Wednesday, May 7, 2014

08-05-14 MARKET TECHNICAL VIEW:

MARKET TREND:
Yesterday Nifty got puch by Bears to test life and death situation.  Bears have got relief and pushed Bulls to Do or Die Situation.   Yesterday Nifty broken its Fibonacci level of 61.8 and reached 50% level.  As FIIs have sold 15239 Index Future contracts for worth of 511.96cr (sold 17825 longs and added 2586 shorts by increasing 20411 OI) pushed PCR to 0.66 level, which indicate over sold situation.  But in Equity Segment FIIs bought 119 cr and DIIs sold 259cr.  As new instruments like Indix Vix Futures (some days volatility is more than 10 pts in May series) have changed Dynamics of Hedging Options, Technical Analysis has become more different with earlier instruments like Momentum Indicators & Fibonacci etc.   As 6500 Nifty Options (CE & PE) are very active and OI range is between 6400-7000, we have to understand Upper Chances are more than Down side.  If we wants to en-cash Nifty in its Sliding Situation, we have to maintain Strict Stop Loss.   Be cautious for 1 or 2 days for Nifty's Trend  establishment.

Today Nifty may open with Positive Note in line with Peer Markets and 6700  and 6750 likely to act as resistance. 

NIFTY SPOT LEVELS:
Pivot: 6671
Resistance: 6699/6747/6775
Support: 6624/6595/6548

NIFTY FnO BAN: REL. CAPITAL

STOCKS FOR DAY:
TTK HEALTHCARE EQ: BUY > 532 TRG 544 SL 525
RAJESH EXPO EQ: BUY > 130 TRG 133/137 SL 125.50

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