ICICI Securities: Daily Calls- Oct 18th

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Sensex: We said, "The market is extremely volatile at current levels ... already wiped off 50% of the
gains ... 20350-400 may be considered crucial ...” The Sensex broke the crucial level and sold off
further to end nearly 2% lower. The IT and Auto Index shaved off 3% and 2% each. The A/D ratio got
smashed further to 1:5.
The action formed an even bigger bear candle, which completely wiped off all initial gains of the
week. The week saw over 1500 points of up/down volatility on the Sensex. The action will turn volatile
as the index moves closer to 2008 highs. The bias is clearly negative but watch out for arresting
tendency due to short-term oversold condition.


Nifty Futures (NIFTY)
CMP : 6092.00
Comment : Future premium up from 20
points to 29.
Intra-week rally retraced
completely.
Reverse if fails to reach /
sustain above 6125.
Action : Buy above 6050
Targets : 6083 / 6125 / higher
Stop-loss : 6048

ORCHID CHEMICAL (ORCCHE)

CMP 311.75
Comment:
Bullish engulfing candlestick
pattern in the daily chart and
price rise with volume
Action: Buy above 313
Targets: 321/324.50/Higher
Stop-loss: 308.90

NTPC (NTPC)
CMP : 205.25
Comment:
Taking support at 200 day
EMA and RSI reversing
from oversold region
Action : Buy above 206
Targets: 210/211.50/Higher
Stop-loss 203.80

CROMPTON GREAVES (CROGRE)
CMP : 317.90
Comment:
Bearish Engulfing pattern
and 14 period RSI in sell
mode
Action : Sell below 317
Targets: 310/307.50/Lower
Stop-loss 320.60


DABUR IND (DABIND)
CMP : 103.20
Comment:
Lower top in the daily
chart and 14 period RSI in
sell mode
Action : Sell below 103
Targets: 100/98.75/ Lower
Stop-loss 104.40