Market outlook for 07/12/09

On Friday Nifty opened in negative, but on the back of firm Asian clues went upto 5161 (our resistance level of 5168) and sold off to the levels of 5080 (Our support at 5100 & 5068). It recovered some lost ground during the last one hour of trade to close at 5108.90 -22.80, whilst Nifty December Future closed at 5130 point premium of 21.1 points. The week on week basis it has closed with a more than 3.0% gain, which is positive.

• FII sold in index options, index futures, and stock futures but bought in cash (Net Sell 198 Crore)
• US markets closed just flat to positive.
• Global cues are flat to Positive.
• SGX nifty is flat as of now.
• Most Active December Nifty Call Option: 5100 and 5200.
• Most Active December Nifty Put Options: 5100 and 5000.

Over all view: Volumes are low and market breadth was marginally negative. Today the index may face resistance at 5138, 5168 and 5188. Once these levels are taken out with volume, our next target will be 5208. On the down side, if the benchmark trades below 5117 it may slip to 5081, 5068 and 5032. Although Nifty in short term appears to have upside left but profit booking may pull it down to 5036 and 4996, any close below these can be very bearish.

NIFTY Technical
Current Spot: 5108.90
Pivot: 5117.50
3DEMA: 5111
7DEMA: 5090
20DEMA: 5036
RSI (7 days): 58.93
Supports: 5073 - 5038
Resistance: 5153 - 5197

Target Nifty
Buy Nifty above 5118 - 5129 - 5141 - 5153 - 5175 - 5197 SL - 5100
Sell Nifty below 5100 - 5091 - 5082 - 5073 - 5055 - 5037 SL - 5119

Stock Ideas for the Day
Reliance Industries: Buy above 1091 for targets of 1101, 1117, 1128 SL of 1080
Reliance Industries: Sell below 1080 for targets of 1075, 1064, 1048 SL of 1092
Indusind Bank: Buy above 137 for targets of 145, 151 SL of 130
EssarOil: Buy above 146 for targets of 150, 154.6 SL of 141.5 (Hold for target upto 158)
Rolta: Buy above 183.8 for targets of 186.5, 190.2 SL of 180.1
Cipla: Buy above 359.8 for targets of 365.4, 371.9 SL of 355.1

Positional Call
Punj Lloyd: Buy above 205 for targets of 215, 230 SL of 190 (5-7 Days)
Hexaware Technology: Buy above 98 for targets of 102, 110 SL of 90 (3-5 Days)
IDBI: Buy above 131 for targets of 175 SL 110 (10-12 Months)

Use strict STOP LOSS in each and every trade in this kind of volatile market and Trade at your own risk.

Thanks and Regards

S&P Wealth Creators

Call 09831497250 or mail us @ S&P Wealth Creators with your Name and Mobile No. for subscription offer of intraday calls during Market hours.

Disclaimer
The calls given here are My Personal views, trading or investing in stocks is a high risk activity. Any action you choose to take in the markets is totally your own responsibility. S&P Wealth Creators will not be liable for any, direct or indirect, consequential or incidental damages or loss arising out of the use of this information.
Investors should be cautious about any and all stock recommendations and should consider the source of any advice on stock selection. Various factors, including personal or corporate ownership, may influence or factor into an expert’s stock analysis or opinion.