Market Overview And Technical Outlook

Markets opened on a positive note but were unable to sustain early morning gains as selling emerged in the latter half of the session which dragged down the nifty to close in red. On the sectoral front IT, Teck, Oil & Gas and PSU contributed to the fall whereas Auto was the only sector which ended with marginal gains. The advance decline ratio was in favour of declining counters (Advances = 561/ Declines=1133). 

Pattern Formation: On the Daily chart, I'm  observing that prices have tested the upward gap area of 5477 to 5526. Normally according to gap theory, gaps do act as support for prices and there is high probability of a bounce. 

Future Outlook: In view of the above pattern formation there is high probability that prices may find support at the Upward Gap area mentioned above. In coming trading session if Nifty trades above   5530 spot level then we may witness a bounce up to 5570 levels. On the flip side if prices breach 5470 level then we may witness a continuation of the down move. In such scenario nifty may test 5430 – 5400 levels. 

                                                        Since the trend remains down, rallies if any are likely to witness selling pressure. Traders are advised to adopt cautious approach in this market.


Data Alert From India –
 Automobiles Sales Data for March, by SIAM.

Data Alert From Overseas -
 French Industrial Production m/m at 12:15 pm
 Italian Industrial Production m/m at 1:30 pm
 US FOMC Meeting Minutes at 11:30 pm
 US Federal Budget Balance at 11:30 pm

Domestic Stock Specific News –
 ADB sees Indian economy growing at 6.0% in FY14, 6.5% in FY15
 SC asks Vedanta Aluminium, others to pay 50% Odisha entry tax demand
 Source says RBI tells Parliament panel no bank licence applicant yet
 Sun Pharma gets tentative US nod for generic of cancer drug Temodar
 ONGC arm Imperial Energy makes new oil find in Glukhovskoye field
 Cairn India discovers oil in new well at Barmer block in Rajasthan
 Adani Power to issue 478.6 mln shares to promoters on pref basis
 Lenders invoke 3.14 mln Kingfisher Air shrs pledged by UB Holdings
 India Yamaha Motor sets up R&D unit at Surajpur in Uttar Pradesh
 TCS in pact to buy France-based Alti for 5.3 bln rupees
 SIAM says likely lower import duty in India-EU FTA to hit local cos
 Official says Indian Overseas Bk scraps plan to sell 14 NPA accounts

International News -
 German Trade Balance at 17.1 bn vs 15.6 bn.
 French Trade Balance at -6.0 bn vs -5.7 bn.


 Open Interest of derivative segment increased to Rs 82418.40 Cr vs Rs 79559.14 Cr.
 FIIs net sellers in index futures to the amount of Rs 14.83 Cr and in index options net buyers to the amount of Rs 1048.88 Cr.
 Put-Call Ratio at 0.90 vs 0.87. (Bullish).


            
Future Levels for Bears
Well.......Today's Below.................5488.00 Nifty Future, will Melt More , and below that Level, NIFTY FUTURE, may try to hit, 5464.00 and than....5448.00 too in Today's Trading Session............