Sunday, August 23, 2009


Markets opened the week on a weak note and traded weak for the first half but saw a late recovery to close with week on week gains. Both Sensex and Nifty gained just over a percentage points over the week. All the major indices were marginally in red week over week. All sectors witnessed mixed action. Cement, banking and metals were the sectors, which saw selling pressure. Ranbaxy, HDFC, BHEL, NALCO and ABB were the top Nifty gainers while Cipla, Unitech, Reliance Infra, Tata Motors, ACC, Reliance Capital and Sterlite were the major losers.

The cues going into the next week are positive. US and European markets witnessed a rally on Friday and Asian markets are trading strong this morning. Nifty faces huge resistance in the zone of 4600-4620 in the immediate term. We expect Nifty to honor this resistance and retrace. Supports are identified at 4450 and further at 4360. A close above 4600 is crucial for this rally to sustain. It is expiry week and we may see the volatility increase. The global markets need to be watched closely since all asset classes are moving in tandem globally irrespective of broader fundamentals. For the time being, trade stock specific with adequate stoplosses.

LITL @ 408-410 Tgt 440, SL 400
ABAN @ 1155-1160 Tgt 1220, 1300 SL 1120
YESBANK @ 168-170 Tgt 182, 190 SL 164
IVRCLINFRA @ 333-336 Tgt 380 SL 325
VOLTAS @ CMP Tgt 160 SL 137

Sunday, August 16, 2009

Markets staged a strong bounce back after initial weakness and ended the week with good gains. The market breadth was positive and all mid-cap and sectoral indices were up more than 2% WoW. Technology, Pharma, Oil & Gas and Metals were sectors which were in lime light. Ranbaxy, Tata Motors, HCL Tech, Unitech, DLF and GAIL were the top nifty gainers while M&M, HUL, ACC and Ambuja Cements figured among the top losers.
The global markets are trading weak this morning and the sentiment going into the week is negative. We may see a strong down ward movement and a consolidation with a downward bias going forward. 4600 is a strong resistance and hence only a close above this level could turn things for good. 4400-4420 is a strong short term support zone. A move below this level could take the markets down sharply towards 4000. Trade stock specific with strict stoplosses.

GAIL @ 334-335 Tgt 360 SL 328
EKC @ 188-190 Tgt 212 SL 180
TATACHEM @ 250-252 Tgt 271, 292 SL 244

IDEA @ 78-79 Tgt 76, 72.5 SL 81
HINDUNILVR @ 260-262 Tgt 249, 242 SL 266
TATACOMM @ CMP Tgt 478, 460 SL 515
ASHOKLEY @ 37-37.20 Tgt 34.5, 32 SL 38
YESBANK @ 160-161 Tgt 151 SL 164

Sunday, August 9, 2009


Sensex and Nifty both lost by more than 3% WoW due to heavy selling pressure during the later half of the week. The fall was lead by Chinese markets, which were showing glimpse of collapse and the sentiment percolated to some of the other markets. However, positive non-farm payroll data from US pushed the markets higher on Friday and the sentiment going into the next week is positive.

The global cues are positive and we may see positivism at the opening. Weak monsoon on the fundamental front is a big worry and hence that may weigh high on Indian equities in the medium term. 4600 is a big resistance for nifty in the immediate term and it finds support at 4420. One has to take stock specific exposure and trade with strict stoplosses.

LICHSGFIN @ CMP Tgt 660 SL 610
HINDZINC @ 735-740 Tgt 765, 800 SL 720
PATNI @ 342-345 Tgt 362 SL 338
LITL @ 400-402 Tgt 422, 441 SL 390

Sunday, August 2, 2009


Sensex and Nifty gained 1.9% and 1.5% respectively lead by technology and mid-cap stocks. The market breadth was positive with average gain of close to 3% on F&O segment. The rally was driven by better than expected corporate earnings, strong global markets and rallies in commodities and other asset classes.

The sentiment is clearly bullish but we may see stock specific directional movement going forward. It is a buy on dips markets with a day close stop loss on Nifty below 4400. Support and Resistances on Nifty exist at 4540 and 4800. Nifty may take support below 4600 and make an attempt towards 4800 in the coming week. The situation on the fundamental front does not look too rosy as it is made out to be but as long as the markets are trending, let us be with the markets. It is a traders’ market and hence positions should be initiated with trading perspective with strict target objectives and stop losses.

BANKBARODA @ 430-432 Tgt 450 SL 425
PUNJLLOYD @ 240-242 Tgt 275 SL 236
CANBK @ 282-284 Tgt 320 SL 275
FINANTECH @ 1400-1410 Tgt 1600 SL 1370
APIL @ 520-525 Tgt 590 SL 510