Nifty Spot-Levels & Trading Strategy for 02-11-2012

Nifty Spot-Levels

R3 5710
R2 5679
R1 5662
PIVOT 5631
S1 5614
S2 5583
S3 5566

Nifty Spot-Trading Strategy

H6 5693     Trgt 2
H5 5682     Trgt 1
H4 5671     Long breakout
H3 5658     Go Short
H2 5653
H1 5649
L1 5640
L2 5636
L3 5631     Long
L4 5618     Short Breakout
L5 5607     Trgt 1
L6 5596     Trgt 2

Nifty(Nov Fut)-Levels & Trading Strategy for 02-11-2012

Nifty(Nov Fut)-Levels

R3 5753
R2 5718
R1 5697
PIVOT 5662
S1 5641
S2 5606
S3 5585

Nifty(Nov Fut)-Trading Strategy

H6 5732     Trgt 2
H5 5719     Trgt 1
H4 5706     Long breakout
H3 5691     Go Short
H2 5686
H1 5681
L1 5670
L2 5665
L3 5660     Long
L4 5645     Short Breakout
L5 5632     Trgt 1
L6 5619     Trgt 2

Bank Nifty(Nov Fut)-Levels & Trading Strategy for 02-11-2012

Bank Nifty(Nov Fut)-Levels

R3 11546

R2 11482

R1 11433

PIVOT 11369

S1 11320

S2 11256

S3 11207

Bank Nifty(Nov Fut)-Trading Strategy

H6 11497     Trgt 2 

H5 11471     Trgt 1

H4 11446     Long breakout 

H3 11415     Go Short 

H2 11404

H1 11394

L1 11373

L2 11363

L3 11352     Long 

L4 11321     Short Breakout 

L5 11296     Trgt 1 

L6 11270     Trgt 2

Pre-Closing Outlook(01-11-2012)

Breaking down of 24 sessions trading range after RBI Credit Policy led forceful down moves below 5639 on 30-10-2012 and then 10 Hours trading with selling patterns between 5583-5624 in last 2 sessions. For break down confirmations Following lines were told on 30-10-2012

firstly break down validity confirmation is required through following 2 filters:-

1- 3 Days sustaining below Neckline and/or
2- Slipping 3% below Neckline.

Firstly intraday consolidations today and after that trading above Neckline(5634) but sustaining above 5634/5639 is must because that will be confirmation of false break down on 30-10-2012.

Mid-session Outlook-2(01-11-2012)

Last more than 2 hours trading above 5625 with consolidation patterns and after that trading above 5639 today. Let Nifty sustains above 5639 then that will be confirmation of false break down on 30-10-20

Mid-session Outlook(01-11-2012)

10 Hours trading between 5583-5624 in last 2 sessions and today also first 2 hours trading within this range between 5601-5621.

More than 12 hours continuous trading between 5583-5624 in 3 sessions and sustaining beyond this range will give following conclusions:-

1- Sustaining below 5583 will validate 24 sessions breaking down below 5639 on 30-10-2012 and then far deeper correction will be seen.
2- Firstly sustaining above 5624 and after that sustaining above 5639 will mean false  breaking down below 5639 on 30-10-2012 and reentering into previous 24 sessions range(5639-5733)  

As sufficient selling formations between 5583-5624 in last 2 sessions therefore high possibility of sustaining below 5583 but above mentioned moves technical confirmation is must through sustaining beyond 5583-5624.

Correction continuation

Nifty-Intra Day Chart (30-Oct-2012):-

Just click on chart for its enlarged view

Nifty-Intra Day Chart (31-Oct-2012):-

Just click on chart for its enlarged view

Technical Patterns and Formations in above 2 intraday charts

1- Last more than 4 hours trading between 5590-5615 with higher levels intraday selling patterns on 30-10-2012.
2- Whole day trading between 5583-5624 on 31-10-2012. 
3- Last 2 hours trading with Bearish Rising Wedge formation on 31-10-2012.
4- Whole day intraday selling patterns formation on 31-10-2012 despite closing near day's high. 
4- More than 10 hours trading between 5583-5624 in last 2 sessions with intraday selling patterns formations.

Conclusions from intra day charts analysis 

Although Indian markets closed near the highs of the day with Green closing today but sufficient selling formations between 5583-5624 in last 2 sessions therefore high possibility of sustaining below the lowest(5583) of above mentioned 10 hours trading range. 

Expected that finally NIfty will sustain below 5583 and on going correction will remain continued in the coming sessions.

