NIFTY- Technical Analysis

Nifty may show some sign of reversal in upcoming days. Below are the reasons:

• 200 DMA is at 5165 while 50 DMA is at 5135 and both are considered as major supports.
• If small MA crosses long MA then it will be considered as bullish sign. Will it happen in case of NIFTY?
• After 5 red candles one reversal green candle was formed by it in last trading day.

Please share your views on this.

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Cheers
Chirag CM

Finally a breakout..Lupin

Lupin has finally given a breakout level of 490. It is also trading at 52 weeks high. It has tried to breach the same level few times before but couldn't succeed.

One can enter the stock at current levels with the immediate stop of 485 with the target of 534.

Happy Investing.

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Cheers
Chirag CM

Another Choppy day

             We had seen another choppy day in the Indian market as Sensex closed 16 points dn at 18221 forming a red candle. Intraday Sensex has done nothing special by not giving chance to swing day traders. May be we are in consolidation phase!!!!! It may be a calmness ahead of big movement either up or downside. Don’t worry as long as we are above 18190 we are in safe zone and no need to panic. Be stock specific as index trading is not easy and according to me is a way to lose your money.

   Hotel Leela has broken up today and done very well by closing above its breakout point forming a very good eye catching GREEN CANDLE.  With a very good volume Hotel Leela is officially buy from everyone now. One can wait till 60 to book profit. Check out the graph below (click to enlarge).

Another hotel stock came to radar Taj GVK one can enter Taj above 165 with the full fledge breakout above 170 with the target of somewhere around 190. The stock might test the patience level of investors as it is not on the verge of breakout. One can still build up the position. 

Cheers
Chirag CM

Ascending Triangle Breakout (Hotel Leela Venture)

Market has proved that it will do whatever it likes. Many TV analysts were talking about 5000 levels few days before but market has proven them wrong. It’s not like it won’t come down but you can’t predict the market and that is for sure. We have seen that market has sustained above its 50 DMA. Even our first post of the blog about the stock ONGC has also done significantly well today. ONGC is good investment opportunity till the time it is being above 1320.

 

Let me share a graph for NIFTY.

·         NIFTY has made a big Green candle which is good sign of short term bullishness. Possible short term target for NIFTY is 5510 is it surpasses the next crucial short term resistance of 5485. Still it has very good medium term support @ its 50 DMA which is around 5400, nothing looks like till the time NIFTY is being above that level.        

       HOTEL LEELA VENTURE stock has something cooking in it. Ofcourse it is of Hotel industry so Cooking of something will be there. Technically speaking stock is making ascending triangle on the graph and possibility of breakout is very high.

Volume activity has significantly increased on daily as well as weekly basis. One can take position in Hotel Leela above 53 with the stop loss of 51. Possible target may be somewhere around 58-60.

Please not that this is not a Trading recommendation; this is just a view from my side.

I would like to thank Mr. Rohit for sharing Hotel Leela research with us and Mr. Pratik for the levels of NIFTY.

Have a happy Trading..

Cheers
Chirag CM