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Pre-open Outlook(07-06-2011)

Asian markets are down after weaker US cues therefore sentiment is weak and and Indian markets will open weak. Nifty will trade between yesterday range and prepare for next moves. Buying at lower levels and mixed patterns at higher levels yesterday therefore Indian markets have to prepare for any side moves and it will be done near 5500 first.

Sustaining beyond yesterday range(5480-5542) will give confirmation that:-

"Last Friday started correction from 5604 is continued or finished"

Let Indian markets prepare then will be decided from intraday charts formations and will be posted accordingly.

Market Outlook(07-06-2011)

Technical Analysis and Research of EOD charts,Micro Analysis of Nifty Intra Day Chart,Technical Positions,next possibilities have already been explained in following topicS with 2 Charts therefore not being repeated:-

1- Nifty-Micro Analysis of Intra Day Chart For 07-06-2011



Conclusions (After Putting All Studies Together)

Long term trend is down. Intermediate term and short term trends are sideways. All the trends will be up above 5605. Nifty is trading between 5329-5605 for the last 26 sessions with Inverted Head and Shoulders(Bullish) formations,Neckline is at 5605 and above it all the trends will also be up therefore blasting rally will be seen above 5605.

Next Resistance and Supports are as follows

1- Next Resistance between 5580-5604
2- Next Support,base formation and consolidation between 5459-5520.

Expected next trading range is 5500-5570 and Nifty will prepare for next moves within it. As support and base formations at lower levels therefore follow up buying today will mean testing of above mentioned range and its possibility is strong. Next decisive moves confirmation range is 5459-5605.

Nifty-Micro Analysis of Intra Day Chart For 07-06-2011

Nifty-Intra Day Chart(06-06-2011):-
Just click on chart for its enlarged view
Main Features

1- Good consolidations at lower levels.
2- Last 45 Minutes hovering around 5535 with mixed patterns.

Conclusions

Nifty consolidated and got last 3 Hours support between 5510-5535 last Friday and also Nifty crossed this range today. Whole day Good consolidations between 5480-5510 today except last 45 minutes mixed patterns.

Nifty suatining beyond 5535 tomorrow will decide that last Friday started correction from 5604 is continued or finished.

Indian Stock Markets Closing Reports(06-06-2011)

Main features of today trading are as follows

1- Weak opening and positive closing.
2- White Candle.
3- Good support at lower levels in all the Indices.

Ratios

Nifty Put Call Ratio: 0.91
Nifty P/E Ratio(06-06-2011): 20.43

Advances & Declines

BSE ADVANCES : 1296
BSE DECLINES : 1508
NSE ADVANCES :  561
NSE DECLINES :  830

Nifty Open Interest Changed Today

Nifty- 5500 CE(Jun)- +305550(+7.71%)
Nifty- 5500 PE(Jun)- +832750(+14.68%)

Nifty- 5600 CE(Jun)- -271150(-4.77%)
Nifty- 5600 PE(Jun)- +165800(+6.27%)

Closing

Nifty- closed at 5,532.05(+15.30 Points & +0.28%)
Sensex- closed at 18,420.11(+43.63 Points & +0.24% )
CNX MIDCAP - closed at 7,991.65(-1.30 Points &-0.02%)
BSE SMALL CAP- closed at 8,252.80(+14.11 Points & +0.17%)

FII Trading Data in Derivatives Segment on 06-Jun-2011


FII & DII trading activity in Capital Market Segment on 06-Jun-2011

FII trading activity on NSE and BSE in Capital Junket Segment(In Rs. Crores)
CategoryDateBuy ValueSell ValueNet Value
FII06-Jun-20111589.11790.88-201.78


DII trading activity on NSE and BSE in Capital Junket Segment(In Rs. Crores)
CategoryDateBuy ValueSell ValueNet Value
DII06-Jun-2011720.73535.74184.99

Nifty Spot-Levels & Trading Strategy for 07-06-2011

Nifty Spot-Levels

R3 5619
R2 5580
R1 5556
Avg 5517
S1 5493
S2 5454
S3 5430

Nifty Spot-Trading Strategy

H6 5595     Trgt 2
H5 5581     Trgt 1
H4 5566     Long breakout
H3 5549     Go Short
H2 5543
H1 5537
L1 5526
L2 5520
L3 5514     Long
L4 5497     Short Breakout
L5 5482     Trgt 1
L6 5468    Trgt 2