FII Trading Data in Derivatives Segment on 31-Oct-2012

FII & DII trading activity in Capital Market Segment on 31-Oct-2012

FII trading activity on NSE and BSE in Capital Julket Segment(In Rs. Crores) Category Date Buy Value Sell Value Net Value FII 31-Oct-2012 2194.02 1945.54 248.48

DII trading activity on NSE and BSE in Capital Julket Segment(In Rs. Crores) Category Date Buy Value Sell Value Net Value DII 31-Oct-2012 1038.05 1135.9 -97.85

Indian Stock Markets Closing Reports(31-Oct-2012)

Main features of today trading are as follows

1- Benchmark Indices closed in Green.

2- Closing near higher levels of the day after slow up moves.

3- White Candle formation.

Ratios

Nifty P/E Ratio(31-Oct-2012): 17.61

Advances & Declines

BSE Advances : 1,473

BSE Declines : 1,328  

NSE Advances :   791

NSE Declines :   635

Nifty Open Interest Changed Today

Nifty- 5400 CE(Nov)- 33,000(1.97%)

Nifty- 5400 PE(Nov)- 452,150(10.39%)

Nifty- 5500 CE(Nov)- 94,700(11.13%)

Nifty- 5500 PE(Nov)- 393,600(8.91%)

Nifty- 5600 CE(Nov)- 498,300(21.15%)

Nifty- 5600 PE(Nov)- 539,650(11.01%)

Nifty- 5700 CE(Nov)- 809,200(16.91%)

Nifty- 5700 PE(Nov)- 100,250(2.76%)

Closing 

Sensex- closed at 18505.38(74.53 Points & 0.40%)

Nifty- closed at 5,619.70(21.80 Points & 0.39%)

CNX Midcap - closed at 7,763.05(80.70 Points & 1.05%)

CNX Smallcap- closed at 3,410.25(27.70 Points & 0.82%)

Nifty(Nov Fut)-Levels & Trading Strategy for 01-112012

Nifty(Nov Fut)-Levels

R3 5698

R2 5674

R1 5660

Avg 5636

S1 5622

S2 5598

S3 5584

Nifty(Nov Fut)-Trading Strategy

H6 5684     Trgt 2 

H5 5675     Trgt 1

H4 5666     Long breakout 

H3 5656     Go Short 

H2 5652

H1 5649

L1 5642

L2 5639

L3 5635     Long 

L4 5625     Short Breakout 

L5 5616     Trgt 1 

L6 5607    Trgt 2

Bank Nifty(Nov Fut)-Levels & Trading Strategy for 01-112012

Bank Nifty(Nov Fut)-Levels

R3 11564

R2 11464

R1 11401

Avg 11301

S1 11238

S2 11138

S3 11075

Bank Nifty(Nov Fut)-Trading Strategy

H6 11502     Trgt 2 

H5 11465     Trgt 1

H4 11427     Long breakout 

H3 11382     Go Short 

H2 11367

H1 11352

L1 11323

L2 11308

L3 11293     Long 

L4 11248     Short Breakout 

L5 11210     Trgt 1 

L6 11173     Trgt 2

Nifty Spot-Levels & Trading Strategy for 01-112012

Nifty Spot-Levels

R3 5675

R2 5649

R1 5634

Avg 5608

S1 5593

S2 5567

S3 5552

Nifty Spot-Trading Strategy

H6 5660     Trgt 2 

H5 5650     Trgt 1

H4 5641     Long breakout 

H3 5630     Go Short 

H2 5626

H1 5622

L1 5615

L2 5611

L3 5607     Long 

L4 5596     Short Breakout 

L5 5587     Trgt 1 

L6 5577     Trgt 2

Pre-Closing Outlook(31-10-2012)

As Dow'Futures is more than 60 points up and European markets are trading positive therefore sentiment improved and recovery seen from lower levels today and Nifty is trading above 5615. Nifty traded last more than 10 hours between 5583-5624 with intraday selling formation at higher levels within this range and until Nifty will not sustain above this range till then deeper correction will be expected below 5583.

Mid-session Outlook-2 (31-10-2012)

Last more than 4 hours trading between 5590-5615 with higher levels intraday selling patterns yesterday and today again almost same range first 4 hours trading between 5583--5610. More than 8 hours trading between 5583-5615 in 2 sessions and this range final break out will give following conclusions:-

1- Below 5583 will be validation of 24 sessions trading range breaking down. As selling formations seen within this range yesterday therefore its possibility is very much alive.
2- Above 5615 will mean reentering possibility into 24 sessions trading range after false break down on 30-10-2012.

Mid-session Outlook(31-10-2012)

Firstly forceful breaking down of last 24 sessions range and after that last more than 4 hours trading between 5590-5615 yesterday with intraday selling patterns at higher levels within this range. Today first 2 hours trading between 5,586-5,610 and until Nifty will not sustain above 5615 till then next up move will not be considered because intraday selling patterns just below it yesterday.

