Technical view by Nooresh

Bounces but doesnt sustain ….

Sensex Technical View :

Sensex makes a pullback but could not maintain it for the day. The weakness continues to remain with bounce backs in between. Resistances on upside 8500/8630 in near term. Only a move beyond the breakdown line around 9k would mean a change of trend ( shown in charts) . Till then continue to wait for stock specific breakdowns to trade or small bounces from support. 

Dow Jones Technical View :

In the last update it was mentioned about a pullback from these zones to a minimum of 6900-7100 and to a higher side range of 7450. As expected Dow has recovered to 7100 zones in a few sessions. The upside may be capped around 7450 in the near term.

Crude did move above 46 and hit a high of 48.5+ close to 49 then again a dip to 42 and now is back to 47. So traders might have got both a momentum and pullback trade. Bullishness remains till it stays above 45-46 the tgt of 49-51 and 54 odd remains a good possibility. 

Stocks to watchout for :

 Bharti Airtel has given a breakdown on charts. check post below for more. 

Cairn might try to possibly breakout of the range of 155-167 in near term. Can be a short term trade for 5-10% if stays above 168 or below 155. 

Auto stocks like MnM and Ashok Leyland seem to be shaping up for a small move... Hero Honda and Maruti already strong. Charts posted below. 

NTPC is forming a tight range of 169-181. If breaks below 168 could be a good short trade for tgts of 163/155 . 

Cipla if stays above 207 can give another 10 bucks tgt of 215-217.

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Article by Nooresh Merani

Nooresh has written 2531 articles.

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