Nifty(Jun Fut)-Levels & Trading Strategy for 07-06-2011

Nifty(Jun Fut)-Levels

R3 5632
R2 5589
R1 5561
Avg 5518
S1 5490
S2 5447
S3 5419

Nifty(Jun Fut)-Trading Strategy

H6 5605     Trgt 2
H5 5589     Trgt 1
H4 5573     Long breakout
H3 5553     Go Short
H2 5547
H1 5540
L1 5527
L2 5520
L3 5514     Long
L4 5494    Short Breakout
L5 5478     Trgt 1
L6 5462    Trgt 2

Bank Nifty(Jun Fut)-Levels & Trading Strategy for 07-06-2011

Bank Nifty(Jun Fut)-Levels

R3 11122
R2 10991
R1 10911
Avg 10780
S1 10700
S2 10569
S3 10489

Bank Nifty(Jun Fut)-Trading Strategy

H6 11045     Trgt 2
H5 10996     Trgt 1
H4 10947     Long breakout
H3 10889     Go Short
H2 10869
H1 10850
L1 10811
L2 10792
L3 10772    Long
L4 10714     Short Breakout
L5 10665     Trgt 1
L6 10616     Trgt 2

Pre-closing Outlook(06-06-2011)

As soon as Nifty got support between 5480-5495 then it was informed in Mid-session Outlook-2 today.

When Nifty was trading below 5535 and then following line was told:-

"Nifty crossing 5535 will mean strong rally after strong base formations at lower levels today".

Nifty is hovering around 5535 for the last 45 minutes and suatining beyond this level will decide that correction is on or off.

Mid-session Outlook-3(06-06-2011)

It was clearly told in all the today outlooks that today down moves are only due to weaker global cues and nervousness due to Baba Ramdev big jolt to Centre Government. Supports were posted for watching and Nifty got support above mentioned key levels today.

Nifty consolidated and got last 3 Hours support between 5510-5535 and Nifty is trading between this range at this moment. As today down below this range was due to adverse news flow and Nifty is trading between this range after getting good support below it therefore Nifty crossing 5535 will mean strong rally after strong base formations at lower levels today.

I was never bearish and expecting high possibility of crossing 5535.

Mid-session Outlook-2(06-06-2011)

When Indian markets were near today's lowest levels then bearish views were not posted and clearly told that today down moves are due to sentiment weakness. Today down moves reasons were explained and also following line was clearly told in Mid-session Outlook:-

"view will be bearish after sustaining below 5459 only" 

Today intraday support range is 5480-5495 and follow up buying in the coming hours will be first strong indication of down move stopping. As good support ai 5480 therefore:-

"down moves will be considered after sustaining below 5480 only" 

Mid-session Outlook(06-06-2011)

Nifty slipped below 5500 Supreme Court notice news to Union Govt. on forceful eviction of Saint Ramdev and followers from Ram Lila Ground. Sentiment is depressed after weaker global markets and Baba Ramdev big jolt to Centre Government.

Nifty has moved below 38.2% retracement level(5494) and next retracement levels are as follows:-

50.0%- 5463
61.8%- 5431

Market is slipping after adverse news flow,let down move stopping confirmation come then up moves should be considered and 5459-5473 is strong support and Nifty slipping below 5459 will be strong indication of deep down markets therefore 5459 should be taken as weakness confirmation level.

Unrest,Agitations and Satyagraha today therefore sentiment is depressed and Indian markets slipped below 5500 today but sustaining below 5459 will be down moves confirmation and view will be bearish after sustaining below 5459 only. 

News based sentimental weakness today and confirmation will be after sustaining beyond above mentioned levels only.

Pre-open Outlook(06-06-2011)

Technical Analysis and Research of EOD charts,Micro Analysis of Nifty Intra Day Charts,Technical Positions,next possibilities have already been explained in following topicS with Charts therefore not being repeated:-


Long term trend is still down and Nifty faced resistance at 5605 in previous week.Pull Back Rally stopped exactly near Neck Line(5605) and retraced 2 times in previous week. Immediate supports and resistances are as follows:-

1- Support,base formation and consolidation between 5459-5473 on 30-05-2011
2- Support between 5500-5540
3- Resistance between 5555-5600

Nifty will first prepare for next moves between 5459-5605 in this week and sustaining beyond this range will give confirmation to next trends.

Global cues are weak today morning therefore Indian markets will open weak and  first trade between first support range(5500-5540). Until Nifty is above 5459 till then 26-05-2011 started rally is safe. Expected that Nifty will first hover around 5500 after weak opening and sustaining beyond 5500 will be next moves first indication.

Possibilities have been discussed and expected that Nifty will trade in first trade in negative zone after weak opening and prepare for next moves.Let Market prepare for next moves then will be decided according to intraday charts formations and will be posted in Mid-sessions Outlooks.

