You must
read previous articles and watch the given chart carefully to understand this
article completely.
For 18
July 2013: -
On 17 July
2013, FII Sold INR 26.09 crs and DII Sold INR 73.86 crs
Indian
market again moved from its intraday low and save any critical damage although
banks were bleeding. HUL came to save in last hour of trades. Except banking, I
do not see any big weakness anywhere. Other index component like Reliance, ITC
and HUL are trading firm. Even banking stocks are extremely over sold. It is
like the time is not correct for banking stocks as only adverse news are coming
for the sector. Even HDFC Bank has disappointed on NPA front.
I already
said yesterday that market should pick its own dynamics now. Index moved with
some buying in index heavy weight stocks. Banking and metal stocks are near 52
weeks low. It is true that this is very rare of its kind. Ben Barnanke’s
comments were favourable for emerging market last night. RBI should learn
something from US fed. What RBI got from its recent steps? Rupee is still not
showing strength.
Technical
charts are advising caution as long as Nifty stand below 5980. It is looking
tired and may be waiting for next trigger. Still I am feeling that Nifty is not
ready to give up. Technical support is at 5910 and a tough resistance at
6035-6040 levels.
Strategy
for Nifty July future – SGX JULY NIFTY is
trading with a gain of 16 points. It is giving a tick of 5987. We need trades
above 6000 levels to see a move towards 6035-6040 levels. Technical support
will be in the zone of 5930-5920 zone. We may get some short covering support
if it able to stand above 6000. We may have a volatile day but it may be
useless unless we get higher breakout.
S&P
500
– Current formation is giving a hint that S&P 500 will give a new all-time
high by July month itself or by first week of August.
It is
silent near all-time high. It hit a high at 1685 and closed at 1681. Technical charts
are generating a bullish pattern for a move towards 1700 levels. Technical support
is at 1655 for short term and trading too. There is nothing to add more in
analysis. Buy dip and hold for coming days.
Regards,
Praveen
Kumar
