85)

Yesterday Nifty has again formed “Hammer” and most important point to note here is that it managed to close above previous hammer’s low and this has intact implication of this pattern, although daily momentum indicators are still showing sign of weakness in chart. Immediate support placed at 50% retracement level of previous dynamic impulse wave which is at 5037 level and immediate resistance placed in the range of 5122-5145 levels.

Ranbaxy (461)

Stock has formed “White Opening Marubozu” with strong volume breakout on daily chart. 3 days EMA has given Positive crossover to 8 Days EMA, more over daily momentum indicators like RSI, Stochastic and MACDh entered in bullish zone. Weekly RSI also showing strength with upward movement and with rising volume. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.461 Stop loss of Rs. 452 for a Target of Rs.486.

Mcleode Russel (217.55)

After making high of Rs.286 in March 2010, Stock was in continuous down trend and yesterday stock has formed “Morning Doji Star” a bullish candlestick pattern with rising volume on daily chart. Daily Momentum indicators shown positive crossover to signal line after appearing in over sold region. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.219 Stop loss of Rs.211 for a Target of Rs.236.

Market Outlook 6 May 2010 and Calls

2010-05-05T07:47:00.000-07:00

Nifty (5124.90) - Hammer

Nifty (5124.90)

Yesterday Nifty saw gap down opening but in intraday, chart has formed higher highs and higher lows which suggests some sign of strength in market at down level. Daily chart has formed ”Hammer” a bullish candlestick pattern and reliability of this pattern is high, if next day close is above high of hammer. On other side daily momentum indicators are showing some sign of weakness. Over all scenario slightly favor bulls and trader should avoid fresh shorts as long as Nifty is above 5100 level on closing basis, Next immediate resistance placed in the range of 5168-5200 levels.

Sesagoa (398.35)

After making high of 495 in early April stock was in continuous down trend and yesterday stock has formed “Piercing Pattern” a bullish candlestick pattern with rising volume and reliability of pattern is high. Daily momentum indicators are showing strength after appearing in over sold region. Looking at all above technical evidence traders with moderate risk appetite can consider Buy above Rs.400 with tight stop loss of Rs.390 for a Target of Rs.435.

Kirloskar Oil Eng (175.20)

On daily chart Stock has formed two bullish pattern, on candlestick front “Three Outside Up” a bullish candlestick pattern and on western technique stock has formed “Pennant” a bullish continuation pattern. Daily momentum indicators are featuring in bullish zone and favor up move on chart. 3 days EMA has given positive cross over to 8 days EMA. Looking at all above technical evidence traders with moderate risk appetite can consider Buy above Rs.176 with tight stop loss of Rs.171 for a Target of Rs.188.

Market Outlook 4 May 2010 and Calls

2010-05-03T06:27:00.000-07:00

Nifty (5222.75) - Black Opening Marubozu

Nifty daily chart has formed “Black Opening Marubozu” a bearish candlestick pattern and forming good strong support near 50 days EMA since last four trading days and now which is currently placed at 5200 levels. Daily as well as weekly momentum indicators are showing weakness in chart. More over yesterday was first day where Nifty experienced “Dead Cross Over” on moving average front. Strong resistance placed in the range of 5290-5310 levels. Over all scenario remains cautious and capital preservation is more advisable.

IVRCL Infra (175.90)
Stock has formed “Long black Candle” a bearish candlestick pattern on daily chart and broken three month old upward slopping trend line support. 3 days EMA has given negative crossover to 8 days EMA, more over stock has given close below 20 days EMA. Daily momentum indicators RSI and Stochastic have given negative crossover to signal line. Looking at all above technical parameters traders with moderate risk appetite can consider Sell below Rs.175.10 with tight stop loss of Rs.179 for a Target of Rs.164.

Essar Oil (142.10)
Stock has formed “Long White Candle” after two “DOJI” days with strong volume breakout on daily chart. Daily momentum indicators have given positive crossover to signal line. Weekly RSI has also given positive cross over to signal line. More over stock has given good close above 20 days EMA. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.142.70 with tight stop loss of Rs.140.50 for a Target of Rs.148-150.

Market Outlook 28 April 2010 and Calls

2010-04-27T08:46:00.000-07:00

Nifty (5308.35)

After five day of up days (Green close) finally nifty closed in red with “Small Black Candle” pattern suggests uncertainty at higher levels. Daily momentum indicators are showing tiredness especially stochastic is showing weakness after appearing in over bought zone. Strong up move is possible only above demand line breakout adjoining from early February 2010 which is placed at 5355 level. Immediate major support placed at 5270 levels. Over all scenario is cautious and capital preservation is more advisable.

Positive Stocks

Buy Cairn (310) above 312 Sl 306 Tgt 325

Buy BRFL (219) above 220 Sl 216 Tgt 231

Buy IVRCL (184) above 186 Sl 181 Tgt 194 -197

Buy SCI (163) above 164 Sl 161 Tgt 171

Buy LITL (62.40) above 63.40 Sl 60.50 Tgt 69

Buy Nagarjuna Fertiliser(33) above 33.25 Sl 31.25 Tgt 37

Buy Omaxe (97) above 98 Sl 95 Tgt 104

Negative Stocks

Sell Grasim (2821) below 2816 Sl 2830 Tgt 2785

Sell BHEL (2477) belwo 2470 Sl 2485 Tgt 2440

Sell ZEEL (306) belwo 304 Sl 309 Tgt 290

Friends comments are welcome at dhawal14@gmail.com and djoshi14@yahoo.com

Market Outlook 21 April 2010 and Calls

2010-04-20T09:03:00.000-07:00

Nifty (5230)

Yesterday Nifty has formed “small white Candle” with open and low of same rate, Yesterday was second day where Nifty has given close below two and half month old trend line support with dead crossover of 5 days EMA to 20 days EMA. Near term major support placed at 50 days EMA which is placed at 5170 level. Daily momentum indicators are showing sign of weakness but Stochastic is hovering in over sold zone which may give some amount of bounce back in market. Major resistance placed at 5280 level where we may see some supply. Overall market will remain volatile avoid spike on either side.

BGR Energy (575)

Yesterday stock has given three month old downward sloping trend line breakout with “White Opening Marubozu and strong volume breakout on daily chart. Daily momentum indicators are hovering in bullish zone especially MACDh has given strong buy signal. Short term moving averages are favoring upward movement. Weekly RSI also generating buy signal in bullish zone. Looking at all above parameters traders with high risk appetite can consider Buy above Rs.579 with stop loss of Rs.571 for a Target of Rs.594.

Market Outlook 19 April 2010 and Calls

2010-04-17T02:48:00.000-07:00

Nifty (5262.60)

Weekly Chart View

Last week Nifty has first time broken Nine week winning streak and this was the first time after September 2006 where Nifty experienced 10 week winning streak. Weekly RSI and Stochastic has given negative crossover to signal line and Weekly MACDh is also generating tired signal. Strong support found at 5 week EMA at 5258 level which Nifty is maintaining from last 7 weeks. Next major support placed at 5188 level as long as this level sustain no major bear grip will be possible. Strong resistance zone will be in the range of 5290 to 5310 levels, if this level nifty surpasses then we may see some bounce back in market till 5400, which is a major resistance at this point of time of current rally. Trader should remain cautious and should avoid taking huge position as immediate triggered in local market is of monetary policy announcement on 20 April 2010.

