"WEEKLY MARKET OUTLOOK & TRADING IDEA FOR THE WEEK 30.07.2012 TO 05.08.2012"

The 30-share index, Sensex plunged 319.25 points, or 1.86% to 16,839.19 for the week ended July 27, 2012. On the other hand, the broad based NSE Nifty dropped 105.25 points, or 2.02%, to 5,099.85 during the week.
VIEWS FROM DIFFERENT BROKING HOUSES:
KOTAK SECURITIES (Dipen Shah):Markets are awaiting some announcements on reforms from the Government and markets will rise sustainable, only if these are announced and implemented”.
CANARA BANK SECURITIES (CanMoney):Next week, global cues and RBI action will hold the key for our market’s direction”.
FAIRWEALTH SECURITIES: “This week, long positions can be assumed in FMCG, cement, energy and utilities if Nifty holds 5,000 levels. Short positions can be assumed in metals, banking (mainly PSUs), capital goods, consumer durables and auto if the Index fails to sustain above 5,170-5,200 levels or below 5,000 levels. We expect Nifty to trade in a broad range of 5,000-5,200 levels this week”.            
BONANZA ONLINE: Nifty showed selling pressure for 3rd consecutive week. If Nifty maintains above 5150 levels then recovery may be seen else selling pressure may be continuing. On downside Nifty may find support in 5000-4950 zone. For trading during the coming sessions, trend deciding level is 5100. If Nifty shows strength above 5100 levels then we may see rally till 5150/5200/5270/5350. If Nifty doesn’t sustain above 5100 levels then selling pressure till 5000/4950/4900 may also be seen”.
Duration
Action
Entry Zone (NF)
For Target of
Stop Loss
For Monday
Sell
5150-5170
5100
5200
For the Week
Sell
5150-5200
5075-5010
5225
BONANZA PORTFOLIO (Rakesh Goel): For last week, Nifty has been holding above this level on closing basis, with exception of Thursday. And today also it has got support from the same level. If Nifty continues to sustain above 5100, it can go upto 5170-5250 levels in coming sessions.”.
VENTURA SECURITIES LIMITED:On Monday 5105-5123-5135 would be sell levels. Weak Markets won’t cross 5113. Above 5135 Nifty could test 5149 (Friday’s high), further it could open for 5153-5190-5227-5281. Nifty has support at 5077 (Friday’s low). Below it could open for 5190-5160-5127-5059-4991-4895”.
KARVY STOCK BROKING: “Long positions can be assumed in metals, banking (broadly private), cement, FMCG and energy if the Nifty holds 5,170-5,150 levels. Short positions can be assumed in auto, pharma, capital goods, IT and utilities if the Index fails to sustain beyond 5,350 levels or below 5,150 levels. Overall, we expect the Nifty to trade in a broad range of 5,150-5,350 levels this week”.
ADITYA BIRLA MONEY (MONEY WEEKLY):Next week, markets would keenly watch the monetary policy meets of central banks the world over. Expectations have arisen that the ECB would do something along with an expected rate cut. Expectations are miniscule that RBI would cut policy rates when it meets on 31st July given the lack of action on the fiscal front, inflation at still not comfortable levels and poor monsoons. Aggressive action by the Fed and ECB could lead investors to take on risk”.
ICICI SECURITIES:The Nifty may see some surge in volatility next week while trading in the range of 5000-5200. Breach of 5000 may trigger closure of positions in the options segment and result in larger directional movement on the Nifty. The Bank Nifty was the major laggard in the market of last week while losing more than 2.6% during the week. PSU banking stocks may continue to weaken further. We expect the Bank Nifty to find immediate resistance around 10300 as this Call strike has seen heavy addition in the last three trading sessions. On downsides, it may stretch towards its major support of 10050 levels”.
SMC TRADEONLINE (WISE MONEY): “Nifty August future closed with rollover of more than 70% which is better than last three month averages of 65%. The overall market cost-of-carry ended positive. Nifty future closed at a premium of 35 points indicating long carry forward. Nifty is expected to remain in the range of 5000-5400 levels this week with positive bias”.
GABA & GABA FINANCIAL ADVISORS PVT LTD (Prakash Gaba): Technically the market is still weak though it has bounced from a strong technical support of 5030 in a reactive mode and if this reaction continues then it could take the market up to around 5200 zones...otherwise the down ward logical target is around 4995. From a trading point of view I would trade the short side of the market if it breaches 5075 level”.
ANGEL BROKING (Technical): Despite strong global cues, our benchmark indices faced immense selling pressure near day's high on Friday's session. The selling pressure was mainly seen in PSU Banks and other mid-cap counters. Indices are now hovering around the strong support zone of '200-day SMA' and 50% Fibonacci retracement level, which is around 16879-16598/5100-5032, respectively. We are also observing a positive crossover in the daily 'Stochastic' oscillator. Hence, the possibility of a bounce back from current levels cannot be ruled out. The immediate resistance for the market is seen at 16975/5150 level. If indices manage to sustain above this level, then the indices may rally further towards 17318-17466/5257-5300 levels. On the downside, last week's low of 16598/5032 would act as a strong support level for the markets. A breach of this level would augment pessimism and indices are likely to  test 16467-16250/4991-4950 levels The coming week is likely to be volatile on account of RBI Monetary policy announcement on Tuesday's session. Hence, we advise traders to stay light on the positions and avoid taking undue risks prior to the policy announcement”.
MICROSEC SECURITIES:For the coming week, first support of Nifty is at 5010 and the resistance is 5150. If Nifty breaks 5010, it may further go down to 4950 and then 4920. However, if Nifty is able to sustain above 5150, the level of 5220-5265 would become the next target”.
INDIRATRADE SECURITIES:For the next week, Nifty likely to trade in the range between 5250-5300 in the upper side and 5010-4950 in the lower side”.
SWASTIKA INVESTMART: The Major factors that will decide the further trend of market are; Reserve Bank of India's (RBI) monetary policy review due on 31st July 2012, progress of the monsoon rains, monetary policy review by US Federal Reserve, volatility in exchange rates and global economic issues will be the factor that will decide the further trend of markets”.
R K GLOBAL: “As we head in August, worries are that we may have to weather through weak monsoons this year, adding pressure to the economy’s already sluggish growth. Poor rainfall is expected to hurt agricultural growth, which further raises inflation and the ability of the RBI to act on interest rates. Less than required rainfall will also dry out the existing demand; especially in the rural sector putting considerable margin pressure on the consumer goods companies. This is going to be one of the biggest worries for the market. The FDI in airlines is also much waited which the market is expecting very strongly and we think the biggest relief will come to the sector and the banks, as banks have got enough exposure in the sector”.
MAGNUM RESEARCH: “On the Nifty 5000 will have a strong psychological support closing below which trend will turn negative and selling pressure till 4940 levels could be witnessed. On upside, 5180 will act as immediate resistance, sustaining above which the next level would be 5300 level”.

No comments:

Disclaimer: "It is assuming that all Traders and/or Investors are well known of the fact that Investment are subject to market risk and no responsibility will be taken either by the author or writer of the blog content whether direct, implied or consequential for any losses or profits that may occur as a result of trading with the calls provided in this blog.."