Markets Outlook For 12-08-2008

Market Outlook and Tips for 12-08-08

Markets witnessed a spectacular rally led by reality & banking sectors. Infrastructure and oil stocks have also played a key role in today’s trade.

The undertone of the market is very strong, but one should be cautious at higher levels as nifty faces very strong resistance in the region around 4640-4670 levels. If nifty manages to sustain above 4670 then there is a fair possibility that the current rally can extend upto 4745/4945 levels. The nifty has a strong support around 4375 areas any trade below could be a threat to the current up-trend.

NIFTY ANALYSIS : Because of strong global closing, Nifty opened on a strong note and remained in the upper zone throughout the day and finally closed 91 points up from its previous day’s close. On daily basis Nifty has closed above 4600 but we have to wait for a weekly close. This week will be a truncated week. So we may witness more volatility in the later part of the week. There is nothing more to say, it seems that for the time being downside is limited. So use correction to initiate long positions. Sector wise, most of the sectors are looking good. For Tuesday, support exists at 4580 and then at 4515 and on upside, resistance exists at 4675 and then at 4720.

Market was bullish one day more, which we already hoped. This time 14 DMA & 5 DMA of Nifty Spot & Sensex are bullish. 5 DMA of Nifty Future is doing flat trade, so there is no hope for very Bull Run. This type of Bull Run means that it’s a game, which is playing with the investors & due to this investors will come to see in the bullish zone. All the investors will go to trap on higher level because once again market will go to do the bearish. Selling pressure can be made on near the Nifty Spot level of 4670.

Today if Nifty Future trade above the level of 4630 then it can go up to the level of 4670, 4690 to 4720 but as Nifty Future break the level of 4630 & after that 4600 then it can go below the level of 4550, 4485 to 4450.

According to main support level when Nifty Spot trade above the level of 4395, Sensex----14565 then Nifty Spot can go at the level of 4770 & Sensex 15835 but if Nifty Spot go to break the level of 4390 & Sensex------14560 then once again lower level can be tested. So selling pressure can be started near the level of Nifty 4770 & Sensex15835 before that there is a strong resistance of Nifty--- 4675, selling pressure can come there also.

Important Support Levels:

SENSEX (15503)

Support : 15380-15250-15005-14870-14690

Resistance : 15670-15795-15910-16075

NIFTY (4620)

Support : 4585-4545-4470-4430-4375

Resistance : 4670-4710-4745-4795

NIFTY FUTURE : Now it zoom to kiss 4655 and if sustain above it then it go for 4690 to 4750 level. At downside support at around 4590 and then at 4555.

BSE SENSEX : Above 15540 it go for 15620 to 15715 level. At downside support at around 15465 and then at 15405.

RELIANCE : Now if trade and sustain above 2355 then it go for 2390 to 2445 level. At downside support at around 2300 and then at 2275.

SBI : For a day trading view, it zoom to kiss 1625 and if cross this too then go for 1650 to 1695. At downside support at 1580 and then at 1550.( Positional : can touch 1800-1870 levels in Short to Medium Term )

TATA STEEL : As expected it face hurdle around 665, now it has a support at around 635 and then 625. At upside above 660 it go 674 and if sustain above it then go for 680.

L&T : Zoom to kiss 2910 and if stay above it then go for 2930 to 2960 level. At downside support at 2880 and then 2865.

INFOSYS : Now it has a support around 1645 and if break this then it slide up to 1620 to 1585. At upside it face resistance at 1680 and then at 1705.

ONGC : It zoom to kiss 1120 and if cross this too then it go for 1135 to 1160. At downside support at 1100 and then 1085 break below slide up to 1060 to 1040.

REL CAPITAL : For a day trading view, it has a good support at around 1425 and then 1400. at upside if cross 1450 and stay above it then it go for 1470 to 1495 level.(Positional : likely to test 1500-1570 levels,Medium Term Outlook Bullish )

REL INFRA : Now it zoom to kiss 1125 and if cross this too then go for 1155 to 1195 level. At downside support at around 1085 and then at 1060.

BHEL : It zoom to kiss 1850 and if cross this too then it go for 1870 to 1895 level. At downside it has support around 1805 and then 1780.

DLF : Now if break 555 then slide up to 545 to 530 level. At upside it face resistance at 580 and if cross this then only it go for 590 to 605.

ADLABS : Candle Stick Of Adlabs is making bullish pattern .Stock can go up to 640-680 in near term.540-525 will act as support.

ADITYA BIRLA NUVO : Stock is facing resistance at current levels,which is likely to be broken. Stock is heading towards 1500 in coming days . Traders can take long positions

WELSPUN : Stock is heading towards 400-430 levels in coming days. It is forming a Bullish Pattern..Traders with Short Term Outlook Can Take Long Position.

INTRA

Buy DENA BANK Above 50 sl 48.50 tgt 51-52.20-55.

Buy CLUTCH AUTO Above 42.40 sl 40.70 tgt 44-46-54.

Buy FSL Above 41.20 sl 38.80 tgt 42.70-44-47.

Buy GSPL Above 65.25 sl 63 tgt 66.30-68.40-70-75.

Buy ASIANPAINT Above @ 1255 Target 1267-1276 to 1300.

Buy BAJAJAUTO Above @ 570 Target 585-595-620.

Buy BOB Above @ 295 Target 300-305-320.

Buy BANKINDIA Above @ 304 Target 309-315 to 327.

Buy CHENNPETRO Above @ 305 Target 310-315-320.

Buy BHEL Above @ 1835 Target 1850-1895-1925

Buy GAIL Above @ 420 Target 425-435-450.

Buy ICICIBANK Above @ 775 Target 790-805-850.

Buy ITC Above @ 190 Target 195-200-205.

Buy RCOM Above @ 455 Target 465-470-490.

Sell TCS Below @ 835 Target 795-760-745.

Sell TATACHEM Below @ 350 Target 330-310-300.

Sell SUZLON Below @ 250 Target 245-235-230.

Sell SATYAM Below @ 410 Target 400-385-380.

Sell RELCAPITAL Below @ 1440 Target 1390-1340-1315.

Positional ( 1-5 Days )

APIL (427) : Buy with a longer time frame, very strong support zone 400-415, if sustains above 435 then a bigger rally expected

Resistance : 435-440 ; Target : 455-495-550

HCC (109 ): Buy on dip, huge delivery based volume happening, very strong support @ 100-105.

Resistance : 111-112 ; Target : 120-125

RCOM (455 ) : Buy & hold with a stop-loss of 435.

Resistance : 460 ; Target : 475-505 525

SIEMENS ( 561 ) : Buy & hold with a stop-loss of 540.

Resistance : 570 ; Target : 590-630-695

UNITECH (187 ) : Buy & hold with a stop-loss of 179 (Medium Term Bullish ).

Resistance : 190 ; Target : 210-230 ; Support : 170

Futures ( Bullish Strategy ) : 3-4 Days ( Please Follow Strict Stop loss )

Buy Rcom AUG 450 CALL @ 18

Sell Rcom AUG 480 CALL @ 10

Stoploss : RCOM AUG 450 CALL @ 10

Target : RCOM AUG 450 CALL @ 30