Candle Pattern:- Long Black Candle- Bearish candlestick pattern

Daily Chart View

On daily chart Nifty has formed “DOJI” pattern and closed on two and half month old upward sloping trend line support. Daily RSI, Stochastic and MACDh showing weakness in the market but important point to note here is that Stochastic is hovering in over sold zone, which interprets that market will not fall sharply or it may find some halt or pause.

Candle Pattern:- DOJI- Uncertain candlestick pattern

Jaiprakash (148)

Stock was trading in box range since mid march 2010, on Friday stock has formed “Bearish Engulf” a bearish candlestick pattern and reliability of pattern is high. 3 days EMA has given negative crossover to 8 days EMA. Daily momentum indicators have also given negative cross over to signal line. Looking at all above technical parameters traders with moderate risk appetite can consider Sell below Rs.146.50 with strict stop loss of Rs.152 for a Target of Rs.139.

Wockhardt (143)

After making high of Rs.188 in mid January 2010, stock was in continuous downtrend. On Friday stock has formed “Bullish Engulf” a bullish candlestick pattern and reliability of pattern is high. 3 days EMA has given positive crossover to 8 days EMA. Daily momentum indicators have also given positive cross over to signal line. More over weekly RSI is on the verge of positive crossover. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.144.50 with strict stop loss of Rs.140.50 for a Target of Rs.153.

Market Outlook 15 April 2010 and Calls

2010-04-13T22:07:00.000-07:00

Nifty (5322.95)

As indicated in previous note market reacted in same manner with negative bias. On Tuesday Nifty has again formed “Small Black Candle” on daily chart suggests uncertainty in market. Daily momentum indicators are showing more weakness as Nifty is trading near its support zone. Near term scenario slightly favors bear with strong support placed at 5290 levels and strong g resistance placed in the range of 5380 – 5400 levels. Still there is word of cautious due to uncertainty in market.

KPIT Cummins (126)

Stock has given three month old downward sloping trend line breakout with long white candle and strong volume breakout on daily chart. Daily momentum indicators are featuring in bullish zone. More over on western pattern side stock has given rounding Bottom breakout, which is a bullish continuation pattern. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.127 with tight stop loss of Rs.123.50 for a Target of Rs.134.

Tata Chemicals (334)

Stock has given strong three and half month old downward sloping trend line breakout on daily chart with long white candle on Tuesday’s close. Daily momentum indicators are hovering in bullish zone; especially MACDh has given strong buy signal on daily chart. Short term moving averages are showing upward movement with increasing gap on upper side. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.336 with tight stop loss of Rs.330 for a Target of Rs.347-350.

More calls to watch out

Sell Axis Bank (1157.60) below Rs.1153 Stop Loss Rs.1166 Target Rs.1125

Buy/Hold Bata India (259) above Rs.260 Stop Loss Rs.254 Target Rs.273

Buy/Hold NALCO (415.65) above Rs.417.50 Stop Loss Rs.411 Target Rs.428

Buy/Hold HCL Tech (3556.75) above Rs.359 Stop Loss Rs.351 Target Rs.372

Buy/Hold Dwarkesh Sugar (81.10) above Rs.82 Stop Loss Rs.79 Target Rs.87.50

Buy/Hold Hexaware Tech (72.30) above Rs.72.30 Stop Loss Rs.69 Target Rs.78.50

Trade only with strict stop loss or simply avoid my given calls

Happy Trading to All

Market Outlook 13 April 2010 and Calls

2010-04-12T04:45:00.000-07:00

Nifty (5339.70)

Nifty daily chart has formed “Small Black Candle” which clearly predicts uncertainty in market. Daily momentum indicators are also showing uncertainty in market with slightly favor to bear at this point of time. Nifty has strong resistance zone in between 5380 to 5400 crossing which we may see some favor to bull, although major bull entry possible only above 5445 level. strong support placed at 5290 level on closing basis , as long as this level sustain, there will be no sign of bear attack. Over trader should remain cautious and should wait for major breakout/down in market.

Noida Toll Bridge (34.45)

After making high of 42 levels in mid January, stock was in down trend and finally last week stock has made double bottom at 32.25 levels. Double bottom suggests strong support. Yesterday stock has formed “Long White Candle” a bullish candlestick pattern with relatively strong volume breakout on daily chart. 3 days EMA has given positive crossover to 8 days EMA more over stock closed above 20 days EMA. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.34.65 with tight Stop loss of Rs.32.25 (closing basis) with target of Rs.37.75.

Balrampur Chini (93.55)

After making high of 145 levels in mid January, stock was in down trend and finally found strong support in the range of 87.70 to 88.10. Yesterday stock has formed “White Opening Marubozu” a bullish candlestick pattern with strong volume breakout on daily chart. Daily momentum indictors like RSI Stochastic and MACDh have given strong buy signal. 3 days EMA has given positive crossover to 8 days EMA. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.94 with tight Stop loss of Rs.91.25 (closing basis) with target of Rs.100.

Market Outlook 9 April 2010 and Calls

2010-04-08T07:02:00.000-07:00

Nifty (5304.45)

As anticipated about the implication of “Doji”, market reacted exactly in same manner and closed below important support level of 5310. Nifty daily chart has formed “Long Black Candle” a bearish candlestick pattern after two consecutive doji days. Daily momentum indicators have given negative crossover to signal line after experiencing over bought zone in previous days. Over all scenario turned weak as long as nifty is trading below 5345 level.

Voltas (182.30)

Yesterday Stock has broken mid January downward slopping trend line with strong volume and formed “Long White Candle” a bullish candlestick pattern on daily chart. Daily momentum indicators hovering in bullish zone especially RSI has given positive cut to signal line. Short term moving averages showing upward movement in stock. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.183.40 with tight stop loss of Rs.180 for a Target of Rs.190.

Ranbaxy (466.25)

Stock was in consolidation zone from past few trading days and yesterday stock has formed “Black Opening Marubozu” a bearish candlestick pattern on daily chart. 3 days EMA has given negative crossover to 8 days EMA more over stock has given closed below 20 days EMA which imbibes bearish outcome in coming trading days. Daily momentum indicators have also generating sell signal. Looking at all above technical parameters traders with moderate risk appetite can consider Sell below Rs.464 with tight stop loss of Rs.472 for a Target of Rs.448.

Market Outlook 6 April 2010 and Calls

2010-04-05T04:28:00.000-07:00

Nifty (5368.40)

Nifty daily chart has formed “White Opening Marubozu” a bullish candlestick pattern and broken major resistance zone of 5310-5330 level. Detailed study of intraday chart suggests that market is in over bought zone and major resistance placed at 5380, crossing this, nifty may invite bull to take charge up to 5420 levels and strong support placed at 5340 level, below which, profit booking may take place. Over all technical scenario support buying on dips strategy.

Neyveli lignite (147.90)

After touching high of 165 in early march 2010 Stock was making lower lows and lower highs, yesterday stock has formed “Bullish Engulf” a bullish candlestick pattern on daily chart and reliability of this pattern is high. Daily momentum indicators have given positive cross over to signal line after floating in over sold zone. Short term moving averages showing sign of strength for up move. Looking at all above technical evidence traders with moderate risk appetite can consider Buy above Rs.149 with tight stop loss of Rs.146 for a Target of Rs.155.

HDIL (299.75)

After making “Bearish Engulf“ on 8 March 2010 stock was in continuous downtrend and finally stock has found bottom on 23 March with “DOJI” and since then stock was in accumulation zone with small bodies on each day. Yesterday stock has formed “Long White candle” a bullish candlestick pattern with strong volume breakout on daily chart. 3 days EMA has given positive crossover to 8 days EMA, more over stock has given close above 20 days EMA. Looking at all above technical evidence traders with moderate risk appetite can consider Buy above Rs.302 with tight stop loss of Rs.296 for a Target of Rs.319.

