Technical Analysis of Indian Equities by Nooresh


Dow Jones Down – Sensex up – Was there any co-relation?


Before i start on to the technical view it makes me bother is that lot of us end up seeing Dow Jones and European Indices late into the night but is there actually a co-relation in either of the indices.

Although i could not get time to do exact analysis i asked a friend by giving him excel sheet of Dow Jones prices and Sensex prices. The end result is the co-relation is barely 0.3-0.35 which is not much of a no to bother for.

So if you have been keeping awake hoping for a recovery or a slide in US or European Indices for cues then stop doing it πŸ™‚ Sleep a little early before 2 am or go around spend some time doing better things then watching CNBC or the computer screen.

For a simple analysis Dow Jones low made in May end was roughly 9750 and now its around 9650. Sensex is at 17500 which is 10% from the lows and Dow is down 1-2%.

Many a times even on the upside a similar disparity remains!.

Bottom Line is All Indices may look for direction for the world but magnitude is decided by themselves πŸ™‚

Sensex Technical View: Justas from yest

JulySensex thumb Sensex holds on to the Channel – Emerging Markets show resilience.


As was mentioned that short term channel support is placed in the band of 17300-17400. Sensex made a low of 17373 and did a recovery to 17700 + by day end.

As of now the market remains ranged between 17300-17900.Continue to buy on dips and exit on rise for index.

As of now 17370/17000 remain important support in near term.

Stocks to watchout for:

GIC Housing and TVS motors discussed gave a good move.

Persistent Systems has broken out above 420 is now headed to 445/465 in short term.

Nahar Spinning a breakout could see more momentum above 100. check chart below

Neyvyeli Lignite buy on dips for a target of 165/175 in short term. Check chart below

South Indian Bank,City Union Bank and Lakshmi Vilas look interesting in the banking space.







Article by Nooresh Merani

Nooresh has written 2740 articles.

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{ 11 comments… add one }
  • HESH July 2, 2010, 09:45

    HI nooresh sir,
    HESH here. as to inform all now frm many months europe mkt & dow open – run depend on sensex & nifty. πŸ™‚

  • bhanu July 2, 2010, 10:50

    hi Nooresh,

    Your reco, on Jan 7th PTL Enterprise has moved 50% in last week or so..:-) Thought to share with all readers. Thx

    • nooresh July 6, 2010, 13:15

      Hi Bhanu,
      Posted a full update on small cap coverage stocks.

  • KUNAL GOSAR July 2, 2010, 14:15


  • piyush July 2, 2010, 14:48

    superb call on peristent…
    U rock man…

  • natarajan t r July 2, 2010, 21:52

    Hi Nooresh,
    Your earlier call on Opto Circuits, indicated to reach a target of 249/265 is struggling to get off from 238/240.Is it worth holding by a patient investor for the next three or four weeks to reach the tgt of 249 and up?

    • nooresh July 6, 2010, 13:14

      Hi Natarajan,
      We have exitted at cost as its taking too much time. But yes can move in near term.

  • vivek July 3, 2010, 00:26

    Dear Nooresh,
    Please give me target for ORIENT ABRASIVE LTD. bought @40.

    • nooresh July 6, 2010, 13:13

      Hi Vivek,
      I am not tracking it.


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