NIFTY DAILY OUTLOOK SEPT 9, 2010

On Wednesday, market opened gap down on global clues and took
support near 5560. In the first-half of session nifty traded in a range
5575-5595, during second-half of session nifty manage to hit
resistance levels but could not sustain on higher levels and went
under heavy profit booking as expected. Volume for the day went
down nearly 25% from previous trading session.

For the day, the level of 5580 and 5560 may act as a major support
for the market and the level of 5625/5640 may act as a major hurdle.
Short / medium term traders are advisable to start booking profit in
long position. Short / medium term trader can start building short
position in nifty above 5600 level in parts with stop loss of three
consecutive close above 5680.

The short term trend will turn negative below the level of 5530.

Day trader can go long on nifty above 5615 with stop loss 5590 for
target 5640/5660 and can go short below 5580 with stop loss 5605
for target 5560/5545.

INDEX RANGE

NIFTY: 5607.85
Range: 5560-5640
Resistance: 5625-5640-5660
Support: 5580-5560-5530

BANK NIFTY: 11190
Range: 11050-11380
Resistance: 11265-11320-11380
Support: 11155-11100-11050

Short term: Up (5530)
Medium term: UP (5470)
Long term: Up (5180)

All Above Spot Levels

OM SHRI GANESHAYA NAMAH