Market Outlook 1 April 2010 and Calls

2010-03-31T05:40:00.000-07:00

Nifty (5249)

Detailed study of intraday chart suggests that Nifty has experienced supply side pressure at higher level and finally daily chart has formed “High wave” pattern with longer upper shadow, which favors bear at this point of time as this occurred after yesterday’s “bearish engulf” a bearish candlestick pattern. Daily momentum indicators are showing more weakness. Over all technical scenario remains bearish as Long as nifty is trading below 5300 level on closing basis.

BGR Energy (537.15)

Yesterday stock has made “Long White Candle” bullish candlestick pattern with strong volume breakout on daily chart. Stock has also broken mid January trend line and closed at important resistance level of 541. Daily momentum indicators are featuring in bullish zone and short term moving averages showing upward move in daily chart. Weekly RSI has also given positive crossover to signal line. Looking at all above technical parameters trader with moderate risk appetite can consider Buy above Rs.541 with tight Stop loss of Rs.527 for a Target of Rs.572.

TV-18 (75.90)

Stock was in accumulation zone from the low of 72, tested in mid March and yesterday stock has formed “Long White Candle” a bullish candlestick pattern with strong volume breakout on daily chart. 3 Days EMA has given positive crossover to 8 days EMA and also closed above 20 days EMA , suggests upward movements is likely to continue. Daily momentum indicators are featuring in bullish zone. Weekly RSI has also given positive crossover to signal line. Looking at all above technical parameters trader with moderate risk appetite can consider Buy above Rs.76.50 with tight Stop loss of Rs.73.50 for a Target of Rs.82.

Market Outlook 30 March 2010 and Calls

2010-03-29T08:17:00.000-07:00

Nifty (5302.85)

Nifty daily chart has formed “Spinning Top” an uncertain candlestick pattern at higher level, suggests some amount of supply at higher level. Although Nifty mange to close above previous day’s high and broken psychological 5300 level. Daily momentum indicators are in over bought zone which indicates profit booking on higher level cannot be ruled out, technically buying on dips strategy will work well as we are in intermediate term up trend.

Tata Chemical (319.80)

Stock is making higher highs and higher lows from last three trading days and yesterday stock has formed “Long White Candle” a bullish candlestick pattern with decent volume breakout, moreover Stock has also given mid January supply line breakout. Daily momentum indicators are also featuring in bullish zone. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.321 with tight Stop Loss of Rs.316 for a Target of Rs.336.

HPCL (320.40)

Stock was in down trend after making high of 371 in late February, Yesterday stock has formed “Hammer” or “White power Line” a bullish candlestick pattern which technically suggest initial stage of trend reversal. Daily momentum indicators after appearing in over sold zone given positive cross over to signal line, although volume is not supportive at this time. Short term moving averages are also showing upward move. Looking at all above implication traders with moderate risk appetite can consider Buy above Rs.321 with tight Stop Loss of Rs.313 for a Target of Rs.338.

Market Outlook 29 March 2010 and Calls

2010-03-26T10:19:00.000-07:00

Nifty (5282)

Last week Nifty opened on “Black Opening Marubozu” a bearish candlestick pattern but since then market recovered in three days with higher highs higher lows and broken previous swing high of 5269 level. Daily momentum indicators are featuring in overbought zone. On weekly chart Nifty has formed “High Wave” pattern which favors uncertainty in market and if Nifty breaks down 5260 level on closing basis then we may see some sign of bear attack in market. Immediate Strong resistance placed at 5315 level and two closes above this level will invite bull to take charge and possible target will be 5375 level. Over all buying on dips strategy works well as long as Nifty is trading above 5145 level.

Dabur (165.20)

Stock was in down trend from early march after reaching high of 175 level , on 25 March stock has formed “Hammer” and on 26 march Stock has formed“Long White Candle” this both favor bulls in coming trading days. Daily RSI and Stochastic has given positive crossover to signal line and is on the verge of bullish zone. Short term moving averages showing upward move in stock. Looking at all above implication traders with moderate risk appetite can consider Buy above Rs.166 with tight stop loss of Rs.162 for a Target of Rs.174.

EKC (122.45)

Stock was making lower lows and lower highs with narrow trading range from early March , on 26 March stock has formed “Long White candle” a bullish candlestick pattern with strong volume breakout on daily chart, suggests up move is likely to continue. 3 days EMA has given positive cross over to 8 days EMA, moreover stock has given strong close above 20 days EMA. Weekly RSI and volume also favors bulls in coming days. . Looking at all above implication traders with moderate risk appetite can consider Buy above Rs.123.50 with tight stop loss of Rs.119 for a Target of Rs.131.

Cairn India (295.05)
Stock was in uptrend from mid March and on 26 March stock has formed “Dark cloud Cover” a bearish candlestick pattern and reliability of pattern is high, as this occurred almost in over bought zone. Daily momentum indicators and short term moving averages are sending tired out signal at higher level. MACDh is also generating sell signal. Looking at all above implication traders with moderate risk appetite can consider Sell at current level with tight stop loss of Rs.303 for a Target of Rs.279.

Market Outlook 26 March 2010

2010-03-25T04:24:00.000-07:00

Nifty (5260)

Yesterday some buying seen in later part of the day in Market and Nifty ended with “White Small Candle” with longer lower shadow, favors buying on dips. Nifty is holding gain above early January supply line with strong immediate support at 5200. Daily momentum indicators are suggesting indecision at this juncture. Short term trend reversal resistance placed at 5310 and support placed at 5070 levels, in between range provide uncertainty over trend.

Hindustan Unilever (232)

Stock has broken Accumulation zone of 218-230 range with strong volume breakout and formed “White Opening Marubozu” a bullish candlestick pattern on daily chart. 3days EMA has given positive cross over to 8 days EMA. Daily momentum indicators are featuring in bullish zone. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.234 with tight stop loss of Rs.229 for a Target of Rs.245.

HCL Infosystem (133.65)

Stock was making “Lower highs and lower lows” from early March and yesterday it has formed bullish candlestick pattern called “Three Outside Up” with rising volume on daily chart. 3days EMA has given positive cross over to 8 days EMA, also stock has given close at 20 days EMA. Daily momentum indicators are featuring in bullish zone. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above Rs.134.50 with tight stop loss of Rs.131 for a Target of Rs.143.

Market Outlook 23 March 2010 and Calls

2010-03-22T07:00:00.000-07:00

Nifty (5205)

As said in previous edition about weakness in Nifty and exactly yesterday we saw supply at higher level. Nifty daily chart has formed “Black Opening Marubozu” a bearish candlestick pattern; suggest weakness is likely to continue in coming trading days. Daily RSI and Stochastic has given negative crossover to signal line from over bought zone. MACDh is giving sell signal. Weekly RSI has also started showing some sign of weakness after sending tired out signal in last week. Short term trend reversal resistance placed at 5310 and support placed at 5070 levels, in between range provide uncertainty over trend.

