1. Daily Technical Outlook
6th June 2012
Indices * Close % Chg. Follow up buying support needed
BSE SENSEX 16020.64 0.20 The domestic markets witnessed a flat opening. Short
S&P CNX NIFTY 4863.30 0.31 covering and selective buying support was witnessed in the
NIFTY JUNE FUT. 4846.30 0.12 morning session. However, follow up buying support failed to
India VIX 26.26 2.57 materialize at higher levels. Selling pressure and profit taking
was witnessed in the afternoon session but markets managed
S&P CNX NIFTY Technical Levels to take support around the 200-week support placed at 4825
Level 1 Level 2 Level 3 level. The markets ended the day with modest gains to close
Support 4825 4777 4742 near the lows for the day. The top gainers for the day were
Resistance 4950 5070 5106 Grasim. L&T, Rel. Infra, Bank of Baroda, NTPC, SBI, Cairn
India, Hindalco, Powergrid and Wipro.
Moving Averages S&P CNX NIFTY
50 Day SMA 5100.04 Technically, the market breadth remained positive amidst
100 Day SMA 5190.38 lower volumes. The global market cues are positive. The
200 Day SMA 5064.80 ◄ Critical domestic markets are likely to witness a positive
opening. The prevailing technical negatives continued to
Market Breadth * BSE NSE cap upside gains as Nifty struggled to surpass the 4900
Advances 1406 784 level. The KST and RSI are still placed below their
Declines 1291 657 respective averages. Moreover, the KST and MACD are
Same 131 89 placed in the negative territory and warn of impending
Total 2828 1530 selling pressure. The Nifty remains placed below its 50-
A/D Ratio 1.09 : 1 1.19 : 1 day SMA, 100-day SMA and 200-day SMA. Moreover, the
50-day SMA is placed below its 100-day SMA. These
Volume (Lacs Shares) * negative technical conditions would lead to further
05/06/12 04/06/12 % Chg. selling pressure. However, a few positive technical
BSE 1612 1589 1.45 conditions still hold good. The MACD is still placed
NSE 4986 5080 -1.84
above its average. Further, the Stochastic is at
equilibrium with its average and is nearing the oversold
Total 6598 6669 -1.06
zone. Moreover, the Nifty’s 50-day SMA and 100-day SMA
Turnover ( ` Crores) * are placed above Nifty’s 200-day SMA. These positive
05/06/12 04/06/12 % Chg. technical conditions would prompt short covering and
BSE 1819.60 1759.61 3.41
selective buying support at lower levels. The ADX and th
–DI line though trending have started to come down,
NSE 8587.16 8920.14 -3.73
indicating short covering is happening at lower levels,
NSE F&O 73256.34 81583.31 -10.21
while the +DI line is moving higher. The market sentiment
Total 83663.10 92263.06 -9.32 remains tentative as Nifty sustains above its 200 week
F&O Contracts Traded (NSE) * SMA. Now it is important that the markets witness follow
up buying support at higher levels. The Nifty’s 200 week
05/06/12 04/06/12 % Chg.
SMA support on weekly charts is placed around 4825,
Index Fut. 400019 441058 -9.30 which would act as good support level. If Nifty fails to
Stock Fut. 411593 443785 -7.25 take support at this level then it is likely to move lower
Index Opt. 2076311 2385506 -12.96 and possibly test the 4742 level. In the meanwhile the
Stock Opt. 147706 162894 -9.32 markets would take cues from the Rupee, global markets
Total 3035629 3433243 -9.45 and the crude prices. The support levels for Nifty are placed
at 4824, 4777, 4742, 4624 and 4530. The Nifty faces
NOTE - *- Source – BSE & NSE
resistance at the 4950, 5070, and 5106 levels.
Sanjay Bhatia (AVP – Technicals), Email Id sanjay@keynotecapitals.net Yahoo Chat Id: keytechnicals@yahoo.in
Keynote Capitals Ltd.
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The Ruby, 9 Floor, Senapati Bapat Marg, Dadar (W), Mumbai, India – 400028. Tel: 3026 6000 / 2269 4322
www.keynotecapitals.com

2. Jaldi 5
(Short Term Technical Ideas for 5 Trading Days)
Stop
Initiation Stop Loss Target
Stock Close Action Price Loss * (%) Target (%) Remarks
Canara Bank 409.35 Buy Above 412 404.75 1.76 428 3.88
Hero Honda 1865.20 Buy Above 1875 1841.00 1.81 1950 4.00
Mcleod Russel 288.10 Buy Above 290 278.75 3.88 315 8.62
* Stop Losses are to be considered strictly on closing basis.
Intra-day Resistance Intra-day Support
Indices Close Pivot Point R1 R2 R3 S1 S2 S3
BSE SENSEX 16021 16046 16113 16205 16363 15954 15888 15729
S&P CNX NIFTY 4863 4870 4892 4921 4972 4841 4819 4767
NIFTY JUNE FUT. 4846 4849 4876 4906 4962 4819 4792 4736
Keynote Capitals Ltd.
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The Ruby, 9 Floor, Senapati Bapat Marg, Dadar (W), Mumbai, India – 400028. Tel: 3026 6000 / 2269 4322
www.keynotecapitals.com

3. Stocks to watch out today
APIl, BF utilities, Bhushan Steel, Crompton Greaves, Cummins, DCB, Divis Labs, Exide, Grasim, Havells, HDFC Bank, Hero
Motorcorp; IDFC, Indusind Bank, Karnataka Bank, L&T, Lupin, NTPC, Oriental Bankof Commerce, PNB, Reliance, SBI,
Aban, Apollo Tyre, Bata Bharti Airtel, Coal India, Colgate, Dabur, Dr. Reddys, EKC, GMR Infra, HUL, Hind. Zinc, ITC, Jindal
Steel, Ranbaxy, Titan
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