8/3/2019 PIVOTALS

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February4,2012:

Pivotals:RelianceIndustries(Rs837.7)

RILclimbed2.5percentinlinewithourexpectationthelastweek.ThestockcurrentlyfacessignificantresistanceinthezonebetweenRs845andRs850.Hence,tradersshouldtreadwithcautionaslongasthestocktradersbelowthisre

sistancezone.StrongbreakthroughofRs850isrequiredtoliftthestockhighertoRs880andthentoRs900intheforthcomingweeks.Importantmedium-termresistanceaboveRs900ispeggedatRs950.

ButaninabilitytosurpassRs850willpullthestockdowntoRs817andRs795.DecisivefallbelowRs760willmarthestock'scurrentshort-termuptrendandpullitdowntoRs730.Keymedium-termsupportforthestockisatRs700.

Infosys(Rs2,779.9)

Infosyshasbeenonanear-termuptrendsincemid-January.Itrose2percent,conclusivelybreachingits200-daymovingaveragelastweek.Traderswithashort

-termperspectivecanprolongholdingtheirlongpositionswithstop-lossatRs2,740.UpsidetargetsforthestockareRs2,812andRs2,864.Failuretomoveabovethefirsttargetwillbethecuefortakingtheprofitsoffthetable.

Ontheotherhand,declinebelowtheimmediatesupportatRs2,695candragthestockdowntoRs2,660andtoRs2,600.KeysupportsbelowRs2,600areatRs2,585andRs2,555.

Thestockcontinuestobeinamedium-termuptrend.Investorscanstayinvestedinthestockwithstop-lossatRs2,467.ConclusiverallyaboveRs2,900willreinforcebullishmomentumandliftthestocktoRs3,000inthemedium-term.

StateBankofIndia(Rs2,103.1)

Inthemidstofvolatility,SBIadvanced3percentinthepastweek.ThestockiscurrentlytestingkeyresistanceatRs2,100.Short-termtradersshouldtreadwithcautionintheensuingweek.OnlyastrongmoveaboveRs2,140willtakethestocknorthwardstoRs2,190,Rs2,220andtoRs2,270inthemedium-term.

AdownwardreversalfromthecurrentresistancecanpullthestockdowntoRs2,030andRs1,990.ConclusivefallbelowRs1,830willmitigatethestock'spresentshort-termuptrendanddragitdowntoRs1,765levels.KeysupportbelowRs1,765isatRs1,715.

TataSteel(Rs467.2)

Thestockwaschoppyinthepreviousweekbutmanagedtoadvancealmost2percent.ItachievedourfirsttargetofRs478andstartedtodecline.Thestock'sshort-termuptrendthatcommencedfromits52-weeklowofRs332,markedonJanuary2,islosingstrength.Further,thedailyvolumesaredecliningandthedailyrelativestrengthindexisdisplayingnegativedivergencesignallingapotentialtrendreversal.

ButonlyafallbelowRs405willsignifythatthestock'suptrendhasmitigated.ThestockcandeclinetoRs390ortoRs365intheweeksahead.ImmediatesupportsforthestockarepositionedatRs443andRs420.

Conversely,amoveaboveRs485willliftthestockhighertoRs505.Resistance

saboveRs504areatRs520andRs544.