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Tracking Nifty for the

The Indian benchmarks ended on a weak note on March 13, 2013, when they closed near to
the low point of the day. There was liquidation of long positions by traders as there was
no follow up buying support from institutions. Again conflicting economic indicators is
keeping investors on the tenterhooks. Industrial output in January was better than expected
at
2.4 percent, but consumer inflation continued to be above 10 percent, underscoring the
problems in the economy. Investors also refrained from taking aggressive positions ahead of
the Reserve Bank of India's mid-quarter policy review scheduled next week. These led the
Sensex to close at the level of 19362.55 i.e. down by 202.37 points and the Nifty to close
at the level of 5851.2 i.e. down by 62.90 points. The midcap index and the small-cap index
closed in red with the loss of one percentage point and one and a quarter of a percentage
point respectively. On the sectoral front, all the indices, excepting one sectoral index closed
in red. FMCG Index closed as the major gainer with the gains of half a percentage point.
On the other hand Bank Index was the biggest looser with the loss of two and one-tenth of a
percentage point. This was followed by Consumer Durables Index, which closed with the
loss of slightly more than one and half a percentage point.
Further, the market breadth closed in negative as one stock was seen advancing against
three declining stocks.
Tracking Nifty for the week : (Week ending March 15, 2013, -All Nifty levels refer to NiftyFutures) We had mentioned in our earlier reports that the trend deciding point for the
week for Nifty was 5853. During this week as long as Nifty did not close BELOW the level of
5853, market was not expected to go down. It was also envisaged that in the early part
of the week that the current uptrend could to take Nifty towards the first weekly resistance
of 6027 mark. If this resistance of 6027 was not violated and if nIfty closed below this
point then there were chances that Nifty would move towards the trend deciding point of
5853 mark. A support here again could take Nifty back to 6027 mark. A further buying
pressure at 6027 could make nifty close above this level and could provide momentum to
nifty to touch 6156 mark based on the demand pressure. . For any reason , if Nifty was able
to close below the trend deciding point of 5853 then the immediate trend would change to
negative and Nifty would move towards 5723 mark. Hence the point of 5853 was to play
a crucial role this week and was to play an important role in deciding the forth coming trend
of the market.
For Monday, March 11, 2013 the trend deciding point for the day emerged at 5902 mark.
The low made on Friday March 8, 2013 was also at 5901. Hence this point become a natural
support point in the rising market. Thus any down move towards this point was to be used
as a buying opportunity with a stop loss of thirty to forty points. On ascent, the first
resistance existed at 6027, which was also a weekly resistance point. The next resistance
stood at 6156, in case of a sharp up move. However, it seemed difficult for Nifty to repeat
its
recent performance every day. An aggressive support also existed at 5945 mark in case of
sustained upmove. And on Monday, Nifty opened at 5967.65 and went up to touch the

high of 5990.1. From there, it went down to touch the low of 5948 before finally closing at
5951.5. Thus the point of 5945 proved to be a support area.
For Tuesday, March 12, 2013 the trend deciding point stood at 5963, below this point nifty
was likely to trade with a negative bias. Support existed at 5932 and 5900 mark. If nifty
sustained below 5900, then further selling pressure was likely to pull nifty down to 5850
level. On the other hand if Nifty found support around 5932 level, it was likely to move up to
5960 and then to 5978 zone. And on Tuesday, Nifty opened flat at 5962.4 and soon made a
high of 5975. As envisaged, the resistance of 5978 provided the supply pressure and Nifty
slid down to touch the low of 5914.10. The session was characterized by the sharp volatility
and choppiness as it soon reversed back to the level of 5973.8 and only to close finally at
5930.3.
For Wednesday March 13, 2013 the trend deciding point emerged at 5890. Any fall in Nifty
towards this point was expected to provide buying opportunity with a stop loss of thirty to
forty points. On ascent, the level of 5975-80 was to still act as a resistance. However, if this
was crossed, then the next resistance emerged at 6027 mark. And on Wednesday, Nifty
opened weak at 5909.80 and from there, drifted downwards to touch the trend deciding
point of 5890. After touching 5890, it rebounded to reach 5916, the high of the day.
However, it could not sustain here and slipped again to touch the low of 5858 before closing
at 5860.2
For Thursday March 14, 2013, the trend deciding point works out at 5842 and the weekly
trend deciding point stands at 5853. Thus any fall in Nifty should initially get supported in
the band of 5842-5853. If Nifty sustains this level and bounces back, then point of 5915 will
be the initial resistance point. Further resistance exists at 5935-5945 mark. However, if
5842 is breached, then the next support emerges at 5800 mark.
Index Range ( March Future)
Nifty: 5860.2
Range: 5800 - 5985
Resistance: 5882 – 5908 - 5940
Support : 5849 – 5824 - 5791
Bank Nifty : 11803
Resistance : 11905 – 12009 - 12153
Support: 11761 – 11657 - 11513
Sensex : 19395
Resistance : 19471 – 19547 - 19654
Support : 19364 – 19288 - 19182
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