Bribery Scam hits the Market - How will nifty react

Banking, Reality and Finance stocks hammered as bribery scam hits the market

 

Bribery scam rocked Indian stock market in latter part of trading yesterday.

Nifty tanked to 5835 as traders queued up to sell LIC, Central Bank, Punjab National Bank ,Bank of India , DB Reality & Money matters.

Finance ministry is quick to update that it is not a scam, but a bribery case.

Readers can get the full coverage of this story on business line 

Let us see how to trade nifty today.

5877 is the market balance point for today.

Resistance for nifty is at 5915 and 5935.

Break out level is 5955.

Trading above 5955 , nifty will move to 5995, 6030 and 6065.

Support for nifty futures is 5840 and 5820.

Break and trade below 5800 is disaster for nifty and it will move 

down to 5760, 5725 and 5690.

NEXT: WEEKLY OUTLOOK

Disclaimer : This is not a recommendation/ solicitation of any order to buy or sell, but Jerry's view on indian stock market. I assume no responsibility for any opinion or statement made in this blog. Readers are urged to exercise their own judgment in trading. Readers shall solely be responsible for profit/loss

Index and Biggies - Weekly Outlook 13th July - 17th July 2009

Nifty

Supports for nifty are placed at 3850 and 3640 this week.

If nifty is able to test the first support successfully it can test the reistance levels at 4190 and 4250.

I had a writen last week about how 4170 has become critical confluence support. Nifty has closed significantly below that level.

Sultan of stocks - Reliance

Reliance will run into strong resistances at 1840 and 1870 this week. Strong support for RIL exists at 1685.

However failure to hold the first support will result in RIL getting thrashed to 1590 and 1460.

King of Banks - SBI

Weekly reistances for SBIN are placed at 1650 and 1670 this week. 1450 should provide good support for SBI failing which SBI can fall

to 1320 and 1150.

New Kid on the block - LT

LT is in danger of going to sub 1000 level if it is unable to trade above 1500 this week. Small supports do exist at 1280 and 1160.

Weekly Market Oulook

NIFTY

This week nifty will run into huge resistances at 4645, 4695, 4790. Unable to trade above first level will take nifty down to support levels of 4535 and 4485, 4400.

RELIANCE - SULTAN OF STOCKS

Reliance looks all set to fall to support levels of 2175 and 2110 this week. Reliance will have huge resistances at 2270, 2310.

SBIN-KING OF BANKS

SBIN has huge resitances at 1830 and 1875 for this week. Inability to trade above first resitance level will drag SBI down to 1740 and 1700.

ONGC-OIL BARRON

If ONGC is unable to trade above this weeks high of 1215, ONGC will come under bear pressure. Supports exist at 1155 and 1115.

Nifty Outlook 04-June-2009

Flashback
Huge volatility. The day can only be best described in those words.
Readers who bought nifty near long level would have made close to 40 points in long and those who shorted at short level would have made a paltry 20 points. Not an impressive performance there. Readers who bought SBI at 1850 would have made close to 25 rupees. However those who held on to SBI would have made a loss.

Tomorrow is marked by two key things

1) Fibonacci time cluster number 1 (See my weekend post on fibonacci time cluster here)

2) President's address

Market will be quite tricky to trade. Therefore i resist from giving bull level and bear level for tomorrow. There are no stock recommendations too. However for the benefit of readers who might be having overnight positions i am posting key support and resistance levels for
nifty. Readers can use these levels to book profit in their positions as the news unfolds. These levels can also be used for intraday trading if the trader is proficient in candlestick analysis.

Nifty support levels
4500, 4485,4450,4400,4370, 4330

Nifty Resitance Levels
4555, 4580,4610,4645,4675,4740

Nifty Outlook 03-June-2009

Flashback

Readers who went long in relcapital at 952 would have had the oppurtunity to book longs at 970 as it pulled back really strongly from long level. Nifty stoploss for long was triggered though.
SBI was the star stock today as it bounced back violently from first support level mentioned in weekend analyis . Coincidentally, today's nifty high of 4578 was close to the first resitance level 4570 mentioned in the weekly analysis.

For wednesday trading

Bull Level

In the scenario of nifty future crossing 4560, buy at retracement level of 4528 with stoploss at 4501 for targets 4590, 4615, 4640.

Bear Level

In the scenario of nifty future breaking 4501, short at retracement level of 4528 with stoploss at 4560 for targets 4485, 4450,4420.

Looking good : King of Banks

SBI looks extremely good on charts for tomorrow.

For tomorrow trading buy sbi at retracement level of 1850 with stoploss at 1828 for targets 1885, 1920, 1945,1975

Weekend analysis of nifty and index biggies and a fibonacci confluence

Last week had plenty for both bulls and bears.

All the index biggies traded as per levels mentioned in Jerry's weekly analysis of index biggies .

In the end bulls were clear winners with a 400 point rally in nifty from the low of 4090. The week ahead should be really interesting because there is a fibonacci time cluster confluence happening on june 4 - june 8. As traders, we should expect change of trend in this time period.


NIFTY

For the week ahead, nifty support levels are placed at 4350 and 4250 levels while resitances are placed at 4570 and 4650 repectively.

RELIANCE

Sultan of stocks closed near a high resistance zone with reistances coming at 2340 and 2390. Weekly supports for reliance exists at 2230 and 2180 levels.

SBIN

King of banks had a most volatile week with a journey from weekly close to support level and back to resistance levels. In the week ahead, SBI will have huge resistance at 1900 and 1970 levels while support levels are placed at 1780 and 1700 levels.

ONGC

In the week ahead, ONGC could be the deal breaker. ONGC will run into huge resistance at 1250, 1320 levels. Inability to sustain above first resitance level will drag the stock down to 1100 and 900 levels.

Weekend Analysis of Index biggies

Sultan of Stocks - RIL

RIL found it impossible to penetrate and trade above 61.8 expansion level last week. This week, RIL will run into huge resitances at 2315 and 2375. Unable to trade above the first resistance level will be first sign of weakness in RIL and it can correct to weekly support levels at 2000 and 1950.

King of Banks - SBI

SBI was the strongest index stock last week retaining most of the gains it made on monday. For this week resistances for SBI are placed at 1875 and 1950 while supports are placed at 1590 and 1520.

Oil Barron - ONGC

ONGC was quite the star last week. In doing so, ONGC has moved to 61.8 retracement of the fall from its all time high and therefore at huge resitance levels. This week ONGC will have huge resitances at 1130 and 1180 levels. If ONGC is unable to cross first resitance level, it can easily correct to support levels of 980 and 920.