Daily Wealth – 07-08-2012


Dear Investor

You are receiving Free Daily Update service called Daily Wealth. It will include technical updates on SPOT NIFTY, Stocks from NIFTY 50, USD/INR, GOLD, SILVER and CRUDE.

Calls given to Subscribers would not be part of this service.

Please understand, Intraday movement of Indices and Stocks change frequently and with that technical updates, too. I will post intraday updates through Yahoo Messenger. Hence, willing traders and readers can send request to Yahoo ID- dcshah76@yahoo.co.in to add their IDs .

Technical Updates for 07-08-2012

Buy Tata Steel with closing basis stop loss of 396 for target of 414, CMP 404.30.


As expected Nifty rallied and closed at 5282.55. It has closed above 5245 indicating willingness to go up. But, throughout the day Nifty remained in a range of 5277-5288. Hence, initiate long trade tomorrow only if Nifty trades firmly above 5288-5290. Seeing resistance at 5288 level, Nifty may choose to come down to find support around 5245. Investors carrying long positions should up their stop loss to 5245 on closing basis from 5165.


It seems, USD/INR will broadly remain in range of 57-55 with downside bias. Untill it breaches either side, I would stay away. Broadly, it seems, rupee will keep firming further.


Gold is up in international markets. Gold will shortly face resistance band of 1622-1630. I would wait till Gold clears hurdles.


In international market, GOLD is moving in a range of 1630-1570. Gold has been consolidating in this range since May, 2012. To me, it seems that Gold has formed base here and Gold can head for a new rally. But, Dollar index has remain firmed since last few months and may go up further in coming days. Under that scenario, Gold may prefer to remain in this range for longer period or may decline, too. Hence, I would wait for Gold to give me signal before I initiate trade.


SILVER is up today and if continues, will face resistance around 28.30-28.80. I will keenly watch Silver’s strength before building positions.


In international market, SILVER has remain in very broad range of $35-27 since September, 2011. It looks SILVER can initiate uptrend. But, I would wait for couple of days closings before I initiate trade. Those, having deep pockets and want to buy SILVER, should initiate trade with stop loss of $26.85 on closing basis. I would initiate long trade in SILVERM of September contract, once it trades firmly above 53400 with stop loss of 53220.


Crude is in uptrend. It faces resistance around 93 level.


Buy AIL at Market price for target of 395 and 403 with stop loss of 382

dcshah76: Sell TCS with Stoploss of 1238 at Market price for target of 1223

dcshah76: Buy SilverM Sep contract at market price with SL of 53230 for tgt of 53406, 53695

dcshah76: Buy BhartiAirtel at market price with Sl of 296 on closing basis for target of 311

dcshah76: Risky trade: buy heromoto at market price with sl of 1962 for tgt of 2000

dcshah76: Silver has given break out on upside, I would raise stop loss from 53230 to 53282 and would keep upside open

dcshah76: Exit from AIL, it is at 384, has not hit SL but pattern does not support now.

dcshah76: I would advise to carry TCS, BHarti and Heromoto open positions for tomorrow as respective trends of the stocks are in the motion

Except AIL, rest positions are open hence performance is not shown for today.


Dhaval Shah

Blog: https://investmentacademy.wordpress.com/

Disclaimer: Daily Wealth is a free daily investment newsletter published by Investment Academy. This publication does not provide individual, customized investment or trading advice. All information is based upon data whose accuracy is deemed reliable, but not guaranteed. Performance returns cited are derived from our best estimates, but hypothetical as we do not track actual prices of customer purchases and sales. Author might have open positions in the stocks and Indices recommended above.


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