hi rupesh i do not know what had happened between in u and dipakgod. I was just out of town for 2 days and when i saw ur messages today then only i came to know abt u and him. BTw u do not have to give ant attention to these silly people as they r not of much use.
BTW u r saying that sensex can go upto 19000 this week. Is it possible sensex can gain 2000 points in a single week despite the fact that FIIs r the net seller in the cash market from last 3 trading days.
OK US is quite buish today but can it take sensex to a level of 19000 in just 4 trading sessions considering that it is expiry week.
and if u could give me ur view on GMR infra and Mercator Lines
Exit all long positions on any pull-back rally: Vasudeo
Technical Analyst, Hitendra Vasudeo:
Last week, the Sensex opened at 16893.11 attained a high at 17098.79 and fell to a low of 16635.75 before it finally closed the week at 17021.85 and thereby showed a net rise of 173 points on a week-to-week basis.
The Friday’s recovery towards the closing at 17021.85 was encouraging from its low of 16635.75. As a result, the Sensex has gained strength for the immediate near term, which can attempt to test the recent high of 17493 at least and may be 17735 to an outer extent.
We are, however, still in the resistance range of the long-term quarterly chart. As indicated in our earlier market updates, the low of the December 2007 quarter was 17144 and the major lower top after the peak of 21206 was 17735. This resistance band of 17144-17735 has still not been crossed since mid-September 2009. The low of 16635.75 on Friday becomes the immediate trading higher bottom after the low of 15530 made in the first week of November 2009.
In our earlier updates, we had indicated that the inverted head & shoulder looked like a W pattern; the breakout point of this pattern was in the range of 15579-15600. The Sensex did violate the range but has managed to close above it and sustain above it in the last two weeks. The recovery on Friday shows that bulls are still in contention to rally the market and are not yet out. They are waiting at the sideline to bounce on the bears at a suitable opportunity.
Last week our support levels were 16635-16360-16147. The Sensex, last week, tested the first support of 16635 by making an exact low at 16635 and recovered from it on Friday itself.
Weekly support will be at 16918-16738-16635. Weekly resistance will be at 17201-17493-17735.
The Broad Market
BSE Mid Cap support will be in the 6238-6254 range. Resistance will be at 6535, 6651 and 6710. Breakout and close above 6710 on a weekly basis can lead to a sustained rally.
BSE Small Cap support will be at 7428-7409. Resistance will be at 7890. Breakout and close above 7890 can exhibit a small cap rally as well.
Conclusion
Last week’s low is the important support and stop loss point for all long positions from the short-term angle. From the medium-term angle, 15330 will be the major support point. Last week’s low was 16635.
Strategy for the week
Exit all long positions on any pull-back rally that is witnessed to resistance levels or above to 17500 and 17745. Traders and short-term investors can keep a stop loss of 16635 and medium-term investors can keep a stop loss 15330 and look for a rise to 17500 and 17735 to book profit or exit long. Traders can trade long for a rise above 17500.
Sensex touching 18200 this week would be too much of a positive move. We need lot of FII and DII buying for that to happen. Being the expiry week, I feel that is a little difficult.
I have a feeling that SENSEX may expire just around 17000.
Very good call, yes 19000 is very easy in next week.
Infact once NF moves above 6300 then 7300 should come before FEB 2010 and if it rains properly then with no drought fear by first week of Jan 2010 we could see 7300-7500 on NF.
| NIFTY 
