2009 June 17 | Free Intraday Stock Tips

Archive for June 17th, 2009

Stock Tips for 17-June-2009

The market opened gap down yesterday and the Sensex slipped sharply by over 250 points at 14621 on weak global cues in early trade. The market slowly recovered thereafter and around mid afternoon turned positive on selected buying in index heavy stocks led by SBI. Market participants and investors alike were seen picking stocks after better than anticipated advance tax payments for the April – June quarter 2009. The Sensex, which dipped to a low of 14621 recovered to 15022 in afternoon trades yesterday after moving range bound amid choppy trade. The Sensex finally closed the session gaining 82 points at 14957. The Nifty closed at 4517 gaining 33 points making a low of 4405 and a high of 4537 intra day. The market breadth appeared fairly positive with 1642 stocks advancing and 1007 stocks declining. Readers are however, advised to trade with caution with strict stops for every trade.

Market is showing signs of indecisiveness and uncertainty,

how ever it too early say that the March rally is over. It probably

is waiting for budget announcement, so in the period till July 8

we may see range boundÂ and cautious trading. Today it has resistance

at 4550 and 4640,if Nifty closes over 4640 we may see 4700.Support

is at 4490 and 4440,closing below 4440 we may see 4300.

Many technical analysts were alarmed yesterday because the VIX closed at 30.81.

Why the concern?

Because over 30 is currently considered a reading that has been associated with past stock market drops.

One day does not make a trend, so more than one day would be required to confirm a trend change.

VIX WOES

Many technical analysts were alarmed yesterday because the VIX closed at 30.81.

Why the concern?

Because over 30 is currently considered a reading that has been associated with past stock market drops.

One day does not make a trend, so more than one day would be required to confirm a trend change.

At the same time, the S&P 500 dropped yesterday, but it still held its trend line. So while risk levels increased yesterday, a correction will need more market data for any kind of confirmation.