NIFTY OUTLOOK FOR 7th & REVIEW

RECOVERY AFTER OPEN

Nifty closed in the negative but recovered from lower levels but the weekly trend can be considered positive only if Nifty closes above 6220 continuously for atleast Two sessions. However, considering the recent fall, a reasonable pullback too can be expected.  Nifty spot is expected to encounter resistance at 6235, 6270 and find support at 6155, 6120, for Tuesday. While Global cues and  Funds flow  are expected to broadly guide the market movement, based on the present market position , market can be expected to recover after opening session and with a midsession correction could pull back again towards close.

Nifty                               6191     -20

Review for Monday, 06th January, 2014 ::  Continued fall amid Zigzag Movement ..!!

Market opened lower , and traded in a  narrow range and closed with a fall of about 0.25%. 35 of Nifty stocks closed in the red but broader market was positive with Advance Decline ratio placed at 1.25:1.  Media, Pharma, FMCG, Metal and Auto indices gained while Realty, Energy, IT and Infra indices declined. ONGC, Jindal Steel, Sun Pharma, Tata Motors, Lupin, TCS remained major gainers among Nifty stocks while Tata Power, ICICI Bank, Bank of Baroda, SBI and Hero Motors remained major losers.

Nifty traded in a  narrow range and recovered from lower levels though closed in the negative territory.

Among F&O stocks,  FRL, Arvind, Voltas, Godrej Industries  , JSW Steel        remained  major gainers with higher Open Interest indicating fresh long positions while Bank of India, IGL, JP Power, Hind Zinc, Union Bank declined with higher Open Interest suggesting fresh short positions.

Inputs provided by

Dr.Bhuvanagiri Amaranatha Sastry

Astro Technical Analyst

Saketha Consultants, Hyderabad

He can be reached @sastry.saaketa@gmail.com

09848014561

 

Sensex down 64 points 

The benchmark Sensex dropped 64 points today, completing a four-day rout that wiped out all of December's gains, as an indicator of India's services sector contracted last month and Asian stocks ended lower. The markets were also cautious ahead of the earnings season starting this week and the release of minutes of the US Federal Reserve's meeting, at which it decided to start tapering the stimulus programme from this month. ICICI Bank, Infosys and Reliance Industries contributed the most to the decline in the Sensex. Tata Power, State Bank of India and Hero MotoCorp led 20 index stocks lower. Six of the 12 BSE sectoral indices fell, including bank, realty and power stocks. The Sensex opened on a higher note and then immediately fell and remained in negative terrain for the rest of the day. It closed at 20,787.30, a fall of 64.03 points or 0.31 per cent. The index has lost 383 points in the past four sessions. In December 2013, it had gained 378.75 points. The 50-share CNX Nifty on the National Stock Exchange moved down 19.70 points, or 0.32 per cent, to 6,191.45. The HSBC/Markit Purchasing Managers Index for the services industry fell to 46.7 in December from 47.2 in November as new orders declined. It was the sixth consecutive monthly drop in output and the longest period of continuous reduction since the 2008/2009 global financial crisis.