Weekly Technical Report :15 October 2018

1. Technical View (Equity) Weekly call Index CMP % up/dn S2 S1 P R1 R2 10,472.50 2.32% 10260 10365 10430 10535 10600 Nifty 34733.58 2.15% Sensex 34080 34405 34605 34935 35135 Nifty Weekly Chart Comments: Nifty started the week on a flat note and traded with extreme volatility on either side throughout the week. Nifty closed at 10473 with a gain of 156 points on a weekly basis. On the weekly chart the index has formed a Bullish candle with a long lower shadow indicating buying at lower levels. On Friday Nifty has witnessed strong buying momentum and closed above 10400 levels which is a positive sign for bulls in near term. The chart pattern suggests that if Nifty crosses and sustains above 10500 levels it would witness buying which would lead the index towards 10600-10700 levels. However if index breaks below 10400 level it would witness selling which would take the index towards 10300-10200 levels. Nifty is trading below 20, 50 and 100 day SMAs which are important short term moving average, indicating negative bias in the short to medium term. Nifty continues to remain in a downtrend in the short to medium term, so selling on rallies continues to be our preferred strategy. For the week, we expect Nifty to trade in the range of 10300-10700 with a positive bias. The weekly strength indicator RSI and momentum oscillator Stochastic both are in negative territory below their respective reference lines indicating negative bias The trend deciding level for the day is 10430. If NIFTY trades above this level then we may witness a further rally up to 10535-10600-10705 levels. However, if NIFTY trades below 10430 levels then we may see some profit booking initiating in the market, which may correct up to 10365-10260-10195 levels Stocks to focus for intraday Long Asianpaint, Bajajauto, Coalindia, Dabur, Gail, Hdfcbank, Itc Stocks to focus for intraday Short Hcltech, Mphasis,NH, Torntpharm Tcs, Auropharma, Mindtree,