Technical Analysis of Indian Equities by Nooresh

Nifty 4450-4550 and Sensex 14800-15200 are strong support zones. Buy on declines but slowly in quality stocks.

nifty view

 

Nifty Detailed View :
Here we see that there are cluster of supports between 4450-4550 levels ( 4 reasons given ) from where Nifty should bounce back atleast till 38.2% retracement level of the entire fall from 5400 as it has done in previous major falls in this falling parallel channel that could be closer to 4800-4850 levels as a bounce back target.
1 ) Lows of 4550 in nov 2009 are critical

2 ) 50% retracement of entire rally from 2550 to 6350 is placed around 4450.
3) RSI - highly oversold, at same levels where previous important lows in Nifty were formed. We are near to 28. Generally we bottom at 24-26 levels.
4) Lower end of falling channel is placed around 4500 so this should act as a major support for the Index

 

Now similar chart for Sensex is below. 14800-15200 band should support.

 

15200Sensex

 

HAPPY INVESTING ,

 

Nooresh Merani

 

nooreshtech@analyseindia.com

Article by Nooresh Merani

Nooresh has written 2596 articles.

You can follow Nooresh Tech on Facebook and Twitter here.


{ 16 comments… add one }
  • Anjali November 24, 2011, 21:25

    Sir kindly suggest some quality stocks that we can buy.

    Reply
    • nooresh November 24, 2011, 22:25

      Hi anjali,

      Have been suggesting many stocks like nesco,smartlink,godrej,aditya birla nuvo as good bets.

      One may now even look at Ashok Leyland at 24 levels with a 4 % div yield. Escorts may be a moderate risk high return bet.

      Technically i would still wait to bet on momentum trades.

      Reply
  • bhanu68 November 25, 2011, 09:57

    hi nooresh,

    do you still prefer Ambuja Cem. at this price as defencive bet?

    thanks
    Bhanu

    Reply
    • nooresh November 26, 2011, 23:48

      Yes at current levels looks good stoploss 135

      Reply
  • kalpana jagadesh November 25, 2011, 12:47

    Thanks for ur posts really fantastic
    i am learning from ur posts
    All the best
    Thank u

    Reply
    • nooresh November 26, 2011, 23:48

      Thanks for ur kind words

      Reply
  • sanjay November 26, 2011, 01:42

    Hi Nooresh,

    I need your inputs on couple of stocks

    1. FSL, currently trading at 8 rs, company is in profit throughout but just cannot sustain. What issue you see in this and can a quick bounce be expected. Also horizon for 1 yr and i hold this stock with avg price of 33 Rs.

    2. Anantraj

    Regards,
    Sanjay

    Reply
    • nooresh November 26, 2011, 23:48

      Fundamentally many doubts on the cos.

      Also lets wait for some turnaround signals. But a must keep in radar.

      Reply
  • dharani November 26, 2011, 20:25

    sir i want to buy bgr energy @200 for small pullback,, is it good idea..

    Reply
    • nooresh November 26, 2011, 23:47

      Will prefer to wait for turnaround signals.

      Reply
  • Hari November 27, 2011, 12:28

    Whats ur outlook on Patel Engineering ?

    Reply
  • Rajul Gala March 26, 2012, 19:48

    What about Adity Birla Nuvo @950 level can I buy at this level or any dip is expected. Tell me about Dabur/ Fortis Health Care/ MCX

    Reply
  • b k sharma May 12, 2012, 12:38

    can you guide me on diamond power infra, shriram transport finance and solar industries. can we start buying these stocks at current levels.

    Reply
    • Nooresh May 13, 2012, 19:25

      I dont track the 3 stocks closely

      Reply
  • P.AYYAPPAN October 26, 2012, 17:35

    SR, I M NEW TO THIS STOCKMARKET,I AM TRADING IN COMMODITY , BUT FROM UR SITE ,I AM GOING ENTER IN THIS MARKET.

    Reply
    • Nooresh October 27, 2012, 18:25

      Good ayyapan keep stoplosses

      Reply

Leave a Comment