Sunday, January 18, 2015

Weekly Review 19.01.2015

Dear All,

Last week to January 16, Sensex soared 664 points or 2.4 per cent to close at 28,122 while Nifty surged 229 points or 2.8 per cent to end at 8,514.

On Thursday, the Sensex gained 729 points to record its highest single-day gain since May 18, 2009, led by financials after the RBI surprised the markets by reducing the repo rate by 25 basis points to 7.75 per cent with immediate effect.

Foreign institutional investors were net buyers in Indian equities worth Rs 3,248 crore for the week, as per provisional stock exchange data.

Key events that shaped the week :-

Industrial production increased at a five-month high of 3.8 per cent in November, while Consumer Price Index (CPI)-based inflation rose to 5 per cent in December from 4.38 per cent in the previous month, primarily due to a rise in food prices.

On the other hand, the wholesale price index-based inflation inched up to 0.11 per cent in December, snapping a six-month easing trend as food costs jumped up year-on-year.

The trade deficit for the month of December decreased by 44 per cent at $9.43 billion hitting a ten month low mainly on account of falling imports due to slump in crude prices.

>>> Nifty Daily Chart <<<

>>> click the chart to see on full screen <<<

Above daily chart - suggest 8550 and 8630 as a key resistance.

>>> Nifty Hourly Chart <<<

>>> click the chart to see on full screen <<<

I think the above Nifty charts had a clear picture with explanations.

>>> Bank Nifty Daily Chart <<<

>>> click the chart to see on full screen <<<

A bearish Hanging man candle at the top of the triangle, RSI on the edge of break out. If price and RSI moves above - price may jump towards new high.

>>> Bank Nifty Hourly Chart <<<

>>> click the chart to see on full screen <<<

Above hourly chart - had a different picture. Possibly its an irregular ABC correction. If so, then 19320 or 19410 must be a key resistance for bull.

>>> Stock of the Week <<<

>>> Asian Paints <<<

>>> click the chart to see on full screen <<<

Asian paint almost completed 1-5 Upmove and We had a Grave stone doji -last friday. Caution advised it unable to cross above 860. We are on Short side.

>>> Performance till 16th Jan 2015 <<<

>>> click the image to see on full screen <<<

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