02-04-2014 MARKET TECHNICAL VIEW:

MARKET TREND:

Yesterday Market has taken Breath (particularly in bank nifty), even though it maintained positive close.   It formed Hangman Candle on second day also, which is required support candle to take clear direction. Till Nifty crosses yesterday's high 6732 it can be treated as bearish candle.  Yesterday RBI policy turned as no issue event, with mixed comments, cash inflows continued and Rupees has been closed @ 59.79.   Derivatives OI continued in bullish, by pushing bottom support to 6600 from 6400.  FII are in buy side in Index futures by 59 cr worth 1017 contracts, by squaring off 3730 longs and 4747 shorts and OI contacts were reduced by 8477 contracts.  And Equity segment also they bought worth  of 385 cr, which resulted Positive Breadth to Market.  As we discussed yesterday, even though Market is not in Bubble, definitely it is in over bought (daily basis) phase, Short Term/Positional Traders should go for profit booking at higher levels (6780/6800).   As Indices values/prospectors will change along with Rupee movement (RBI may go for buying USD to improve their Reserves), stock specific action can be witnessed.

Today our Nifty likely to open with positive bias (may gap up) in line with SGX Nifty (45 pts up @ 8 am) and likely to be range bound with positive bias.  Day Traders can trade Nifty Futures by following pivot levels.

NIFTY SPOT LEVELS:

Pivot: 6709
Resistance: 6743/6766/6800
Support: 6686/6652/6630

NIFTY FnO BAN: NIL

STOCKS FOR DAY:
UPL EQ: BUY > 190 TRG 196 SL 187
SSLT EQ: BUY > 192 TRG 195 SL 187
LNTFH EQ: BUY > 74.50 TRG 76.50 SL 73.50
PRICOL EQ; BUY > 27.25 TRG 27.75/28.25 SL 26.75


Disclaimer:  These are all my personal views only and not to influence others.