D Sathia Moorthy December 21, 2008 *Nifty (spot) 3077.50*
* * * * *Nifty Intraday trading levels* * * Today, if Nifty trades below 3050, then it could test 3000 and below this level it could test 2950. Instead, if it trades above 3050, then it could test 3150. *Nifty Trading Strategy for intraday and positional trading* * * For intraday, the crucial level is 3050. Trade short below this level and trade long above this level. Positional traders can initiate shorts if it fails to sustain above 3050 for a target of 2500 with a stop at 3100 and trade long above 3050 for a target of 3150 with a stop at 3000. * * * * * * *Short term Technical View of Nifty* Below 2900, Nifty is likely to decline towards 2750 and below 2750, it could test 2500. The recent rally from the low of 2250 seems to be corrective and it seems it has peaked out at 3250. The present rally from 2500 seems to be a counter trend rally and it is likely to peak out below the previous top of 3250. *Medium term outlook of Nifty dated on 14 October 2008* * * The medium term outlook of Nifty would remain bearish if it fails to sustain above 3100. Nifty is likely to bottom out in the medium term at 2000-2200 levels in coming months and if it fails to sustain above this level, then it is likely to decline below 2000 levels. *Long term outlook of Nifty dated on 13 October 2008* * * The long term outlook of Nifty is looking bearish and it seems that Nifty is likely to bottom out in 6 months to 1 year if the bottom forms around 2000. If the level 2000 is not held, then Nifty is likely to take more than 1 year to bottom out. *Short term trading calls of Stocks for spot market* * * * * * * *Reliance (spot)* The level 1400 is crucial for short term. If it sustains above 1400, then it is likely to rally towards 1490. Instead, if it fails to sustain above 1400 in coming trading sessions, then it is likely to turn weak and it could decline towards 1150 initially. * * *Trading Strategy for Reliance* * * For intraday, the crucial level is 1370. Trade long above these levels and trade short below these levels. Positional traders can initiate longs if it moves above 1400 for a target of 1490. Initiate shorts if it fails to sustain above 1400 for a target of 1150 initially. *SBI (spot)* The crucial level for the short term for this scrip is 1310. If it fails to sustain above 1310, then it is likely to turn bearish and in the down side it could test 1000 in coming trading session. Instead, if it sustains above 1310, then the short term trend would turn bullish and in the upper side it is likely to move towards 1350. * * *Trading Strategy for SBI* * * For Intraday, the crucial level is 1295. Trade long above this level and trade short below this level. Positional traders can initiate shorts if it fails to sustain above 1310 for a target of 1000. And initiate longs if it sustains above 1310 for a target of 1350. *Infosys (spot)* The level 1200 is crucial in the short term. If the scrip trades above this level, the short term would turn bullish and in the upper side it could test 1250. If it fails to sustain above 1200, then the trend would turn bearish and in the downside it is likely to decline towards 1000 initially. * * * * *Trading Strategy for Infosys* * * For intraday, the crucial level is 1175. Trade long above this level and be short below this level. Positional traders can initiate shorts if it fails to sustain above 1200 for a target of 1000. Initiate longs if it sustains above 120 for a target of 1250. *ICICI Bank (spot)* The level 490 is crucial for this scrip in the short term. If it sustains above this level, then it is likely to see a rally from these levels towards 560. Instead, if it fails to sustain above 490, the short term trend would turn bearish and in the downside it is likely to decline towards 400 initially. * * * * *Trading Strategy for ICICI Bank* * * For intraday, the crucial level is 477. Trade long above this level and be short below this level. Positional traders can initiate shorts if the scrip fails to sustain above 490 for a target of 400. Initiate longs if it sustains above 490 for a target of 560. *Maruti (spot)* The crucial level for the scrip in the short term is 590. The trend would remain bearish for this scrip if it sustains below 590 and in the down side, it could test 450 initially. If the scrip sustains above 590, then the scrip is likely to turn bullish in the short term and in the upper side it could rally towards 640. * * *Trading Strategy for Maruti * For intraday, the crucial level is 563. Trade long above this level and be short below this level. Positional traders can initiate longs if the level 590 is broken in the upside for a target of 640. Short if it fails to sustain above 590 for a target of 450. www.sathiamoorthy.com