SAIL (239.40)

Stock was in uptrend from the low of Rs.198 in early February 2010 and yesterday Stock has formed “Evening Doji Star” a bearish candlestick pattern on daily chart, theoretically reliability of pattern is high. Short term moving averages showing negative strength on daily chart. Daily momentum indicators have given negative crossover to signal line. Weekly RSI is on the verge negative crossover , depicts negative strength in stock. Looking at all above technical parameters traders with moderate risk appetite can consider Sell below Rs.238 with tight stop loss of Rs.242 for a Target of Rs.228.

Punj Lloyd (176.65)

From early February stock has formed multiple bottom at Rs.170 and shown bounce back there on. Yesterday stock has formed “Long White Candle “a bullish candlestick pattern with strong volume breakout on daily chart. Daily RSI and Stochastic has given positive crossover to signal. Weekly RSI also sensing strength in stock. Looking at all above implications traders with moderate risk appetite can consider Buy above Rs.178 with tight stop loss of Rs.172 for a Target of Rs.189.

Market Outlook 22 March 2010 and Calls

2010-03-20T22:19:00.000-07:00

Nifty (5263)

Last week Nifty has formed “Bearish Advance Block Pattern” candles consist from 15 March to 17 March and finally Nifty appeared in overbought zone first time after 1 October 2009. Advance block pattern suggest that market is tired and some sign of selling or supply at higher level cannot be ruled out. Daily momentum indicators are hovering in over bought zone. On weekly chart front, from last six week Nifty is making higher highs higher lows but weekly moving average sends tired out signal. Immediate resistance placed at 5310 level and short term important support placed at 5070 level.

HDFC Ltd. (2694)

Stock was continuously up from the mid February and finally it has given trend reversal signal on 18march 2010 where it has formed “DOJI”. On Friday stock has completed “Evening Doji Star” a bearish candlestick pattern and reliability of this pattern is very high as this occurred in over bought zone. Daily momentum indicators have given negative cross over to signal line. On weekly chart front stock has formed “Long Legged Doji” after five weeks of higher highs and higher lows which also suggests tiredness at higher level. Looking at all above parameters trader with moderate risk appetite can consider Sell at current level with tight stop loss of Rs.2718 for a Target of Rs.2625-2610.

Federal Bank (257.60)

After making “Dark Cloud Cover” on 5 March stock was consolidating and finally on Friday Stock has formed “Bearish Engulf” a bearish candlestick pattern on daily chart. 3 days EMA has given negative cross over to 8 days EMA and stock closed below its 20 days EMA. Daily RSI also making lower highs and lower lows which also favors bears. Looking at all above technical parameters trader with moderate risk appetite can consider Sell below 256 with tight stop loss of Rs.260 for a Target of Rs.248.

Chambal Fertiliser (61.10)

Stock was in continuous down trend from the high of 74 in mid February and finally made a bottom on 16 March with “Bullish Engulf” a bullish candlestick pattern. On Friday stock has formed “Long White Candle” with strong volume breakout on daily chart. 3 days EMA has given positive crossover to 8 days EMA. Daily momentum indicators are on the verge of bullish zone. On weekly chart front stock has formed “Piercing Pattern” a bullish candlestick pattern, weekly RSI also showing strength on chart. Looking at all above technical evidence trader with moderate risk appetite can consider Buy above Rs.61.25 with tight stop loss of Rs.58.50 (closing basis) for a Target of Rs.66.

Market Outlook 19 March 2010 and Calls

2010-03-18T07:12:00.000-07:00

Nifty (5245.90)

Yesterday Nifty has made “Small White Candle” and shown some sign of tiredness at higher level. detailed study of intraday chart pattern also suggests uncertainty over bulls and bears. As said yesterday market is hovering in over bought and technically we may see some supply at higher level. Near term strong support placed at 5110 and Resistance placed at 5310 levels.

Tata Communication (295.10)

Stock was in continuous downtrend from mid January and formed bottom at 270 zones in mid march, from last four days stock was in accumulation zone and yesterday stock has formed “Long White Candle” bullish candlestick pattern with strong volume breakout on daily chart. 3 days EMA has given positive cut to 8 days EMA, more over stock has given breakout to 20 days EMA after long period. Looking at all above parameters traders with moderate risk appetite can consider Buy above Rs.297 with tight stop loss of Rs.290 for a Target of Rs.312.

TCS (825.85)

Stock was making higher highs and higher lows from last seven days and yesterday stock has made “Bearish Engulf” bearish candlestick pattern on daily chart. Daily Momentum indicators are showing sign of weakness after reaching in over bought zone. Detailed study of intraday chart pattern also witness supply at higher level. Looking at all above parameters traders with moderate risk appetite can consider Sell below Rs.821 with tight stop loss of Rs.830 for a Target of Rs.802.

Market Outlook 18 March 2010 and Calls

2010-03-17T08:33:00.000-07:00

Nifty (5231.90)

Yesterday nifty traded in good 83 points range and ended with decent gain. On daily candle nifty has formed relatively higher upper shadow compare to lower shadow, suggests some supply at higher level. Important point to note here is that nifty entered first time in overbought zone after 1 October 2009. Important resistance placed at 5310 level, which will work as good supply area and little correction from there on will treat as healthy correction. Strong Near term support shifted up to 5100 level.

SCI (157.80)

On daily chart Stock has formed “Inverted Head and Shoulder” a bullish pattern, more over yesterday stock has given strong volume breakout with “Long White Candle“ a bullish candlestick pattern. All daily momentum indicators are featuring in bullish zone and showing strength for near term, especially MACDh has given strong buy signal. Looking at all above parameters trader with moderate risk appetite can consider Buy above Rs.159 with tight Stop loss of Rs.155 (closing basis) for a Target of Rs.172.

India

Info (123.20)

Stock is making higher highs and higher lows from last two trading days and yesterday stock has given strong volume breakout. 3 days EMA has given positive cross over to 8 days EMA. Important swing high placed at 125 level , crossing this level stock will invite bull to take charge. Daily momentum indicators are featuring in bullish zone. Looking at all above parameters trader with moderate risk appetite can consider Buy above Rs.125 with tight Stop loss of Rs.121.50 for a Target of Rs.132.

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Market Outlook 17 March 2010 and Calls

2010-03-16T08:35:00.000-07:00

Nifty (5198)

Yesterday buying was seen in the later part of the day and finally nifty has broken eight days consolidation zone and formed “Long White Candle” a bullish candlestick pattern. Daily momentum indicators are on the verge of overbought zone. Now strong support placed at 5070 level as long as Nifty is trading above this level buy on dips strategy works well.

IVRCL (335)

Stock has formed “Long White candle” a bullish candlestick pattern with strong volume breakout on daily chart. 3 days EMA has given positive cut to 8 days EMA, Daily RSI featuring in bullish zone and ADX placed at 32 which suggests up move is likely to continue. Looking at all above technical parameters trader with moderate risk appetite can consider Buy above Rs.338 with tight Stop Loss of Rs.331 for a Target of Rs.351.

Polaris (166.55)

Stock has formed “Three Outside Up” bullish candlestick pattern with strong volume breakout on daily chart and broken previous swing high. Daily RSI is featuring in bullish zone, +DI line has given positive cut to –DI and ADX line, suggest up move is likely to continue in stock. Looking at all above technical parameters trader with moderate risk appetite can consider Buy above Rs.167 with tight Stop Loss of Rs.163 for a Target of Rs.174

Market Outlook 16 March 2010 and Calls

2010-03-15T07:36:00.000-07:00

Nifty (5128.90)

Nifty daily chart has formed “Long Legged Doji” an uncertain candlestick pattern but it is at higher level and here significance is more for weakness. From last 8 trading days Nifty is trading in the range bound movement with uncertain candles. As said in last note 5050 and 5310 will work as a strong short term support and resistance level respectively in near term. Scenario slightly favors bear for today. Over all remain cautious and capital preservation is more advisable.

