STOCK TO WATCH NALCO CMP 345

nalco can be added for short term . cmp 345.
we have tested today last top of 15580 we had seen before going for last painful leg for correction from 15580 to 7697.on crossing it we can see 16k also.
we are in a very serious resistance zone area so keep very very strict stop losses on yr long positions.as i mentioned yesterday watch ril( rpl also). today it has closed up by 2% , if we have to cross 15580 we need ril moving up.

15580 TESTED

we have tested today 15580, a major resistance level from where last leg of correction was started.it is better to be cautious then repent later....
dont miss to book profits.dont be content with notional profits only.
in prev days i had given resistance levels of 14931/15107/15580 and 16000 for this upmove.

STOCK TO WATCH TATA POWER CMP 1140

TATA PWER IS LOOKING GOOD FOR SHORT TERM BUYING. CMP 1140

SENSEX CHART

LOOK AT CHART AND COMMENTS ON IT.
WATCH RELIANCE IND TOMORROW. IT CAN GIVE DIRECTION TO MARKET.

market bounces

after correcting from 15257 made on friday we have gone dn to 14526 in today mrng. looking at retracement lvls,50%/61.8%/78.6% lvls are 14892/14977and 15100. watch this lvls. failure to cross these lvls we can see lower lvls.shorters can keep stop loss of 15100.

as mentioned yesterday IT shares are showing strength today also.

MARKET STATUS

refer link .http://pankaj564.blogspot.com/2009/06/market-status.html
it was posted on 4th june.next day as per expectation we went upto 15257 and started selling off. i had given a comment when we were near 15250 warning that it is becoming dangerous to be on long side.

finally today broad based sell off is seen. in sensex we are at lower lvl of a range which i mentioned on 4/6/09 at 14600. but corresponding lvl in nifty was around 4450 and it is broken decisively. even global markets are also showing heavy profit booking. what next?
on breaking 14600 we are going to see more weakness. it may be prudent now to sell on rises.
refer long term rsi chart posted today.
only IT sectors leaders like infy, wipro, tcs were showing some strength today.

DOW STRUGGLING AT 200 DMA

UPMOVES STARTED GLOBALLY IN FIRST WEEK OF MARCH. WE STRUGGLED FOR FEW DAYS AND CROSSED 200 DMA IN APRIL WHICH WAS AROUND 11300.DOW HAS REACHED AT 200 DMA NOW AND DOW IS STUGGLING THERE AND IT IS NOT ABLE TO CROSS IT DECISIVELY.ITS FAILURE TO CROSS 200DMA WILL CREATE PRESSURE IN WORLD MARKETS.

long term rsi chart

look at chart.rsi lvls are very close to resistance on long term weekly charts.

STOCK TO WATCH CUMMINS CMP 266

CUMMINS CMP 266 FOR SHORT TERM
KEEP STRICT STOP LOSS

market status

we have closed today near upper boundary of the 14600-15000 range. its highest closing since long time in our mkts.crossing of this range can give move of 200-500 points but this upmove shd be used for profit booking.
rsi values are dly 76 and weekly 77.-ve divergence still continues.
moves in defensive sectors like fmcg and pharma are seen which are normally seen at the end of a rally.euphoric buying is seen in mid n small cap stocks irrespective of fundamentals.
PE of indices have crossed 20+lvls which indicates stretched valuations.
we are in fibo time clusters as discussed in prev mails.do not get stuck with high priced shares.