TURNING POINTS FOR 04.03.2010

NIFTY FUTURE 30 MIN / NIFTY FUTURE EOD

NIFTY FUTURE:

In today's trading Nifty Future opened strong and steadily went up throughout the day. As expected, Reliance participated today and made it easier for Nifty Future to maintain steady up move. Nifty Future made a high of 5089 and closed at 5081.

For tomorrow Nifty Future may be bought/trailed with a stop loss of 5040. Ont higher side it will have strong resistance at 5175. This level also coincides with completion of 1 year on 5.3.2010 if we take the current 52 week low of 2525 as starting point of this one way rally. For this reason, I would consider 5th March as a day of significant importance. It will be better to book some profit on the way up tomorrow and day after as we will be up about 5 -6 % non stop.

TURNING POINTS FOR 03.03.2010

NIFTY FUTURE 30 MIN / NIFTY FUTURE EOD

NIFTY FUTURE :

In today's trading Nifty Future opened strong and after initial down move to 4967, remained steady with upward bias to make a high of 5035 and closed at 5023. considering the close, we can expect a strong opening tomorrow. While today sectors like Bank, Cement and Steel participated, performance of Reliance continues to remain lackluster. We must remember that for sustained up move in Nifty, participation by Reliance is a must. Let us hope it starts its journey above 1000 tomorrow.

For tomorrow, one can consider remaining long with stop loss of 4980. On higher side it will face resistance at 5075 and major hurdle at 5170. At this level it would be better to close long position or trail with tight stop loss.

Now that Nifty Future has closed above 5000, we will find lot of short covering taking place as many were bearish on the market. I would not recommend going short against the trend except at the resistance level of 5170, that too with tight stop loss of 5200.

Put Call Ratio of Index options remained unchanged at 1.17.

Please do not trade without STOP LOSS.

With Best Wishes,

Ketan Asher.

TURNING POINTS FOR 02.03.2010

NIFTY FUTURE 30 MIN / NIFTY FUTURE EOD

NIFTY FUTURE:

On the budget day, market remained in steady uptrend during the 1st half of the day and made a high of 5002, but gave up major gains in the second half of the day to close the day @ 4930 - just above the resistance level of 4920 being referred for better part of the last week. Weekly candle is almost a Doji - suggesting indecisiveness on the part of the bulls and the bears, but the structure still leaves hope for the up side.

Going by the media reports, the Budget proposals have been well received with exceptions of items like increase in MAT. As the participants would have now read through the fine print of the Budget proposals, tomorrow we may see the effect on individual sectors. Nifty Future may be bought above 4950 with stop loss of 4920. On higher side it will face resistance at 5000 and 5085.

Nifty Future may be considered weak below 4835.

Put Call Ratio of Index options increased to 1.17 as against 0.97 on the previous day.

Please do not trade without STOP LOSS.

With Best Wishes,

Ketan Asher.