Emergence of Bearish pattern of Head and Shoulders in last 24 sessions and its Neckline broken down at 5634 yesterday but broken down confirmation is left. As selling just below 5615 yesterday therefore expected that more down moves will be seen below today lows(5586) also.

Big Correction below Head & Shoulder's Neckline

Technical Analysis and Research For 31-10-2012

Nifty-EOD Chart (30-Oct-2012):-

Just click on chart for its enlarged view

Technical Patterns and Formations in EOD charts

1- Wave-2 completion and Wave-3 beginning (4770.35 on 04-06-2012)
2- Sub Wave-1 of  Wave-3(5348.55 ON 10-07-2012)
3- Sub Wave-2 of  Wave-3(5032.40 on 26-07-2012)
4- Sub Wave-3 of  Wave-3(5448.40 on 23-08-2012)
5- Sub Wave-4 of  Wave-3(5215.70 on 05-09-2012)
6- Sub Wave-5 of Wave-3 completion at 5815.35 on 05-10-2012.
7- Sub Wave-5 of Wave-3 gained 600 Nifty points.
8- Wave-3 gained 1045 Nifty points.
7- 16 Sessions sideways correction between 5639-5733. 
8- 24 Sessions most time trading between 5639-5733 with Bearish Head & Shoulders formation and its Neckline forcefully broken down on 30-10-2012.

Conclusions from EOD chart analysis 

16 Sessions sideways correction between 5639-5733 but strong indication of deeper correction after Bearish Head & Shoulders formation in last 24 sessions as well as its neckline broken down on 30-10-2012 after RBI Credit Policy announcement. Although forceful break down and closing also well below neckline but firstly break down validity confirmation is required through following 2 filters:-

1- 3 Days sustaining below Neckline and/or
2- Slipping 3% below Neckline.

Breaking down confirmation will mean possibility of following 2 corrective moves:-

1- Firstly correction of 600 Nifty points up moves of Sub Wave-5 of Wave-3 from 05-09-2012 to 05-10-2012  
2 As correction of Wave-3 started after completion of Sub Wave-5 therefore Indian markets are technically mature for 'ABC' correction of whole 1045 Nifty points up moves of Wave-3 from 04-06-2012 to 05-10-2012  

Firstly understand the validity of correction and get confirmation through above mentioned 2 filters and then prepare yourself for above 2 corrective deeper down moves.

FII Trading Data in Derivatives Segment on 30-Oct-2012

FII & DII trading activity in Capital Market Segment on 30-Oct-2012

FII trading activity on NSE and BSE in Capital Julket Segment(In Rs. Crores) Category Date Buy Value Sell Value Net Value FII 30-Oct-2012 1448.83 1640.36 -191.53

DII trading activity on NSE and BSE in Capital Julket Segment(In Rs. Crores) Category Date Buy Value Sell Value Net Value DII 30-Oct-2012 1265.79 1297.63 -31.84

Indian Stock Markets Closing Reports(30-Oct-2012)

Main features of today trading are as follows

1- All the Indices closed in Red except CNX IT and CNX MEDIA.
2- Sharp fall after RBI Credit policy.
3- Long Black Candle formation.

Ratios

Nifty P/E Ratio(30-Oct-2012): 17.56

Advances & Declines

BSE Advances :   969
BSE Declines : 1,838
NSE Advances :   506
NSE Declines : 1,219

Nifty Open Interest Changed Today

Nifty- 5400 CE(Nov)- -6,600(-0.39%)
Nifty- 5400 PE(Nov)- 323,200(8.02%)

Nifty- 5500 CE(Nov)- 64,700(8.23%)
Nifty- 5500 PE(Nov)- 943,400(27.16%)

Nifty- 5600 CE(Nov)- 1,151,100(95.55%)
Nifty- 5600 PE(Nov)- 404,450(8.99%)

Nifty- 5700 CE(Nov)- 1,394,700(41.15%)
Nifty- 5700 PE(Nov)- -414,650(-10.24%)

Closing 

Sensex- closed at 18430.85(-204.97 Points & -1.10%)
Nifty- closed at 5,597.90(-67.70 Points & -1.19%)
CNX Midcap - 7,682.35closed at (-84.20 Points & -1.08%)
CNX Smallcap- closed at 3,382.55(-46.05 Points & -1.34%)

Nifty Spot-Levels & Trading Strategy for 31-10-2012

Nifty Spot-Levels

R3 5761
R2 5725
R1 5661
Avg 5625
S1 5561
S2 5525
S3 5461

Nifty Spot-Trading Strategy

H6 5697     Trgt 2
H5 5674     Trgt 1
H4 5652     Long breakout
H3 5624     Go Short
H2 5615
H1 5606
L1 5587
L2 5578
L3 5569     Long
L4 5542     Short Breakout
L5 5519     Trgt 1
L6 5496     Trgt 2