Proofs of 100% Accurate Predictions

Rally started on 26-05 2011 and it was predicted 3 Times one day before

1- In Nifty-Micro Analysis of Intra Day Chart For 26-05-2011 on 5/25/2011 and following line was told:-

"bounce back will be seen tomorrow"

2- In Technical Analysis of EOD Chart and Research For 26-05-2011 at 12:21:00 AM on  5/26/2011 and following line was told:-

"Pull back rally and up moves hopes are possible"

3- In Pull Back Rally Possible at 07:51:00 AM on 5/26/2011 and following lines were told:-

"Pull Back Rally possibility is strong and may begin any day. Trend reversal pattern of Falling wedge formation in 5th corrective wave therefore correction completion and fresh rally begining is also possible"

Up move again started on 31-05 2011 and it was also predicted one day before

1- In Nifty-Micro Analysis of Intra Day Chart For 31-05-2011 at 06:04:00 PM on 5/30/2011 and following line was told:-

"upmoves with continuous consolidations possibility is high" 

16 Recent Topics,Technical Analysis,News & Research For 06-06-2011 Trading

Just click on above topic and go through 16 topics Links for 06-06-2011 Trading

Most Bullish Pattern formation Indications


Inverted Head & Shoulders Formations

EOD Chart(03-06-2011)
Just click on chart for its enlarged view
Main Features

1- Inverted Head & Shoulders formation in last 24 sessions
2- Inverted Left Shoulder and Inverted Head formation is complete.
3- Inverted Right Shoulder under constructions
4- Neck Line is at 5605 and Nifty retraced after its testing on 03-06-2011.

Trend reversal pattern "Falling Wedge(Bullish Pattern) Formation" was confirmed on 25-05-2011 and Pull Back Rally was declared in following 3 topics before the begining of rally:-

1- Pull Back Rally Possible
2- Technical Analysis of EOD Chart and Research For 26-05-2011
3- Nifty-Micro Analysis of Intra Day Chart For 26-05-2011

Conclusions

Pull Back Rally stopped exactly near Neck Line(5605) and retraced 2 times in previous week. Neckline break out by force or sustaining above will mean blasting rally in Indian markets because in that situation all trends will be up and that rally will be the result of complete consolidations and 2 following Bullish formation:-

1- Falling Wedge(Bullish Pattern)
2- Inverted Head & Shoulders 

Nifty will first prepare for next moves between 5459-5605 in the coming week and intraday charts consolidation patterns will be first indication of fresh upmoves. Let Indian markets prepare for next moves and confirmation come then will be told first of all in my Outlooks from Intra day charts analysis as was declared before the begining of Pull Back Rally(26-05-2011). 

Why Range of 5459-5473 is strong Support?

Nifty closed in Red on 30-05-2011 but intra day showed whole day consolidations 5459-5473 and Nifty rallied 99.00 points on 31-05-2011. Range of 5459-5473 was proved strong support on 30-05-2011 with following intraday chart and conclusions in following topic on 30-05-2011:-

30-05-2011 in Nifty-Micro Analysis of Intra Day Chart For 31-05-2011:-


Just go through and analyse intraday chart of 30-05-2011 to understand the strength of support(5459-5473):- 


 Nifty-Intra Day Chart(30-05-2011):-
Just click on chart for its enlarged view
Main Features

1- Support,base formation and consolidation between 5459-5473
2- Although Nity slipped from higher levels continuously 5 times but Patterns are showing consolidations
3- Whole day intraday consolidation

Conclusions

Nifty closed exactly at 5,473.10 today and intraday patterns of today are suggesting whole day consolidations therefore upmoves with continuous consolidations possibility is high. 

Nifty- Micro Analysis of 5 days Intra Day Chart For 06-06-2011

Nifty-Micro Analysis of 5 days Intra Day Chart(May 30 to Jun 03,2011)
Just click on chart for its enlarged view
Main Features

1- Support,base formation and consolidation between 5459-5473 on 30-05-2011
2- Support between 5500-5540
3- Resistance between 5555-5600

Conclusions


Sentiment may be depressed Monday morning because Dow Jones closed 97 points down yesterday and Indian markets weak opening can not be ruled out on Monday but strong Support,base formation and consolidation between 5459-5473 on 30-05-2011 and until Nifty will not sustain below 5459 will then on going up trend is safe.

Accuracy of Levels

Following line was told more than 20 times in previous outlooks:-

"Sustaining above 5605 will be strong rally confirmation"

                                          &

Nifty could not test 5605 and reversed on 03-06-2011 after forming the top at 5604.95