Market outlook for 28/05/10

Nifty rose 85.70 points or 1.74% to 5003.10 whilst Nifty June Future closed at 4987.90 discount of 15.20 points.

• FII sold in Cash (Net sell 533.07 Crore)
• FII bought in index futures and stock futures but sold in index options (Net buy 609.46 Crore)
• DII bought in Cash (Net buy 410.44 Crore)
• US market ended in Positive.
• Global cues are Positive.
• SGX nifty is flat to Positive as of now.
• Most Active Nifty June Call Option: 5000 and 5100.
• Most Active Nifty May Put Options: 4800 and 4900.
• Advance Decline for the day was 802:487.

NIFTY Technical

Current Spot: 5003.10
Pivot: 4972
3DEMA: 4950
7DEMA: 4954
20DEMA: 5043
100DEMA: 5113
RSI (7 days): 50.58
Parabolic SAR: 4786
Supports: 4928 - 4853
Resistance: 5047 - 5091
MP Values Spot: VAH - 4973, POC - 4957, VAL - 4921
MP Values Futures: VAH - 4974, POC - 4955, VAL - 4926

Over all view
In Yesterday’s edition we have mentioned positive effect of “White Opening Marubozu” and we saw good reversal and Nifty closed above 200 days SMA which is placed at 4999 levels. Daily chart has formed “Long White Candle” a bullish candlestick pattern and reliability is of this pattern is high as long as nifty is trading above 4900 level. Now major resistance placed at 20 EMA which is placed at 5042 levels.

Target Nifty
Buy Nifty above 5008 - 5036 - 5071 - 5140 SL - 4967
Sell Nifty below 4962 - 4937 - 4868 - 4834 SL - 4972

Swing Trade
Andhra Bank (129.80)

Yesterday stock has formed “Long White Candle” a bullish candlestick pattern with decent volume breakout on daily chart. Daily momentum indicators have also given positive crossover to signal line in bullish zone. Short term moving averages are also showing upward movement especially yesterday stock has given good close above 20 days EMA. Looking at all above technical parameters traders with moderate risk appetite can consider Buy above 130 with tight Stop loss of 127 for a target of 136.

Stock Ideas for the Day
Reliance Industries: Buy above 1025 for targets of 1030, 1041, 1056 SL of 1015
Reliance Industries: Sell below 1012 for targets of 1009, 994, 983 SL of 1020
Praj Industries: Buy above 78.6 for target of 80, 83 SL 75.2
JSL Ltd.: Buy above 106.2 for target of 108,111 SL 104.2

Positional Call
BPCL: Buy above 575 for target of 601 SL 562 (One Week)
Bajaj Hindustan: Buy above 102 for target of 110 SL 98.5 (One-Two Weeks)

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

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