Monday, June 16, 2008

DAILY REPORT FOR 16 JUNE, 2008

NIFTY (4517 -22 pts)

Supp 4485/4450/4390 Res 4570/4610/4635

SENSEX (15189 -60 pts)

Supp 15120/14960/14640 Res 15330/15440/15550

Review of the previous session:-

  • Volumes dropped significantly as it was quite a ranged day all the way. Whole day Nifty moved between 4550 and 4500 and stock-specific movement was only seen. Healthcare stocks were outperformers. Realty and Metals faced selling pressure.

  • Inflation surged to a seven year high of 8.75% vs 8.24% last week, threatening to go past 9% next week itself.

  • BSE Breadth 1445 Adv-1156 Dec NSE Breadth 630 Adv-578 Dec Upper Circuit - 218 Lower Circuit – 102

  • BSE Vol Rs 5847 Cr NSE Vol Rs 11913 Cr F&O NSE Vol Rs 41003 Cr

  • FIIs sold Rs 116 Cr in cash market and MFs bought 457 Cr. In F&O, FIIs bought Index Futures worth Rs 167 Cr and bought Stock Futures worth Rs 224 Cr. Their Outstanding position in Futures is 41158 Cr and Options is 21698 Cr.

  • Additional Data:- Gold $873.10/oz Nymex Crude $134.86/bbl

F&O observations:-

  • Bullish build-up – KPIT, Chambal, MahLife, NagarFert, 3IInfotech, Dr Reddy, GAIL, ONGC, Idea

  • Bearish build-up – Tata Comm, Suzlon, DLF, PNB, Hind Unilever, HDFC, M&M, NTPC

  • OI 81167 Cr (+1384 Cr) Nifty OI up 2% PCR 1.61 (from 1.61)

Outlook for 16 June, 2008:-

  • Markets to open firm. Nifty has to cross 4570 to reach 4610 and 4635. Selling from higher levels is not ruled out. Today’s closing being above 4556 can give way to more bounce for a day or two. But failure in that can give way to more selling in days to come.

  • Support for the Nifty is at 4480 and below that one should have a cautious view. Breaking of 4390 support can give way to panic selling. Advance Tax numbers will be out this week and they can give further signals.

Ideas for Trading (for short-term position):-

Voltas (144.70):- The stock may move down. One can go short around 147-149 SL 155. The target can be 130-133.

Catch them falling (Ideas for Investment):-

No Picks


Disclaimer: These recommendations are based on the theory of technical analysis and personal observations. This does not claim for profit. I am not responsible for any losses made by traders. It is only the outlook of the market with reference to its previous performance. You are advised to take your position with your sense and judgment. I am trying to consider the fundamental validity of stocks as far as possible, but demand and supply affects it with vision variations.

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