22-08-2014 MARKET TECHNICAL VIEW:

MARKET TREND - ROARING STOCKS:

Yesterday Nifty played with in the range as we expected.  Yesterday market was driven by news from Bank Sector (RBI quarters) and Oil Sector about their revamping exercise to streamline their activities.  Even though it hold at 7920, index closed in positive.    FIIs and DIIs are net buyers in Equity Segment for worth of 412.77 and 63.74 cr respectively.   In Index Futures FIIs are net sellers for the worth of 157.58 cr by accumulating shorts of 3050 and 958 longs contracts were square off.  As we mentioned earlier 7920 and 7740 levels are become very critical for nifty to take the clear direction.   Due to mid cap and small cap participation, market breadth continued to be in positive.   As negative divergence of indicators, Technical Traders are getting confused (RSI indicate positive and Movement Indicator gives Negative direction) and  also fueling volatility to play with in the range.  Derivative range is intact between 7700-8000 along with increased active range of 7900-8000.

Today Nifty likely to open with positive note in line with peer markets and likely to get resistance at 7920.   Day traders can go short with 7955 SL for the down side target.   Once Nifty closes above 7940 level,  Nifty may try for 8000/8020 level. Week end and derivative session (near)  to be kept in mind for carrying positions.

NIFTY SPOT LEVELS:

Pivot: 7889

Resistance: 7922/7952/7995

Support: 7858/7825/7794

NIFTY FnO BAN:

HDIL,  IBREAL, UNITECH

STOCKS FOR DAY:

KALYANI STEEL EQ: BUY > 110 TRG 116 SL 101/97

TECHMAH EQ: BUY > 2236 TRG 2247/2258 SL 2225

CIPLA EQ: SELL < 500 TRG 493/486 SL 507