WEEKLY REVIEW WEEK 24 14 JUNE 2013
NIFTY OVERVIEW USDINR is showing signs of softening and that is good for equity markets. We could see a bounce in Nifty from here to around 5830-5900 levels. However, one must understand that the broader trend is down and selling pressure may again set in after a rise in Nifty. RBI interest rate decision on Monday, 17 June 2013 will decide the direction of the markets in the near term. However, eventually again the movement of USDINR will steer the direction of Nifty. We believe that Nifty has solid long term support at 5525 and it is here one can expect smart money to come in. Weekly Candle Chart of Nifty (futures) 2
BANK NIFTY OVERVIEW Bank Nifty may rise to the levels of 12000-12140. However, one must understand that the broader trend is down and selling pressure will again set in at higher levels. Bank Nifty has solid long term support at 11300 levels and this is where we believe it can reverse its trend and move upward. Weekly Candle Chart of Bank Nifty (futures) 3
STOCKS IN FOCUS HINDALCO INDUSTRIES LTD BSE Code:500440 NSE Symbol: HINDALCO P/E :10.90 ISIN Demat:INE038A01020 Div & Yield %:1.60 EPS :8.88 Book Value:171.96 Market Cap (Rs Cr.):18541.93 Face Value :1 Recommendation : BUY Last Close : 96.80 Targets : 104-110 Stop loss: 92 (closing basis) Hindalco is trading near its historic support. A long term trendline lends it support around 90-92 levels. Further on the daily charts, the stock has given a bullish engulfing pattern, which suggests bullish reversal from here. The stock is a buy for the targets of 104-110 and stop loss of 92 on closing basis. 4
STOCKS IN FOCUS BHARTI AIRTEL LTD BSE Code:532454 NSE Symbol: BHARTIARTL P/E :22.55 ISIN Demat:INE397D01024 Div & Yield %:0.33 EPS :12.75 Book Value:135.7 Market Cap (Rs Cr.):114965.22 Face Value :5 Recommendation : BUY Last Close : 287.70 Targets : 300-307 Stop loss: 278 (closing basis) Bharti Airtel is showing signs of reversal from here. The stock has given a bullish engulfing pattern on the daily charts. This suggests bullish reversal. Further, the stock is currently trading near its long term trendline support. The stock is a buy for the targets of 300-307 and stop loss of 278 on closing basis. 5
STOCKS IN FOCUS ITC LTD BSE Code:500875 NSE Symbol: ITC P/E :34.80 ISIN Demat:INE154A01025 Div & Yield %:1.36 EPS :9.39 Book Value:28.14 Market Cap (Rs Cr.):258230.82 Face Value :1 Recommendation : SELL BETWEEN 330-332 Last Close : 327.45 Targets : 315-298 Stop loss: 340.10 (closing basis) ITC made a double top around 355, which was its lifetime high. This a bearish sign. Further the stock showed divergence on the momentum indicator RSI. The recent price action broke the horizontal support line and this gives a bearish confirmation. The stock is sell for the targets of 315-298 and stop loss of 340.10 on closing basis. 6
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