tuesday, FEBRUARY 03, 2009

LACKLUSTRE MOVEMENT GOING ON…

Sensex Technical View :( as yest ) 

 

In the last few sessions the range on upside has been restricted to 9400-9450 as was repeated in previous views. On the downside need to watch the recent low of 8630 and next 8300 which is the most important level in the next couple of months as a closing below it would signal extreme weakness. 

 

On the upside the range if capped to 9900-10100 provided Sensex crosses 9450. Traders can position themselves accordingly in near term. 

 

If we see the range bound moves between 8600 to 9400 none of the pullbacks or drops have had not a major large price action or volume support so every move tends to get over in a week. So expected range for the week could be 8600 to 9450 any move beyond it could lead to a nice move. 

 

View remains as yesterday :) ... For Nifty futures the range is around 2680/2720 on downside and 2795/2830 on upside for short term. Any move beyond either could lead to some decisive moves. 

 

Stocks to watchout for :

 

Reliance,BHEL  hits trailing stop at cost , DLF breaks down below 155 leading to sharp drop as expected technically ( risky to trade though ) . ITC remains strong.