CESC (411.75)

After making low of 368 in late February Stock is in uptrend and Yesterday stock has broken 50 % retracement level of previous corrective wave with “Long White candle” and strong volume breakout on daily chart, combination suggest momentum is likely to continue. Daily Momentum indicators are featuring in bullish zone. Weekly RSI also featuring in bullish zone and making higher highs and higher lows pattern. Looking at all above technical parameters trader with moderate risk appetite can consider Buy in range of 409-412 with tight stop loss of Rs.403 for a Target of Rs.428.

M&M (1105)

After a withdraw of recent high of Rs.1155 today stock has formed a “Black Opening Marabozu” a candlestick reversal pattern. Also today stock is well closed below its 5DEMA a near term moving average market indicator which imbibe negativity in the stock for near term. Also Momentum indicators like RSI, MACDh and Stochastic has also given negative crossover to signal line. The vital trend direction indicator ADX is at 27 Which will supports the trend in near future. Looking at all implications Trader with moderate risk appetite can Sell below Rs.1101 with a stop loss of Rs 1113 and Target of Rs.1077.

Market Outlook 15 March 2010 and Calls

2010-03-14T04:40:00.000-07:00

Nifty (5137)

Last Week Nifty remains in consolidation zone after making “Three White Soldier” in preceding week. Important point to note on weekly chart is that open and low was same, which suggests sentiments in near term looks well. Detailed study of Weekly chart suggests that Nifty is trading in a horizontal price channel Pattern, upper zone ends at 5310 level, crossing which provide real Bull Run in the market. Daily RSI is suggesting strength on chart where as MACDh is showing some sign of weakness, over all technical scenario favors bull as long as nifty is trading above 5050 level.

Hind Zinc (1250)

On Daily chart stock has formed “Three Outside Up” bullish candlestick pattern and western technique side stock has formed “Cup and Handle” a bullish pattern, combination of this two brings strong upside move in the stock. Also On Friday stock has given strong volume breakout, Daily Momentum indicators are featuring in bullish zone. Looking at all above technical parameters trader with moderate risk appetite can consider Buy above Rs.1250 with tight Stop loss of Rs.1222 for a Target of Rs.1325.

Chennai Petro (254)

Stock was consolidating in the range of 238-249 from late February, on Friday stock has formed “Long White Candle” bullish candlestick pattern with strong volume, which suggest up move is likely to sustain. Daily RSI, Stochastic has given positive cross over to signal line and MACDh has given strong buy signal. Weekly RSI also featuring in bullish zone. Looking at all above technical parameters trader with moderate risk appetite can consider Buy above Rs256. with tight stop loss of Rs.249 for a Target of Rs.270.

January IIP Numbers

2010-03-12T05:22:00.001-08:00

Today India posted its IIP (Index of Industrial Production)Data for the month of January, compiled by CSO (Cental Statistical Organization). It was at 16.70% Vs 1.00% (Year on Year Basis) & 17.60% (Month on Month Basis). The IIP Data were somewhat in line with the Market Expectations. On YoY Basis, it was bound to be positive. At the same time, it has declined on MoM Basis, which is not at all a good indication.

With these good IIP Numbers, another hint comes from RBI is of raising of interest rates, which is expected due to growing inflation and better Industrial Production Growth numbers. The main reason for today's sudden dip in Infra & Realty stocks (DLF, HDIL, UNITECH, IVRCLINFRA, IBREALEST, PUNJLLOYD) was the same fear.

January IIP Internals are as follows:

Apr-Jan Quarter Industrial Growth at 9.60% Vs 3.30 % (YoY)

Manufacturing Sector Growth at 17.90% Vs 1.00% (YoY)

Mining Sector growth at 14.60% Vs 0.70% (YoY)

Electricity Sector Growth at 5.60% Vs 1.80% (YoY)

Basic Goods Sector Growth at 10.70% Vs -0.70% (YoY)

Capital Goods Sector Growth at 56.20 % Vs 15.90 % (YoY)

Intermediate Goods Sector Growth at 21.30% Vs -7.20% (YoY)

Consumer Durable Goods Growth art 4.20% Vs 3.60% (YoY)

Finance Minister, Mr. Pranab Mukherjee says, "For the two consecutive months, there has been a high growth. Perhaps it indicates that the manufacturing sector is going to make its substantial contribution to growth and it(growth) is on the path of fast recovery".

Market Outlook 11 March 2010 and Calls

2010-03-10T06:11:00.000-08:00

Nifty (5116)

Yesterday in intraday Nifty has formed “Deliberation Pattern” which is a bearish candlestick pattern and we saw some selling after that. Daily chart has formed “Long Legged Doji” which suggests uncertainty at higher level and volume was quite low yesterday. Daily momentum indicators are also suggesting uncertainty. On positive side 20 days EMA has given positive cross over to 50 days EMA and important point to note here is that market is note falling and it is just consolidating.

Mcleod Russel (245)

Stock has formed “Rounding bottom” a bullish a pattern and yesterday stock has given volume cross over with “Long White candle” suggests up move is likely to continue. Daily momentum indicators are featuring in bullish zone. weekly RSI is also on the verge of positive cross over. Looking at all above technical evidence trader with moderate risk appetite can consider Buy above Rs.247 with tight Stop loss of Rs.240 for a Target of Rs.263.

Market Outlook 10 March 2010 and Calls

2010-03-09T04:00:00.000-08:00

Nifty (5101.50)

Yesterday Nifty has shown weakness throughout the day and finally daily chart has formed “Small Black Candle” which suggests uncertainty in market and yesterday was the fourth days where Nifty has formed uncertain candle. Immediate support placed at 5 days EMA which is at 5078 level. Daily Momentum indicators are showing some sign of weakness on chart. Again Strong support placed in the range of 4993-4945 levels. Major Resistance placed at 5138-5160 levels.

JP Associates (143.35)

After making low of 122 in early February 2010, stock was in uptrend and on 8 March stock has formed “Doji” pattern, signals halt or reversal of current trend. Yesterday stock has formed “Evening Doji Star” bearish candlestick pattern and confirmed bearish trend. Daily momentum indicators are suggesting weakness. Weekly RSI also on the verge of negative cross over. Looking at all above technical parameters trader with moderate risk appetite can consider Sell below Rs.142.50 with tight stop loss of Rs.146 for a Target of Rs.135.50.

ALBK (142.95)

After making low of Rs. 127 in late February 2010, stock was making higher highs and higher lows pattern. Yesterday stock has formed “Dark Cloud Cover” bearish candlestick pattern on daily chart. Daily RSI is on the verge of negative cross over and Stochastic has given negative crossover to signal and came out from over bought region. MACD h is generating sell signal. Looking at all above technical evidence trader with moderate risk appetite can consider Sell below Rs.142.50 with tight stop loss of Rs.145 for a Target of Rs.136.

Market Outlook 9 March 2010 and Calls

2010-03-08T06:59:00.000-08:00

Nifty (5124)

As said yesterday Nifty is showing some sign of halt at higher level and waiting for fresh cues for further movement. From last three days nifty is trading in narrow range which suggests uncertainty at higher level. Important point to note here is that 20 Days EMA is on the verge of positive cross over to 50 days EMA. Near term scenario appears to be bullish and still buying on dips strategy works well. Strong support placed in the range of 4993-4945 levels. Major Resistance placed at 5138-5160 levels.

