""WEEKLY MARKET OUTLOOK & TRADING IDEA FOR THE WEEK 11.03.2013 TO 17.03.2013""

The 30-share index, Sensex climbed 764.71 points or 4.04% over previous week to 19,683.23. On the other hand, the broad based NSE Nifty surged 226 points, or 3.95%, to 5,945.70.
VIEWS FROM DIFFERENT BROKING HOUSES:
HDFC SECURITIES: With the Nifty rallying further after closing above the 5850 resistances on Thursday, the bulls seem to be in control. Traders will now need to watch if the Nifty can convincingly take out the next intermediate highs of 5971 early next week. Weakness could emerge if the immediate supports of 5880 are broken.
CANARA BANK SECURITIES (CanMoney): “Coming week the outlook remains very cautious and much would depend on the outcome of policy decision by RBI that could lead to any sustainable recovery”.
BONANZA ONLINE: After 5 down weeks, Nifty closed in green. Nifty made bullish engulfing pattern on weekly charts which shows bulls are having control at the moment. Buying interest may be continuing above 5950 levels else profit booking may be seen. Traders may take delivery based position in good stocks with stoploss levels. For trading during the coming session, trend deciding level is 5950. If Nifty shows strength above 5950 levels then we may see rally till 6025/6075/6125/6175. If Nifty doesn’t maintain above 5950 levels then selling pressure till 5890/5825/5750/5700 may also be seen.
Duration
Action
Entry Zone (NF)
For Target of
Stop Loss
For Monday
Sell
5980-5990
5020
6015
For the Week
Sell
6000-6040
5930-5890
6070
GEPL CAPITAL: Nifty staged a massive comeback in the last week as it recovered from near the support of its 200 Day EMA. It has managed to give a convincing close above the 5850 mark which was the stop loss for recommended bearish positions. In doing so it has now entered neutral territory. In the coming days if it manages to take support near 5800 to 5850 range and rallies back higher beyond the now important resistance of 5970 then it may scale higher till the previous high of 6111. However failure to take the resistance level of 5970 and a sharp decline below 5800 would indicate that it may yet again slip into bearish territory. The price action of next few days would provide the cues to further moves.  Thus important levels to watch out for in the coming days are 5970 on the upside and 5800 as a support.
KARVY STOCK BROKING:Long positions can be assumed in Banking, Capital Goods, Consumer Durables, Energy, Metals, Realty and Utilities if the Nifty sustains above 5930 levels. Short positions can be accumulated in Auto, Cement and IT if the Nifty slips below 5930 levels. Overall, we expect Nifty to trade in the range of 5850-6100 levels for the next week”.
ADITYA BIRLA MONEY (MONEY WEEKLY):We recommend investors to accumulate quality blue chip stocks with medium to long term perspective, as India continues to remain an attractive equity investment destination. We recommend investors to focus on rate-sensitive sectors like banking, auto etc. and on quality stocks in reform led sectors like oil and gas sector and media. At the same time, investors should look at an opportune time to accumulate stocks in defensive sectors like FMCG, IT and Pharma sectors”.
ICICI SECURITIES:The Nifty has major support placed at 5820. On the higher side, intermediate resistance is expected at 6040 above which the Nifty may try to test 6100. The banking index has immediate resistance at 12500 while support may be witnessed at 12050. A move below 12050 may stretch the downward momentum towards its 11800”.
ANGEL BROKING (Technical): “Indices have precisely taken a support at the 'Downward Sloping Trend Line'. This bullish pattern is now supported by the positive crossover in the daily 'ADX (14)' indicator and the weekly 'Stochastic' oscillator. Also, last week we had mentioned that the weekly 'RSI' momentum oscillator has moved below the 50 mark. Nevertheless, this week it has managed to jump back convincingly to close above the 58 level. This indicates possibility of a further upside move if indices sustain above 19706/5953. In this scenario, the markets may rally towards 19768-19865/5991-6025 or even re-test the recent swing high of 20204/6112. On the flipside, the '89-day EMA' and the '20-day EMA' would now provide decent support to the markets. These are placed at 19250/5830 and 19348/5850 respectively. A sustainable move below 19195/5795 would once again trigger pessimism in the market”.
IIFL (Amar Ambani): Recent weak trend in WPI has been followed by a dismal Q3 FY13 GDP growth of 4.5% (v/s 5.3% in Q2 FY13). IIP was negative for second consecutive month; another indication of weakening growth. Increase in average LAF borrowing from ` 922 billion in Jan '13 to ` 1,098 billion in Feb '13 indicates liquidity tightening in the system. These factors along with a need to revive investment cycle are likely to persuade RBI to consider growth over inflation. Thereby, we expect repo-rate cut of 25 bps in the forthcoming monetary policy review”.
RELIGARE SECURITIES: Technically, Nifty has formed bullish engulfing candlestick pattern on the weekly chart which indicates positive bias to continue in the near future. Considering the pace of inclination, we might see more of stock specific move in the coming days while index may witness muted performance with overall positive bias. Going ahead, 6,020-6,100 will be crucial resistance on the higher side while 5,800-5,870 will provide the need support in case of any decline”.

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