Day Trading Calls with Market Review for 10 Feb 2010

February 9, 2010 by

Nifty opened flat and was trading negative one hour into the trade. However it recovered thereafter to make higher highs and higher lows on the hourly chart. The index has been holding on to its 20DMA pegged at 4655 and has bounced back from there–a bullish sign in the short term. On the daily chart, the NSE benchmark has fallen in a 5- wave pattern from 5302 to 4675 and expected to retrace around 50% i.e. 5010 levels of the fall. The index had formed an outside bar and has given a breakout on the upside, which is a bullish sign for the market. So, until 4675 is intact the index should retrace the fall and take resistance at 20 DMA. The index is currently trading below its 20 DMA and 40 DMA placed at 4986 and 4999 respectively, which are crucial resistance levels going forward.

Nifty Closed 4792

Nifty Supports 4740/4675/4600

Nifty Resistance 4810/4860/4950

  1. Buy DLF 306-307 SL 299.60 TGT 312/319
  2. Buy ZeeL 264-265 SL 259.6 TGT 270/276
  3. Buy Century Textiles 482-483 SL 473 TGT 492/501
  4. Sell Titan 1701-1702 SL 1722 TGT 1660/1645

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