Market outlook for 23/07/10

Nifty closed up 42.60 points at 5441.95 whilst Nifty July Future closed at 5453.60 premium of 11.65 points.

• FII bought in Cash (Net buy 155.68 Crore)
• FII bought in index options, index futures but sold in stock futures (Net buy 174.68 Crore)
• DII sold in Cash (Net sell 512.19 Crore)
• US market is in GREEN as of now.
• Global cues are flat to Positive.
• SGX nifty is positive 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 683:618

NIFTY Technical

Current Spot: 5441.95
Pivot: 5420
3DEMA: 5415
7DEMA: 5393
20DEMA: 5338
50DEMA: 5262
RSI (7 days): 71.97
Parabolic SAR: 5321
Supports: 5394 - 5345
Resistance: 5469 - 5495

MP Values Spot: VAH - 5405, POC - 5387, VAL - 5373
MP Values Futures: VAH - 5419, POC - 5389, VAL - 5378

Over all view

The key benchmark indices ended the day's trade on a positive note on back of the buying interest that emerged across the pivotal on domestic bourses. Today the domestic markets opened lower on back of mix Asian cues and remained negative for most of the session. But in the afternoon session the market bounced back as global markets recovered from initial losses. CD, Metal, Auto and FMCG stocks led the gainers pack while IT stock was the only loser.
Nifty today opened weak but closed firm above all Technical Averages confirms bullishness. (See Tech Table for details). RSI is in uptrend but in overbought level, Stochastic has also given a positive crossover and trending upwards, and the volume seems to be good today.
Nifty today bounced off the trend line support at 5372, to close firm. Break of this trend line support at 5385 will take Nifty to 5350 and below, the resistance comes at next trend line at 5485, close above will add to the momentum to take nifty higher to 5500 and above.

Target Nifty
Buy Nifty above 5458 - 5481 - 5510 - 5565 SL - 5427
Sell Nifty below 5421 - 5402 - 5348 - 5318 SL - 5432

Stock Ideas for the Day

Reliance Industries: Buy above 1062 for targets of 1064, 1067, 1075 SL of 1053
Reliance Industries: Sell below 1052 for targets of 1050, 1046, 1040 SL of 1058
Jindal Saw: Buy above 205 for target of 208, 214 SL 201
UB Holdings: Buy above 277 for target of 281, 289 SL 271

Positional Call
Bharti Shipyard: Buy above 238 for target of 257 SL 230 (One Month)
DLF: Buy above 325 for target of 343 SL 317 (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