Tuesday, 18 November 2014

FTSE Overview and Stock Pick of the Day


The London market moved higher on Monday as the prospect of a boost for the European economy helped make up for dismal economic news from Japan.The FTSE 100 Index gained 17.6 points to 6671.97 after European Central Bank president Mario Draghi hinted that quantitative easing could be on the cards to boost the lacklustre Eurozone economy.The FTSE initially fell during the course of the session on Monday, but found enough support just above the 6600 level to bounce Index is looking further strong for upcommings session and sustaining above 6600 level it can test 6900 level with support of 6400 level.

TOP GAINER
Name
Close Price
Change %
Vodafone Group
229.15
1.71
United utilities Gr
886.5
1.49
Pearson
1228
1.4
Brit Amer Tobacco
3707
1.33
Anglo American
1372
1.29

TOP LOSER

Name
Close Price
Change %
Standard Chartered
936.3

Hays
125.2

Enterprise Inns
0

Sainsbury


Astrazeneca




Stock pick of the Day : Severn Trent Plc



RECOMMENDATION BUY
TARGET 2095
The primary trend of Severn Trent Plc is bullish and it's consolidating near to resistance level crossing of the resistance can show northward journey. Stock is sustaining above the trend line with positive bias, crossing of the psychological level of 2000 it can show fresh buying. One can initiate long position in the stock above the level of 2000 with the stop loss of 1949 for the target of 2095.

CHART FORMATION:-
Stock has given the break out of falling trend line and forming bullish pattern breaching of the level 2000 it can show upside movement.
It's trading above the 50 DMA & 200 DMA with the positive bias.



INDICATORS:-
RSI is trading above the 50 level and showing consolidation, crossing of 60 level it can test the level of 70.
Macd & Signal line is about to give break out above Zero level line which is indicating strength in the stock.