TECHNICAL OUTLOOK, 22 SEPTEMBER

Daily Newsletter


Nifty (spot) 4245.25



Nifty Intraday trading levels

Today, if Nifty trades above 4220, then it could test 4360. Instead, if it fails to sustain above 4380, then it could decline towards 4220.



Nifty Trading Strategy for intraday and positional trading

For intraday, the crucial level is 4380. Trade short below this level and trade long above this level.

Positional traders can initiate shorts if it fails to sustain above 4380. Initiate longs if it sustains above 4380 with a stop at 4350.




Short term Technical View of Nifty

Now, the level 4380 in the upper side is crucial in the short term. As long as it trades below this level, the short term trend is likely to remain bearish. If it trades above 4380 then it could test 4700.

As the market has bounced from a level very closer to its low of 3790, without violating it, chances for a strong rally from now onwards is likely if the level 4380 is broken in the upside. Until then Nifty is vulnerable for a downside.





Extreme Short term technical view of Nifty

In the extreme short term, the level 4380 is crucial.




Medium term outlook of Nifty dated on 02 July 2008

The medium term outlook of Nifty has turned bullish and it is likely to move towards 5500 by this year end and this view holds good as long as Nifty stays above 3600.



Long term outlook of Nifty dated on 02 July 2008

The long term outlook of Nifty is looking bullish and it seems that Nifty is in the middle of this bull run. So, the bull run is likely to continue for another 4 to 5 years and this view holds good as long as Nifty stays above 3600.



Short term trading calls of Stocks for spot market



ACC

The level 635 is crucial in the short term for this scrip. If it sustains above this level, then it is likely to turn bullish. In the upper side, it is likely to test 720 in the short term.

Instead, if it fails to move above 635, then in the downside it is likely to decline towards 540.


Trading Strategy for Acc

For intraday, the crucial level is 635. Trade long above this level and trade short below this level.

Positional traders can initiate shorts if it fails to sustain above 635 for a target of 540. Initiate longs if it sustains above 635 for a target of 720.



Divislab

The crucial level for the short term for this scrip is 1475. If it sustains above this level, then it is likely to turn bullish further and in the upper side it 1600.

Instead, if it fails to sustain above 1475, then the short term trend would turn bearish and in the downside it is likely to decline towards 1350.

Trading Strategy for Divislab

For Intraday, the crucial level is 1475. Trade long above this level and trade short below this level.

Positional traders can initiate shorts if it fails to move above 1475. And initiate longs if it sustains below 1475.



Rcom

The level 405 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 450.

If it fails to sustain above 405, trend would turn bearish and in the downside it is likely to decline towards 350.


Trading Strategy for Rcom

For intraday, the crucial level is 375. Trade long above this level and be short below this level.

Positional traders can initiate shorts if it fails to sustain above 405. Initiate longs if it sustains above 405 for a target of 450.





M&M

The level 570 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 to 630.

Instead, if it fails to trade above 570, the short term trend would turn bearish and in the downside it is likely to decline towards 535.

In the downside, the level 535 is crucial. if it sustains above this level, then it is likely to move towards 570.


Trading Strategy for M&M

For intraday, the crucial level is 555. Trade long above this level and be short below this level.

Positional traders can initiate shorts if the scrip fails to move above 570. Initiate longs if it sustains above 570.




SBI

The crucial level for the scrip in the short term is 1650 and 1550. The trend would remain bullish for this scrip if it sustains above 1550 and in the upper side it could test 1650.

In the upper side, the level 1650 is crucial. If it moves above this level, then it is likely to rally further towards 1750. If not, it is likely to see a short term correction from this level.


Trading Strategy for SBI

For intraday, the crucial level is 1580. Trade long above this level and be short below this level.

Positional traders can initiate longs if the level 1550 is held for a target of 1650. Short if it fails to sustain above 1650.



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TECHNICAL OUTLOOK, 19 SEPTEMBER

Daily Newsletter


D Sathia Moorthy


Nifty (spot) 4038.15



Nifty Intraday trading levels

Today, if Nifty trades above 4150, then it could test 4220. Instead, if it fails to sustain above 4150, then it could decline towards 4050.



Nifty Trading Strategy for intraday and positional trading

For intraday, the crucial level is 4150. Trade short below this level and trade long above this level.

Positional traders can initiate shorts if it fails to sustain above 4150. Initiate longs if it sustains above 4150.




Short term Technical View of Nifty

Now, the level 4220 in the upper side is crucial in the short term. As long as it trades below this level, the short term trend is likely to remain bearish. If it trades above 4220 then it could test 4350.

As the market has bounced from a level very closer to its low of 3790, without violating it, chances for a strong rally from now onwards is likely if the level 4350 is broken in the upside. Until then Nifty is vulnerable for a downside.



Extreme Short term technical view of Nifty

In the extreme short term, the level 4220 is crucial.




Medium term outlook of Nifty dated on 02 July 2008

The medium term outlook of Nifty has turned bullish and it is likely to move towards 5500 by this year end and this view holds good as long as Nifty stays above 3600.





Long term outlook of Nifty dated on 02 July 2008

The long term outlook of Nifty is looking bullish and it seems that Nifty is in the middle of this bull run. So, the bull run is likely to continue for another 4 to 5 years and this view holds good as long as Nifty stays above 3600.





Short term trading calls of Stocks for spot market



DLF

The level 365 is crucial in the short term for this scrip. If it sustains above this level, then it is likely to turn bullish. In the upper side the level 450 is crucial. If it moves above this level, then it is likely to rally further towards 600.

Instead, if it fails to move above 450 or if it fails to sustain above 365, then in the downside it is likely to decline towards 250.


Trading Strategy for DLF

For intraday, the crucial level is 410. Trade long above this level and trade short below this level.

Positional traders can initiate shorts if it fails to sustain above 365 for a target of 250. Initiate longs if it sustains above 365.



L&T

The crucial level for the short term for this scrip is 2640. If it sustains above this level, then it is likely to turn bullish and in the upper side, if it moves above 2750, then it is likely to rally further towards 3000.

Instead, if it fails to sustain above 2640, then the short term trend would turn bearish and in the downside it is likely to decline towards 2450.

Trading Strategy for L&T

For Intraday, the crucial level is 2640. Trade long above this level and trade short below this level.

Positional traders can initiate shorts if it fails to move below 2640. And initiate longs if it sustains below 2640.



Tata Motors

The level 440 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 500.

If it fails to sustain above 440, trend would turn bearish and in the downside it is likely to decline towards 400.


Trading Strategy for Tata Motors

For intraday, the crucial level is 415. Trade long above this level and be short below this level.

Positional traders can initiate shorts if it fails to sustain above 440. Initiate longs if it sustains above 415 for a target of 440.





Reli infra

The level 940 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.

Instead, if it fails to trade above 940, the short term trend would turn bearish and in the downside it is likely to decline towards 850. In the downside, the level 850 is crucial if it sustains above this level, then it is likely to move towards 940.


Trading Strategy for Reli infra

For intraday, the crucial level is 850. Trade long above this level and be short below this level.

Positional traders can initiate shorts if the scrip fails to move above 940. Initiate longs if it sustains above 850.




Tata Steel

The crucial level for the scrip in the short term is 440 and 540. The trend would turn bullish for this scrip if it moves above 540.

Instead, if it fails to move above 540, the short term trend would turn bearish and in the downside it is likely to decline towards 380.



Trading Strategy for Tata Steel

For intraday, the crucial level is 460. Trade long above this level and be short below this level.

Positional traders can initiate longs if the level 440 is held for a target of 530. Short if it fails to sustain above 540.