WEEKLY TRADING HIGHLIGHTS & OUTLOOK

10 Dec, 11

S&P CNX NIFTY

OPEN

5036.50

HIGH

5099.25

LOW

4841.75

CLOSE

4866.70

Change(pts)

-183.45

Change (%)

-3.63

MARKET OUTLOOK

The Nifty opened on a negative note and continued its southward movement throughout the week. The nifty registered a high of 5099 levels but eventually, slipped to a low of 4841 levels and closed very near to that level at 4866, with a loss of 183 points. The index witnessed profit booking after a rise of 340 points last week. The index has retraced 50% of the pullback starting from the lows 4640 to the highs of 5099. Once NIFTY closes below 4860 (50% retracement starting from the lows 4640 to the highs of 5099) then it has immediate support in the range of 48104800. Sustenance below these levels will see the index fall further to the levels of 4740/4700/4640. On the upside the index has resistance at its near term moving average placed at 4935 and above this level NIFTY can face selling pressure from the level of 5000. Sustenance above the level of 5000 will see the index head towards the 5130/5160 levels.
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WEEKLY TRADING HIGHLIGHTS & OUTLOOK

10 Dec, 11

BSE - SENSEX
OPEN HIGH LOW CLOSE Change(pts) Change (%) 16812.30 17003.70 16142.30 16213.45 -704.55 -3.76

MARKET OUTLOOK

The Sensex opened on a negative note and continued its southward movement throughout the week. The Sensex registered a high of 17003 eventually, slipped to a low of 16142 levels and closed very near to that level at 16213, with a loss of 704 points. The index witnessed profit booking after a rise of 1150 points last week. The index has retraced 50% of the pullback starting from the lows 15478 to the highs of 17003. Once SENSEX closes below 16230 then it has an immediate support in the range of 1600016100 levels. Sustenance below these levels will see the index fall further to the levels of 15850/15650/15480. On the upside the index has resistance at its near term moving average placed at 16456, above this level SENSEX can find selling pressure from the level of 16700. Sustenance above the level of 16700 will see the index head towards the 17150/17500.
Key Levels & Averages
INDEX SENSEX NIFTY Close Support-1 Support-2 Resistance-1 Resistance-2 8 DMA 34 DMA 200 DMA

16213 4866

16000 4760

15850 4640

16456 5000

16700 5168

16456 4935

16603 4984

17769 5335

WEEKLY TRADING HIGHLIGHTS & OUTLOOK

BANK-NIFTY

10 Dec, 11

8811

8700

8584

9000

9240

8918

9106

10379

TRADING RECOMMENDATIONS

CLOSE (`CMP) SUPPORT-1

1572.45 1538

SUPPORT-2 RESISTANCE-1

1500 1628

RESISTANCE-2 52 week-High

1662 1854

52 week-Low

1386

Dr. Reddy's Laboratories Limited CMP - ` 1572.45 Technical Outlook & Trading Strategy:The stock has rallied from the lows of `1386 to the highs of ` 1684 and then retraced up to 61.8% of the rally. The important observation to be made is that the stock has found support near its (near term, midterm, long term) clusters of moving averages and now sustaining above it on the closing basis for past few days. The momentum indicators are in a bullish zone indicating more upside for the stock. We recommend traders to buy at current level with a stop loss placed below ` 1533.80 for the targets of `1622/ `1656.
CLOSE (`CMP) SUPPORT-1 1208.15 1188.00

SUPPORT-2 RESISTANCE-1

1152.00 1248.00

RESISTANCE-2 52 week-High

1272.00 1230.00

52 week-Low

883.40

UltraTech Cement Limited CMP ` 1208.15 Technical Outlook & Trading Strategy:The Share price of UltraTech Cement Limited has been trading sideways since past few months. This consolidation is forming an ascending triangle pattern. The stock is also trading above its cluster of moving average. On the weekly chart the stock has registered breakout from its multiple resistance line (as shown in the chart). The MACD indicator is also giving a fresh buy signal. Traders should look to initiate long positions now for price targets to levels of ` 1248 / ` 1272. We recommend all long positions be protected with a stop placed below ` 1168.40.

WEEKLY TRADING HIGHLIGHTS & OUTLOOK

10 Dec, 11

CLOSE (`CMP) SUPPORT-1

214.10 202.00

SUPPORT-2

195.00

RESISTANCE1

221.00

RESISTANCE2

230.00

52 week-High

314.90

52 week-Low

173.25

DLF Limited CMP` 214.10 Technical Outlook & Trading Strategy:The Share price of DLF Limited has been forming head and shoulder pattern. Traders should note that the head & shoulder pattern is the most acclaimed bearish chart pattern indicating stock to fall down further. The implicated target for the stock is `178--`152 (in the midterm). Currently the stock is forming right shoulder; we expect the stock to fall up to the levels of `204/`195. The RSI indicator is also declining. Traders should initiate short positions at current levels for the price targets of ` 204 / ` 195 levels. We recommend all long positions be protected with a stop placed above ` 223.20.

CLOSE (`CMP) SUPPORT-1

755.70 724.00

SUPPORT-2

700.00

RESISTANCE1

770.80

RESISTANCE2

788.20

52 week-High

1091.40

52 week-Low

712.00

Reliance Industries Limited CMP` 755.70 Technical Outlook & Trading Strategy:The share price of Reliance Industries Limited has been trading sideways for past few sessions. Currently the stock is trading below its cluster of moving averages and trading near multiple support trend line (as shown in the chart). The ADX (leading momentum indicator) indicator is also in the bearish zone indicating stock to fall further up to the levels of `722/ `702.

WEEKLY TRADING HIGHLIGHTS & OUTLOOK

10 Dec, 11

We recommend a sell below the levels of 750 with a stop loss placed above the level of ` 772.60 for the above mentioned targets.

CLOSE (`CMP) SUPPORT-1

415.95 402.00

SUPPORT-2 RESISTANCE-1

388.00 431.00

RESISTANCE-2 52 week-High

446.00 611.70

52 week-Low

405.55

Ranbaxy Laboratories Limited CMP` 415.95 Technical Outlook & Trading Strategy:The Share price of Ranbaxy Laboratories Limited has been trading sideways channel for past few months. The stock has closed near its support This consolidation is forming an ascending triangle pattern. The stock is also trading above its cluster of moving average. A weekly close above the range `432--`435 will confirm the fresh up move for the stock. The momentum indicators are also in bullish trajectory. Traders should look to initiate long positions above the `432 for price targets to levels of ` 462 / ` 480. We recommend all long positions be protected with a stop placed below ` 389.40.

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