"WEEKLY MARKET OUTLOOK & TRADING IDEA FOR THE WEEK 12.11.2012 TO 18.11.2012"

The 30-share index, Sensex declined 71.77 points, or 0.38% over previous week to 18,683.68. On the other hand, the broad based NSE Nifty too dropped 11.45 points, or 0.20%, to 5,686.25.

VIEWS FROM DIFFERENT BROKING HOUSES:

HDFC SECURITIES: “With the Nifty correcting sharply on Friday, traders will need to watch if the index can now hold above the 5680 supports. Our upside targets of 5813 would hold if the supports of 5680 are held. Else, the current uptrend would reverse and the Nifty could then be headed towards the recent lows of 5583 in the coming week”.

CANARA BANK SECURITIES (CanMoney): “Traders will need to watch if the index can now hold above the 5680 supports. Any upside targets would hold only if the supports of 5680 are held. Major Supports & Resistances for Nifty is 5640/5575/5525 & 5725/5775/5815”.

FAIRWEALTH SECURITIES: “An intra-day downside (seems like a possibility) could come in below the 5682 level while significant support at lower levels (5638) – would limit the downside. The outlook has turned negative again”.            

BONANZA ONLINE: “After making hammer candlestick pattern on weekly charts, Nifty made shooting star candlestick pattern, which shows volatility in the market. If nifty hold 5680 levels then recovery may be seen else Selling pressure may be continuing below 5680 levels. On upside, Nifty has resistance near 5800 levels and on downside support near 5600 levels. For trading during the coming sessions, trend deciding level is 5680. If Nifty shows strength above 5680 levels then we may see rally till 5725/5800/5860/5940. If Nifty doesn’t sustain above 5680 levels then profit booking till 5630/5580/5530/5450 may also be seen”.

Duration	Action	Entry Zone (NF)	For Target of	Stop Loss
For Monday	Sell	5740-5760	5690	5780
For the Week	Sell	5750-5780	5640-5580	5825

BONANZA PORTFOLIO (Rakesh Goel): “In the coming week, 5,635 level on the downside and 5,775 level on the upside shall be deciding levels. If it goes above 5,775, further buying momentum is likely for a target of 5,800-5,850”.

GEPL CAPITAL: “Nifty is now near a key support level of 5680 and below that it has next support placed at 5650. Any decline below 5650 would be the initial sign that the correction that started late this week may turn out to be a bit deeper. In the event 5650 is also breached then the Nifty may decline further till the swing low of 5580 which is also a support level offered by a rising Channel. On the higher side it needs to surpass the level of 5750 to trend higher till 5815 to 5900 range. Traders with long positions may place a stop loss of 5640”.

KARVY STOCK BROKING: “Long positions can be assumed in auto, consumer durables, FMCG, pharma, realty and telecom sectors if markets hold 5700 levels. Short positions can be accumulated in banking, capital goods, metals and utilities if the Nifty fails to sustain above 5700 levels or below 5650 levels. Overall, we expect the Nifty to trade in the range of 5600-5800 levels for the next week”.

ADITYA BIRLA MONEY (MONEY WEEKLY): “Markets seem range-bound for the short term. Private sector financials, discretionary consumption, media, IT and pharma are likely to outperform. We recommend buying into the weakness in the market”.
ICICI SECURITIES: “The 5650 level is expected to remain crucial for the Nifty in the near term. Long bias should remain till the Nifty holds these levels. On the higher side, immediate hurdle is placed at 5750 above which 5800/5880 can be expected. The Bank Nifty has immediate support at 11400 below which momentum may fade away from the banking index. On the higher side, 11700 is expected to remain a hurdle”.
SMC TRADE ONLINE (WISE MONEY): “The current situation strongly suggests that the market is due for range & volatility breakout on either side, which will be confirm only above 5800 level or below 5650 levels”.
GABA & GABA FINANCIAL ADVISORS PVT LTD (Prakash Gaba): “The crucial support for the Nifty is at 5690-5640 and the resistance is at 5780-5805”.
ANGEL BROKING (Technical): “We are now observing a mirror image of the breakdown, in the form of a breakout beyond the 18886/5729 mark. Indices managed to traverse the 18886/5729 level and started correcting immediately after a minor up move. This shows that the market participants are skeptical and hence, the market is struggling to find a clear direction. At this juncture, the daily chart depicts a negative crossover in the 'RSI' and the 'Stochastic' oscillators. This increases the possibility of a near term corrective move if our benchmark indices manage to sustain below 18656/5677 levels. In this scenario, our markets may slide towards 18589-18393/5650-5583 levels.  A breach of 18393/5583 may reinforce the negative momentum and as a result, we may witness further correction towards 18194/5515, which is the 50% Fibonacci Retracement level of the rise from 17250 to 19138/5216 to 5815. On the flipside, 19138/5816 level would act a strong resistance for our market. Only a sustainable move beyond this level would augment the buying interest and indices may resume to their higher degree trend, i.e. bullish. In this scenario, the up move may get extended towards 19542-19812/5850-5945 levels. In the broader sense, the near term trading range has widened to 19138-18393/5816-5583 levels”.

IIFL (Amar Ambani): “The IIP numbers will have its impact on few segments as the numbers are announced on Monday. The earnings season continues and investors will continue to pay closer attention to corporate numbers as they come. The monthly WPI is expected on Wednesday. It may be recalled that the diesel price hike had led to WPI inflation hitting a 10-month high in September”.

INDIRATRADE SECURITIES: “For the next week, Nifty likely to trade in the range between 5800-5850 in the upper side and 5550-5500 in the lower side”.

SHAREKHAN:  “Nifty is now expected to head higher till 5,770 with support around 5,649 in the short term. The short-term bias would change to positive until the index closes below 5,580 for a target of 5,815”.