By Mr. Vivek Gupta, CMT – Director Research [CapitalVia Global Research Ltd]
New Delhi: Nifty September Future series begun the week with the opening on positive note and registered a new all time high of 8200 but couldn't hold the same and later dragged down till the levels of 8070. However it regained strength in last day of weeks trading as the FPIs were the net buyer in Indian equity market and managed to hold the level of 8000 to close on 8140 with net gain of 23.30 points. Market may remain choppy as Data due today, 12 September 2014 and early next week is likely to show easing of inflation in August 2014 and a muted growth in industrial production in July 2014. Investors should closely watch outcomes of FOMC meeting; due on 16-17th September, where Fed is likely to announce cut in it's monthly bond-buying program by another $10 billion to $15 billion.
Overall health of the market is still positive. Nifty is likely to continue its bull run with the crossing of its resistance level of 8160 and may make new highs again as it is managing to trade above its 50 and 200 days moving averages. Support for the Nifty future lies at 8070.
Open Interest Analysis:
On the call options front addition of open interest was witnessed in last trading session at strike price of 8300 & 8200.On the put options front we have seen addition of open interest in last trading session at strike price of 8000 & 7900. In coming sessions market may trade in a range of 8300 & 7900.
Support for Nifty Future : 8070, 8000
Resistance for Nifty Future : 8160,8200
Bank of India Cash Buy:
The stock is trading below falling trend line after showing correction. It is managing to trade above its 50 and 200 days moving averages with the RSI of 55 which indicates further buying opportunities in the stock. One may expect the target of 330 & 350 above the resistance mark of 300. Support is at 270 which will act as stop loss.
Glenmark Pharma Future:It is trading near its 52 week highs and is likely to surge further with the crossing of its resistance level of 780 as it is taking support from its 200 days moving average. Traders may put stop loss of the support level of 764 and can expect the target of 796 and 814 in coming trading sessions.