Daily Technical Report:16 August 2018

1. Technical View (Equity) Daily call Index CMP % up/dn S2 S1 P R1 R2 11,435.10 0.70% 11340 11385 11420 11470 11500 Nifty 37852 0.55% Sensex 37580 37715 37825 37960 38065 Nifty Daily Chart Comments: Nifty opened on a flat note but buying led the index upwards to end near the high of the day. Nifty closed at 11435 with a gain of 79 points. On the daily chart index has formed a sizable bullish candle forming higher High-Low compare to previous session and has closed above previous session's high indicating positive bias. The index is moving in a Higher Top and Higher Bottom formation on the daily chart indicating sustained up trend. The chart pattern suggests that if Nifty crosses and sustains above 11450 level it would witness buying which would lead the index towards 11480-11520 levels. Important Supports for the day is around 11410 However if index sustains below 11410 then it may witness profit booking which would take the index towards 11370-11340 levels. Nifty is trading above 20, 50 and 100 day SMA's which are important short term moving averages, indicating positive bias in the short to medium term. Nifty continues to remain in an uptrend in the short and medium term, so buying on dips continues to be our preferred strategy. The daily strength indicator RSI and the momentum indicator Stochastic both are in bearish mode and sustaining below its reference line which supports bearish bias ahead. The trend deciding level for the day is 11420. If NIFTY trades above this level then we may witness a further rally up to 11470-11500-11550 levels. However, if NIFTY trades below 11420 levels then we may see some profit booking initiating in the market, which may correct up to 11385-11340-11305 levels Stocks to focus for intraday Long AmarajaBat, Astral, Auropharma, BalkrishnaInd., Bharatfin, Biocon, CeatLtd., Cholafin Stocks to focus for intraday Short Adaniport, Asian Paint, Bpcl, Crompton, Hdfc