Rolta (186)

After a draw back of recent low of Rs. 172, today stock has formed a “Big White Candle” with a volume upturn in daily charts. Also stock is well trading above its 20 DEMA a near term moving average market indicator. Also Daily RSI is featuring in Bullish Zone and weekly RSI is on verge of positive crossover. Other daily Momentum indicators like MACDh and Stochastic have also given strong buy signal. A vital trend direction indicator ADX is at 26 which supports positivity in current trend. Looking at all above evidence stock can be bought above Rs.186 with a stop loss of Rs 182 and a target of Rs.194.

ABB (846)

Stock was trading in broad range of 770-830 since late January 2010 and from last four trading days stock is making higher highs and higher lows pattern. Yesterday stock has formed “Long White candle” bullish candlestick pattern with decent volume on daily chart. Daily and weekly momentum indicators are featuring in bullish zone. Looking at all above technical evidence momentum trader with moderate risk appetite can consider Buy above 846 with tight stop loss of Rs.833 for a Target of Rs.882.

Market Outlook 8 March 2010

2010-03-06T21:07:00.000-08:00

Nifty (5088.70)

Nifty daily chart has formed indecisive pattern from last two days but we would like to call it, a halt before any big up move, as market intermediate trend is up. Nifty daily chart has already given confirmation to “Bullish Head and Shoulder Pattern” and potential target for this pattern arrives at 5160-5225.Daily Momentum indicators are featuring in bullish zone. Weekly Chart is forming higher highs and higher lows pattern and RSI has given positive cross over to signal line. Over all technical scenario is positive and buying on dips works well in this type of market. Next Week Strong support placed in the range of 4993-4945 levels. Major Resistance placed at 5138-5160 levels.

Prakash Industries (224.80)

On daily chart Stock has formed “Ascending Triangle” a bullish continuation pattern, Friday stock has formed “Long White candles” and closed on breakout level with strong volume. Daily Momentum indicators are featuring bullish zone especially MACDh has given strong buy signal. Weekly RSI has given positive crossover to signal line and throughout the week volume was decent. Looking at all above technical evidence and Ascending triangle breakout suggests trader with moderate risk appetite can consider Buy above Rs.227 with tight stop loss of Rs.219 for a Target Rs.263.

IGL(223.40)

On daily chart stock has formed “Long White Candle” and given breakout from box range with strong volume on chart. Weekly RSI is reducing gap between signal line and is on the verge of positive cross over. Stock is well trading above 20DEMA a near term moving average market indicator. Daily momentum indicators like RSI, Stochastic and MACDh also featuring in bullish zone. Looking at all above technical evidence trader with moderate risk appetite can consider Buy above Rs.225 with tight stop loss of Rs.219 for a Target Rs.237-243.

Weekly Call Performance (2 March 2010 to 5 March 2010)

2010-03-05T05:38:00.001-08:00

No.	Date	Scrip	Action	Initiation	Target	Stop	Booked	Result	P/L%
				Price		Loss	Rate
1	2-Mar	Sesagoa	BUY	400	424	390	424	Tgt Achd	6.00%
2	2-Mar	Canara Bank	BUY	393	410	386	410	Tgt Achd	4.32%
3	3-Mar	Hexaware	BUY	68	74	65	73.2	Closed at	7.64%
4	3-Mar	Videocon	BUY	227	242	222	239.7	Tgt 1Achived	5.59%
5	4-Mar	NTPC	BUY	208	219	203	206	Call is on	-0.96%
6	4-Mar	Guj. Nre Coke	BUY	82	90	78	90	Tgt Achd	9.75%
7	5-Mar	HDIL	BUY	318	311	332	326.5	Call is on	2.67%
8	5-Mar	IB Realest	BUY	174	187	169.5	175	Call is on	0.57%

Market Outlook 5 March 2010 and Calls

2010-03-04T03:44:00.000-08:00

Nifty (5080)

As described in yesterday’s news letter we saw profit booking at higher level after appearance of “Three White Soldier”. On moving average front 20 days EMA is reducing gap between 50 days EMA which is a good sign for bulls. Daily Momentum indicators are featuring in bullish zone but Stochastic is hovering over bought zone which may invites selling pressure at higher level. Over all technical scenario is bullish so buying on dips strategy works well.

HDIL (316.15)
Stock is forming “Rounding Bottom “formation a bullish pattern and yesterday stock has broken 20 days EMA with decent volume on chart. Daily momentum indicators are featuring bullish zone and weekly RSI is reducing gap between signal line suggest up move in stock. Looking at all above technical parameters trader with moderate risk appetite can consider Buy above Rs.318 with tight stop loss of Rs.311 for a Target of Rs.332.

IB Realest (172.80)

Stock is making higher highs and higher lows from last three days and yesterday stock has broken 20 days EMA with decent volume on chart. Daily momentum indicators are featuring in bullish zone and weekly RSI has given positive cut to signal line. On candlestick front on weekly chart , previous week candle was “Long Legged DOJI’ and current up move in stock is forming “long white candle” which suggests bottom formation in stock. Looking at all above technical evidence trader with moderate risk appetite can consider Buy above Rs.174 with tight stop loss of Rs.169.50 for a Target of Rs.187.

Greece Announces $6.6 Billion in Budget cuts

2010-03-03T20:23:00.000-08:00

Greece Announces $6.6 Billion in Budget cuts

CLICK HERE

Market Outlook 4 March 2010 and Calls

2010-03-03T04:17:00.000-08:00

Nifty (5088)

Nifty daily chart has formed “Three White Soldier” bullish candlestick pattern and given strong breakout to “Bullish Head and Shoulder Pattern” potential target for this pattern arrives at 5160-5225. On moving average front since last two days 5 days EMA has given positive cross over to 20 days EMA and 50 days EMA , technically which may invites some bit of profit booking after sudden surge in up move. Strong support placed at neckline which is at 4948 level. Over all technical scenario is bulish buy on dips strategy will work well.

NTPC (207)

Stock has formed “White Opening Marubozu” bullish candlestick pattern with decent volume on daily chart. On moving average front stock has given strong close above 20 days EMA and 3 days EMA has given positive cross over to 8 days EMA , this both suggest up move in coming days. Daily Momentum indicators are featuring in bullish zone. Looking at all above technical parameters trader with moderate risk appetite can consider Buy above Rs.208 with tight stop loss of Rs.203 for a Target of Rs.219.

Guj NRE Coke (81)

Stock has formed “Bullish head and shoulder Pattern” and on candlestick front “Three White soldier” bullish candlestick pattern with decent volume breakout on daily chart. Daily Momentum indicators are featuring bullish zone and volume is increasing since last three days. Weekly RSI has also given positive cross over to signal line. Looking at all above technical parameters trader with moderate risk appetite can consider Buy above Rs.82 with tight stop loss of Rs.78 for a Target of Rs.90.

Market Outlook 3 March 2010 and Calls

2010-03-02T06:15:00.000-08:00

Nifty (5017)

Yesterday Nifty has broken consolidation range of 4800-4950 and closed above 50 days EMA, first time after 20 January 2010, 5 days EMA has also given bullish crossover to 20 days EMA. Daily momentum indicators are featuring bullish zone and as said yesterday over all scenarios favors bulls. Currently Nifty is trading above 50% retracement level of previous corrective wave and important level to watch out from here on is 5075 on upper side and on down side 4900 is good a support for current up move.

