NIFTY OUTLOOK

Some weakness seen in markets but 5350 did not break... this may happen in a day or so.

Below 5350, we have gap support at 5300 and then at 5200.

Time analysis: rally from 5200 took 7 days. Since the top at 5450, markets have been rangebound for 4-5 days. For evidence of trend reversal, we need to see faster retracement and break of 5200. We have less than a week's time for this to happen.

OUT PERFORMERS FOR 21/07/2010

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MID-CAP IT, MID-CAP BANKS, AND STEEL.

UNDER PERFORMERS FOR 21/07/2010

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EXPORT, SHIPPING, FMCG, AND CAPITAL GOODS.

LAST CLOSE@5368 (-18 POINTS)

LAST HIGH@5416 LOW@5355

20DMA@5321

50DMA@5178

200DMA@5101

EXPECTED RANGE FOR 21/07/2010.

5288-5400

For tomorrow, I would suggest buying only above 5388 with a stop loss of 5340. on higher side, it will find resistance at 5420 and 5450.

One can consider going short if Nifty future trades below 5345 with stop loss of 5375. At lower levels, it will find support at 5300 - 5270.

From last seven trading sessions nifty has taken support around 5360-5362 levels numerous times so break sown from this level could take nifty to 5280 levels.