Market outlook for 15/07/10

Nifty closed down 14.50 points (0.27%) at 5386.15 whilst Nifty July Future closed at 5388.45 premium of 2.3 points.

• FII bought in Cash (Net buy 569.24 Crore)
• FII bought in index options and stock futures, but sold in index futures (Net buy 368.65 Crore)
• DII sold in Cash (Net sell 331.48 Crore)
• US market is flat as of now.
• Global cues are flat.
• SGX nifty is flat as of now.
• Most Active Nifty July Call Option: 5400 and 5500.
• Most Active Nifty July Put Options: 5400 and 5300.
• Advance Decline for the day was 531:783

NIFTY Technical

Current Spot: 5386.15
Pivot: 5404
3DEMA: 5380
7DEMA: 5348
20DEMA: 5288
50DEMA: 5226
RSI (7 days): 65.82
Parabolic SAR: 5249
Supports: 5354 - 5322
Resistance: 5436 - 5486

MP Values Spot: VAH - 5439, POC - 5425, VAL - 5408
MP Values Futures: VAH - 5439, POC - 5424, VAL - 5411

Over all view
Today the leading Indian indices belled the session sharply higher tracking positive cues from global markets. The market trimmed gains as the day progressed due to higher inflation data of 10.55 per cent in June as against the 10.16 per cent in May. Moreover the market in the final hour tumbled down as selling interest emerged after the European markets turned from positive to negative and led the domestic market to close in a negative note. On the sectoral front - IT, Technology, Metal and Oil & Gas stocks edged lower.
Nifty closed above all moving averages except Day HEMA which confirms that profit booking was the order of the day at higher levels. (See Tech Table for details). RSI has just reversed after touching 70 level, Stochastic has entered over bought region, and the volume seems to be normal.
Nifty just closed above the up trending channel, and the channel support comes at 5380 and 5455 the minor channel top acting as the resistance zone. Break down from the up trending channel at 5380 will take Nifty to 5350 and below, but holding above 5380, Nifty can go again beyond 5420, 5450.

Target Nifty
Buy Nifty above 5410 - 5433 - 5481 - 5511 SL - 5403
Sell Nifty below 5380 - 5361 - 5331 - 5284 SL - 5409

Stock Ideas for the Day
Reliance Industries: Buy above 1083 for targets of 1085, 1094, 1102 SL of 1075
Reliance Industries: Sell below 1065 for targets of 1063, 1054, 1043 SL of 1080
Rolta India: Buy above 181 for target of 185, 190 SL 176
Educomp: Buy above 597 for target of 603, 610 SL 589

Positional Call
Omaxe Ltd.: Buy above 104 for target of 114 SL 100 (One Month)
Network18: Buy above 141 for target of 148 SL 137 (One Week)

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