Daily Technical Report:21 August 2018

1. Technical View (Equity) Daily call Index CMP % up/dn S2 S1 P R1 R2 11,551.75 0.71% 11475 11515 11540 11580 11605 Nifty 38278.75 0.87% Sensex 37935 38105 38225 38395 38515 Nifty Daily Chart Comments: Nifty opened with an upward gap and remained in positive terrain throughout the day. Nifty closed at 11552 levels with a gain of 81 points. On the daily chart index has formed a bullish candle and has closed above its past nine session's consolidation range representing positive bias ahead. In yesterday’s session Nifty has broken its psychological level of 11500 and has closed above it which indicates bullishness in near term. 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 11580 levels it would witness buying which would lead the index towards 11600-11630 levels. Important Supports for the day is around 11530 levels. However if index sustains below 11530 levels then it may witness profit booking which would take the index towards 11500-11470 levels. Nifty is trading above 20, 50 and 100 day SMAs 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 has turned positive and momentum oscillator Stochastic is moving upwards above its reference line indicating positive bias. The trend deciding level for the day is 11540. If NIFTY trades above this level then we may witness a further rally up to 11580-11605-11645 levels. However, if NIFTY trades below 11540 levels then we may see some profit booking initiating in the market, which may correct up to 11515-11475-11445 levels Stocks to focus for intraday Long Tvsmotor, Mfsl, Dcbbank, Hdfc, Hindalco, Ongc, Reliance Stocks to focus for intraday Short Gail, Hcltech, Maruti, Hscl, Godrejprop, Graphite