Hexaware (67.40)

After consolidating in the range of 73-78 in early to mid February 2010, stock was making lower lows and lower highs. Yesterday stock has given positive close with decent volume on daily chart after consecutive ten down days. Daily RSI and Stochastic has given positive cross over to signal and came out from over sold region, suggests strength in current up move. Looking at all above technical parameters trader with moderate risk appetite can consider Buy above Rs.68 with tight stop loss of Rs.65 for an initial Target of Rs.74.

Videocon Industries (226)

Stock is making higher highs and higher lows since last four days with decent volume on daily chart, moreover stock has given positive lose above 20 days EMA , 3 days EMA also given positive cross over to 8 days EMA. Daily RSI has given positive crossover and featuring in bullish zone. Weekly RSI is reducing gap between signal line. Looking at all above technical parameters we feels that up move in stock is likely to continue and trader with moderate risk appetite can consider Buy above Rs. 227 with tight stop loss of Rs.222 for a Target of Rs.238-242.

Market Outlook 2 March 2010

2010-02-28T23:39:00.000-08:00

Nifty (4922)

On daily chart Nifty has formed ‘Pennant” bullish continuation pattern and on candlestick front daily chart has formed “Long White Candle” with combination of high wave pattern suggests still mixed sentiments. Long white body suggests bullishness where as high wave pattern suggest selling pressure on higher level. Daily RSI entered in bullish zone and given strong breakout to 20 days EMA, suggest short term uptrend in nifty. On Weekly chart Nifty has formed “Three White soldier” bullish candlestick pattern and reliability of the pattern is high. Weekly RSI also entered in bullish zone. Potential target of ‘Pennants” is at 5250-5300 but it is too early unless and until Nifty closes above 5050 level. Overall technical picture is favoring bulls.

Sesa Goa (400)

After making low of 332 on 29 January 2010, stock has shown upward movement and side by side Daily RSI also making higher highs. On 26 February 2010 Stock has formed “bullish Price channel” pattern on daily chart with strong volume breakout. Daily Momentum indicators are also featuring in bullish zone. Weekly chart is making higher highs higher lows pattern and Weekly RSI is reducing gap between signal line. Looking at all above technical parameters trader with high risk appetite can consider Buy above Rs.400 with tight stop loss of Rs.390 for a Target of Rs.424 in seven trading days.

Canara Bank (393)

Stock was consolidating in the range of 373 to 393 range since last 15 trading session, on 26 February stock has formed “Long White Candle” bullish candlestick pattern on daily chart with strong volume breakout. On moving average front stock has given strong close above 20 days EMA and 3 days EMA has given positive cut to 8 days EMA. On oscillator front Daily RSI entered in bullish zone and MACD has given buy signal. Looking at all above technical evidence trader with moderate risk appetite can consider Buy above Rs.393 with stop loss of Rs.386 for a Target of Rs.405-Rs.410 in seven trading days.

Union Budget 2010 highlights

2010-02-26T06:56:00.000-08:00

Union Budget 2010 Highlights

Click Here

Compiled by my Dear Friend Sonal Natani

Market Outlook 26 February 2010 and Calls

2010-02-25T07:29:00.000-08:00

Nifty (4866)

Again consecutive “DOJI” days, suggests uncertainty over bulls and bears ahead of big event of Union budget. Daily Momentum indicators are flat and not suggesting any direction. Trader should simply wait for budget to announce and take cues from there. Again On downs side 4675 is a strong support and on upside 4918 is an important level to watch.

L&T (1535)

After making low of 1410 in mid February , stock is making higher highs higher lows and from last three days volume is increasing continuously which suggests accumulation in the stock. Daily RSI is featuring in bullish zone and MACDh has given strong buy signal on daily chart, more over Weekly RSI entered in bullish zone and given positive cut to signal line. Looking at all above technical Evidence trader with moderate risk appetite can consider Buy above Rs.1535 with tight stop loss of Rs.1511 for a Target of Rs.1605.

Indian Hotel (88.50)

After a move away of recent high of Rs.93 Stock was making lower lows on daily chart, Yesterday stock has formed a ”Long White candle” with a volume getaway, Also Momentum indicator RSI and Stochastic has given positive crossover to signal line, Vital trend direction indicator ADX is at 30 which designate potency for coming days. Looking at all above technical evidence trader with moderate risk appetite can consider Buy above Rs.89 with tight stop loss of Rs.86.50 and for a preliminary Target of Rs. 94-96.

Market Outlook 25 February 2010 and Calls

2010-02-24T05:24:00.000-08:00

Nifty (4858.60)

Yesterday Nifty open on soft note and traded throughout the day with “high wave” candlestick pattern in intraday chart with low volume which clearly suggests uncertainty before big event of Union Budget. Daily chart has formed “DOJI” pattern which also favors uncertainty in market. Again On downs side 4675 is a strong support and on upside 4918 is an important level to watch.

TCS (765.35)

Stock is making higher highs on daily chart as well as on weekly chart. Yesterday Stock has formed “Inverse Head and Shoulder “a bullish pattern with strong volume breakout on daily chart and Neckline placed at 766 level, more over stock has given close above 50% retracement level of previous impulse wave. Daily RSI and Stochastic is featuring in bullish zone with strong up move indication. Looking at all above technical evidence trader with moderate risk appetite can consider Buy above Rs.768 with tight stop loss of Rs.752 for a Target of Rs.808 in 5 Trading Days.

IBREALEST (161.30)

After making high of Rs.187 on 17 Feb 2010, stock is making lower lows and trading well below 20 days EMA. Yesterday Stock has formed “White Opening Marubozu” a bullish candlestick pattern with relatively decent volume on daily chart. Stock has given trend reversal signal on 23 Feb 2010 where it has formed “DOJI” after severe downfall. Daily RSI and Stochastic has given bullish cross over to signal line. Looking at all above technical parameters trader with moderate risk appetite can consider Buy above Rs.162 with tight stop loss of Rs.157 for a Target of Rs.173 in 5 Trading Days.

Market Outlook 24 February 2010 and Calls

2010-02-23T05:17:00.000-08:00

Nifty (4870)

Nifty daily chart has formed “White Spinning Top” this suggests uncertainty hovering in the market. Intraday chart study tells that nifty has given sharp fall and formed “Double Bottom” at 4857 level and bounce back to 4870 level. Stock specific activity is likely to continue as we are in budget week. On downs side 4675 is a strong support and on upside 4918 is an important level to watch. Simple word be cautious and capital preservation is advisable.

Patni (482.55)

Stock has formed “Bullish Engulf” bullish candlestick pattern on daily chart with strong volume break out. On moving average front stock has given strong breakout to 20 days EMA and entered in short term uptrend. Daily RSI is featuring in bullish zone. All other momentum indicators are also giving buy signal. Looking at all above technical evidence trader can consider Buy above Rs.483 with tight stop loss of Rs.472 for a Target of Rs.505.

ICICI BANK (848)

Stock has formed a “Bullish Engulf” a major candlestick pattern with a upright volume in daily charts. Also Stock is well trading above its 20DEMA a short term moving average market indicator.RSI had made higher high and featuring on the road to northward. Also other indicators like MACdh and Stochastic has also shown positive in stock which gives potency to the stock for near future. Looking at all above implications trader can Buy above Rs.852 with a stop loss of Rs.842 and Target of Rs.870.

