TECHNICAL OUTLOOK, 04 MAY

Nifty (spot) 3473.95



Nifty Intraday trading levels and range

Today, if Nifty trades above 3525 then it could test 3600.

Instead, if it sustains below 3525, then it could test 3400.



Nifty intraday Trading Strategy

For intraday, the crucial level is 3525. Trade short below this level and trade long above this level.


Nifty Positional Trading Strategy


Positional traders can initiate shorts if it fails to sustain above 3450 for a target of 2900 with a stop at 3450 and trade long above 3450 for a target of 3650 with a stop at 3450.



Short term Technical View of Nifty


The rally from the low of 2545 seems to corrective and it is likely to top out around 3600 and in the downside it is likely to test 2900 initially in coming trading sessions.


The maximum Nifty could go in the upside for the short term is 3600.




Medium term outlook of Nifty dated on 17 April 2009

The medium term outlook of Nifty would remain bearish if it fails to sustain above 3600. Nifty is likely to bottom out in the medium term at 2000-2200 levels in coming months and if it fails to sustain above this level, then it is likely to decline below 2000 levels.





Long term outlook of Nifty dated on 13 October 2008

The long term outlook of Nifty is looking bearish and it seems that Nifty is likely to bottom out in 6 months to 1 year if the bottom forms around 2000. If the level 2000 is not held, then Nifty is likely to take more than 1 year to bottom out.





Short term trading calls of Stocks for spot market



Reliance (spot)

The level 1820 is crucial for short term. If it sustains above 1820, then it is likely to rally towards 1920.

Instead, if it fails to sustain above 1820 in coming trading sessions, then it is likely to turn weak and it could decline towards 1600 initially.

Trading Strategy for Reliance

For intraday, the crucial level is 1820. Trade long above these levels and trade short below these levels.

Positional traders can initiate longs if it moves above 1820 for a target of 1920. Initiate shorts if it fails to sustain above 1820 for a target of 1600.



SBI (spot)

The crucial level for the short term for this scrip is 1320. If it fails to sustain above 1320, then it is likely to turn bearish and in the down side it could test 1100 in coming trading sessions.

Instead, if it sustains above 1320, then the short term trend would turn bullish and in the upper side it is likely to move towards 1400.


Trading Strategy for SBI

For Intraday, the crucial level is 1320. Trade long above this level and trade short below this level.

Positional traders can initiate shorts if it fails to sustain above 1320 for a target of 1100. And initiate longs if it sustains above 1320 for a target of 1400.



Ongc (spot)

The level 880 is crucial in the short term. If the scrip trades above this level, the short term would turn bullish and in the upper side it could test 930.

If it fails to sustain above 880, then the trend would turn bearish and in the downside it is likely to decline towards 750 initially.


Trading Strategy for Ongc


For intraday, the crucial level is 880. Trade long above this level and be short below this level.

Positional traders can initiate shorts if it fails to sustain above 880 for a target of 750. Initiate longs if it sustains above 880 for a target of 930.





Icici Bank (spot)

The level 470 is crucial for this scrip in the short term. If it sustains above this level, then it is likely to see a rally from these levels towards 530.

Instead, if it fails to sustain above 470, the short term trend would turn bearish and in the downside it is likely to decline towards 400 initially.



Trading Strategy for Icici Bank

For intraday, the crucial level is 470. Trade long above this level and be short below this level.

Positional traders can initiate shorts if the scrip fails to sustain above 470 for a target of 380. Initiate longs if it sustains above 470 for a target of 530.




Infosys (spot)

The crucial level for the scrip in the short term is 1500. The trend would remain bearish for this scrip if it sustains below 1500 and in the down side, it could test 1300 initially.

If the scrip sustains above 1500, then the scrip is likely to turn bullish in the short term and in the upper side it could rally towards 1580.


Trading Strategy for Infosys

For intraday, the crucial level is 1500. Trade long above this level and be short below this level.

Positional traders can initiate longs if the scrip sustains above 1500 in the upside for a target of 1580. Short if it fails to sustain above 1500 for a target of 1300.


Visit us at:
www.sathiamoorthy.com

Contact:
9381203517
sathiamoorthyd@gmail.com
Yahoo Messenger Id - sathiamoorthyd@yahoo.com
Chennai