Stock Market and Nifty Outlook and Review for July 30, 2010 (30/07/2010)
July 30, 2010 by admin
Filed under Analyst's Corner, nifty outlook
Stock Market and Nifty Outlook and Review for July 30, 2010 (30/07/2010)
Yesterday, on the Daily Charts, NIFTY made a Small Black Candlestick. For the whole trading session, NIFTY traded very range bound (only in the range of 20 points). Results season and F&O Expiry overlapped the movement of market. RELIANCE was again crashed due to sentimental reasons. A good run up was witnessed in the Financial Stocks. But till the ending of trading session, NIFTY managed to close above the levels of 5400 again at 5408.90. For the day NIFTY made a high of 5415.85 and a low of 5381.55, bouncing back again from its important intraday support of 5380.
A positive movement may be witnessed tomorrow. However, US is about to announce its First Estimate of 2nd Quarter GDP, hence, after the second half of the trading session, markets may trade a bit skittish. Only Stock and Sector specific momentum will be observed as results season is running, but then too traders should follow a cautious approach by following Strict Stop Losses.
Net Buying of Rs. 578.85 Crore in Cash Segment and of Rs. 2008.83 Crore in F&O Segment by FIIs was witnessed on Thursday’s Trading Session.
Important Results to be announced tomorrow:
ABB, ABIRLANUVO, BEL, BPCL, GUJALKALI, HCC, INDIAINFOLINE, INDHOTEL, KTKBANK, MAX, RAYMOND, REIAGRO, RELINFRA, RNRL, RPOWER, SCI, TATACHEM, TV-18.
5330 is the major Support which has to be breached to prove the weakness, and unless the NIFTY is trading above this level, the Markets are positive. It was the fourth continuous closing of NIFTY above 5400 levels; hence it may touch the levels of 5500 too in the coming sessions, continuing the positive trend.
20-Days EMA (Exponential Moving Average) has crossed the 50-Days SMA (Simple Moving Average), supporting the recent positive move. MACD (Moving Average Directional Index) and RSI (Relative Strength Index) have turned positive. Traders may take delivery basis position in the stocks turning from their oversold territory and make smart gains.
For the day, intraday resistance for NIFTY comes at 5416 / 5430 / 5450 levels. At the same time, 5395 / 5380 / 5360 will act as major intraday support levels.
Contributed By: Sonal Natani MS(Finance), ICFAI, Hyderabad.