Market Outlook 23 February 2010 and Calls

2010-02-22T06:24:00.000-08:00

Nifty (4856)

Nifty daily chart has formed “Gravestone Doji” bearish candlestick pattern, although this pattern occurred in consolidation zone and where macro factors are going to influence more rather than technical alone. As said earlier 4675 will work as strong support for the market and as long as this level sustains there should not be panic in market. Next important resistance to watch out is 4918 level, two closes above this level, invite bull to take charge. Trader should remain cautious and avoid spike on either side.

Hind Dorr Oliver (186.60)

Stock was trading in the range of 160-184 levels since last one and half month, yesterday stock has formed “White Opening Marubozu” bullish candlestick pattern and given breakout to trading range as well in volume on daily chart. Daily momentum indicators are featuring in bullish zone. Looking at all above technical evidence trader with moderate risk appetite can consider Buy above Rs.187 with tight stop loss of Rs.182 for a Target of Rs.198.

Titan (1763)

Stock was in continuous uptrend since mid December and yesterday Stock has formed “Bearish Engulf” bearish candlestick pattern, which may be the first bearish reversal signal for the stock, more over in last three days stock has faced strong resistance at 1850 levels with triple top formation. Daily RSI and Stochastic has given negative crossover to signal line. Looking at all above evidence trader can Sell below Rs.1760 with tight stop loss of Rs.1782 for a Target of Rs.1700-1692.

Market Outlook 22 February 2010 and Calls

2010-02-19T23:20:00.000-08:00

Nifty (4845)

Nifty daily chart has formed “Black Opening Marubozu” reliability of pattern is low and depicts neutral to negative bias. Weekly chart has formed “Long Legged Doji” suggests uncertainty in market. Last week was second week where market close above its open price and candles closing on 12 February 2010 has formed “Piercing Line” bullish candlestick pattern and reliability is the pattern is high. Low of this pattern is at 4675 which will work as strong support for the market and as long as this level sustains there should not be panic in market. Next important resistance to watch out is 4918 level, two closes above this invite bull to take charge.

Educomp (709)

After making “Dark cloud cover” bearish candlestick pattern on week ended 15 January 2010, stock was in continuous down trend and last week stock has formed “Morning star” bullish candlestick pattern with decent volume on weekly chart, reliability of the pattern is high. On more positive side Weekly RSI has given positive cross over to signal line and daily RSI featuring in bullish zone. on moving average front stock has given strong close above 20 days EMA suggest short term trend turned up in the stock. Looking at all above technical evidence trader with moderate risk appetite can consider Buy above Rs.710 with stop loss of Rs.675 for a Target of Rs.775-800 in 4 weeks time frame.

IOC (322)

On weekly chart stock has formed “symmetrical triangle” which is a continuation pattern and it has given bullish breakout with decent volume on weekly chart. Weekly RSi has given positive cross over to signal line. More over stock has given two consecutive close above 20 days EMA suggests continuation of short term uptrend. Dailly momentum indicators are featuring in bullish zone. Looking at all above technical parameters trader with moderate risk appetite can consider Buy above Rs.322 with tight stop loss of Rs.305 for a Target of Rs.373 in 4 week time frame.

Market Outlook 19 February 2010 and Calls

2010-02-18T04:19:00.000-08:00

Nifty (4888)

Nifty daily chart has formed “Small Black Candle” suggests uncertainty in the market. Strong support placed at 20 days Simple Moving average which is at 4866 levels. From here on we are expecting market to give more weight age to macroeconomic news rather than technical alone, as we have immediate near term trigger is Union Budget on 26 February 2010. Technically Nifty need strong and sustainable close above 4900 for up move. Any portfolio buying should be avoided till budget.

NTPC (205)

Stock is in Accumulation zone and found strong bottom at 200 level. Yesterday stock has formed “Bullish Engulf “ bullish candlestick pattern and reliability of pattern is high. Daily RSI is forming higher highs and heading towards bullish zone and Stochastic is already in strong buy mode, more over from last two days stock is experiencing strong volume, depicts buying seen at down level. Looking at all above we are considering this stock is one the safe bet for short term trader. Buy above Rs. 205 with tight stoop loss of Rs.200 (closing basis) for a Target of Rs.215-218.

Bombay Dyeing (556)

Stock was in consolidation zone between 498 to 542 since last few trading days and that range was below 20 days SMA, Yesterday Stock has made “Long White candle” bullish candlestick pattern with strong volume breakout more over stock has also given close above 20 days SMA. Daily RSI and Stochastic are already in strong buy mode. Looking at all above technical parameters trader with moderate risk appetite can consider Buy above Rs.556 with tight stop loss of Rs.544 (closing basis) for a Target o Rs.574.

Market Outlook 18 February 2010 and Calls

2010-02-17T06:49:00.000-08:00

Nifty (4914)

Daily chart has formed higher highs and higher lows pattern and after 20 January 2010, Nifty has given first time close above 20 days EMA and entered in short term uptrend. On candlestick front Daily chart has formed “White Opening Marubozu” bullish candlestick pattern, although reliability of pattern is low. Daily momentum indicators are in bullish zone. Over all technical scenario favors bull but sustainability at this level with volume is must for upmove.

Intraday Support:-4900-4881-4865

Intraday Resistance:-4936-4952-4974

Sesa goa (387)

Stock has formed “Rising Three Method” a bullish continuation Candlestick pattern with a volume upbeat. Also Stock is well trading above its 20DEMA. Moreover western indicators like RSI, MACDh and stochastic has also shown positivity in the stock which supports continuation of trend in coming days. Looking at all above implications stock can be bought above RS.388 with a Stop Loss of RS.380 and Target of Rs. 402

Uniphos (156)

Stock has made “Ladder Bottom “bullish reversal pattern and reliability of the pattern is medium. Daily RSI and Stochastic has given positive cross over to signal line. 3 days EMA has given positive cut to 8 days EMA. Volume is in increasing trend since last three days. Looking at all above technical evidence trader with moderate risk appetite can consider Buy above Rs.156 with tight stop loss of Rs.152 for a Target of Rs.163-165.

Market Outlook 17 February 2010 and Calls

2010-02-16T05:50:00.000-08:00

Nifty (4856)

Yesterday buying seen in later part of the day in market and Nifty ended with “Small White Candle” a relatively bullish candlestick pattern. 5 days RSI entered in bullish zone and MACDh has given signal of strong up move. Major trend decided resistance placed at 20 days EMA which is at 4893 level and Major support placed at 5 days EMA at 4817 level, either side breakout/down will provide more power in continuation in trend.

Intraday Support:-4840-4825-4800

Intraday Resistance:-4873-4890-4905

Century Textiles (498)

After a making recent low of Rs 449 Stock was in accumulation zone and yesterday stock has formed a ”Long White Candle” with a upturn volume breakout. Also 3DEMA has given positive crossover to 8DEMA and stock is well trading above its 20DEMA. Momentum indicators RSI, MACDh and Stochastic has given positive crossover which imbibes that current trend is likely to continue . Looking at all above implications high risk trader can be buy above Rs. 497 with a stop loss of Rs487 and target of Rs.519

Cipla (323)

Stock has formed “Long White Candle” with a polite volume from last some days. 3 DEMA has given positive crossover to 8 DEMA more over price is also close above 20 days EMA. Momentum indicator RSI, MACDh and Stochastic has given positive crossover in daily charts which supports positivity in the stock. Also a major trend direction indicator ADX is at 34 which provides strength to current trend. Looking at all above implications stock can be bought above Rs. 323 with a stop loss of Rs318 and target of Rs.334.