Markets are in consolidation mode and are not expected to show any major move on the either side. Nifty shall find strong resistance near 6200-6240 and support will come in at 5900. Nifty will trade in the overall trading band of 5900-6200 during the coming week as results keep coming in. Markets would trade stock specific and hence it is recommended to select stocks that are under performing and be on the buy side.
BUY
ORCHIDCHEM @ 318-320 Tgt 340 SL 314
ADANIENT @ 678-680 Tgt 724, 740 SL 660
AUROPHARMA @ 1164-1166 Tgt 1220 SL 1154
Sunday, October 24, 2010
Sunday, October 17, 2010
18-Oct-2010
2nd quarter numbers started coming in and markets are witnessing profit taking on solid corporate performance. Nifty finds strong resistance above 6200 in the near term while immediate support comes at 5930. The correction may extend even towards 5780 in an adverse market. Markets would still trade stock specific and one must look at buying specific stocks on this correction. Laggards may get accumulated and may start moving up in the coming weeks.
BUY
ORCHIDCHEM @ 298-300 Tgt 340 SL 290
ADANIENT @ 678-680 TGT 724, 740 SL 660
SELL
RCOM @ 180-182 TGT 168 SL 185
INFOSYSTCH @ 3070-3080 TGT 2900 SL 3120
BUY
ORCHIDCHEM @ 298-300 Tgt 340 SL 290
ADANIENT @ 678-680 TGT 724, 740 SL 660
SELL
RCOM @ 180-182 TGT 168 SL 185
INFOSYSTCH @ 3070-3080 TGT 2900 SL 3120
Sunday, October 10, 2010
11-Oct-2010
As expected, Nifty failed to hold above 6200 and corrected despite strong global markets. The overall direction of the markets would depend more on the 2nd quarter results and guidance from the corporate. Overall market sentiment shall remain positive and hence one should trade stock specific. Our markets may turn volatile due to results season and uncertain global clues. One must remain light on the positions and trade stock specific.
BUY
BANKBARODA @ 924-926 TGT 982 SL 916
CIPLA @ 335-336 TGT 361 SL 330
HINDALCO @ 212-214 TGT 222, 239 SL 206
RELIANCE @ 1055-1060 TGT 1200 SL 1030
AUROPHARMA @ 1100-1110 TGT 1210 SL 1085
BUY
BANKBARODA @ 924-926 TGT 982 SL 916
CIPLA @ 335-336 TGT 361 SL 330
HINDALCO @ 212-214 TGT 222, 239 SL 206
RELIANCE @ 1055-1060 TGT 1200 SL 1030
AUROPHARMA @ 1100-1110 TGT 1210 SL 1085
Sunday, October 3, 2010
4-Oct-2010
Due to unavoidable circumstances we couldnt deliver the weekly news letter for the past 7 weeks. We regret the inconvenience.
Outlook for the Week:
As predicted in July, both Sensex and Nifty moved above the crucial psychological resistance levels of 20000 and 6000 respectively. Nifty finds strong resistance above 6200 and hence one should look at booking profits at this juncture. Only a close above 6200 would prompt Nifty to extend the rally towards 6500. The global clues are strong going into the next week and we may expect a strong opening. Short term Nifty traders may sell nifty above 6200 with a day close stoploss above 6240 for an initial target objective of 5930. Markets would still trade stock specific with select stocks getting accumulated during the correction and witness sharp rallies.
BUY
IDBI @ 158-160 TGT 200 SL 150
SOBHA @ 390-392 TGT 442 SL 376
HINDUNILVR @ 308-310 TGT 322, 338 SL 302
OFSS @ 2290-2300 TGT 2480 SL 2250
SELL
RELIANCE @ 1035-1040 TGT 960 SL 1060
IDEA @ 75 TGT 70 SL 76
Outlook for the Week:
As predicted in July, both Sensex and Nifty moved above the crucial psychological resistance levels of 20000 and 6000 respectively. Nifty finds strong resistance above 6200 and hence one should look at booking profits at this juncture. Only a close above 6200 would prompt Nifty to extend the rally towards 6500. The global clues are strong going into the next week and we may expect a strong opening. Short term Nifty traders may sell nifty above 6200 with a day close stoploss above 6240 for an initial target objective of 5930. Markets would still trade stock specific with select stocks getting accumulated during the correction and witness sharp rallies.
BUY
IDBI @ 158-160 TGT 200 SL 150
SOBHA @ 390-392 TGT 442 SL 376
HINDUNILVR @ 308-310 TGT 322, 338 SL 302
OFSS @ 2290-2300 TGT 2480 SL 2250
SELL
RELIANCE @ 1035-1040 TGT 960 SL 1060
IDEA @ 75 TGT 70 SL 76
Sunday, August 8, 2010
09-Aug-2010
Markets rallied once again after taking break during the week before. Both Sensex and Nifty went up close to 1.5% week on week. Shipping, Metals, FMCG, Energy and Auto stocks were among the gainers.
The global economic data was not so heartening and hence we may see some correction in asset markets across the globe. Markets back home are likely to remain firm despite weak global cues and hence every correction should be treated as a buying opportunity. The risk reward over medium term is highly in favour of buyers. We may witness huge rallies in specific stocks over the coming 1-2 years and hence one should pick the right stories and play long. 5340 Should be the stoploss in Nifty for a target objective of 5800 over the coming 4-6 months.
BUY
TATACHEM @ 352-354 TGT 392 SL 340
PANTALOONR @ 464-466 TGT 500 SL 454
MUNDRAPORT @ 770-772 TGT 820 SL 755
APIL @ 722-724 TGT 760 SL 715
The global economic data was not so heartening and hence we may see some correction in asset markets across the globe. Markets back home are likely to remain firm despite weak global cues and hence every correction should be treated as a buying opportunity. The risk reward over medium term is highly in favour of buyers. We may witness huge rallies in specific stocks over the coming 1-2 years and hence one should pick the right stories and play long. 5340 Should be the stoploss in Nifty for a target objective of 5800 over the coming 4-6 months.
BUY
TATACHEM @ 352-354 TGT 392 SL 340
PANTALOONR @ 464-466 TGT 500 SL 454
MUNDRAPORT @ 770-772 TGT 820 SL 755
APIL @ 722-724 TGT 760 SL 715
Sunday, August 1, 2010
02-Aug-10
The cues from global markets are positive this morning and our markets back home are looking promising going ahead. Nifty kissed the crucial short term support level of 5350 and bounced back. 5350-5340 remains a crucial short term support in the near term while resistances are placed near 5450-5460. Hence markets may find resistance at higher levels and hover around 5400. 5340 is the support which needs to be watched. If markets are able to breach this level we may witness a correction towards 5260 immediately. Short positions may be contemplated in Nifty at the breach of 5340 with a strict stoploss of 5360. Buyers may hold long positions on Nifty with a stoploss of 5340 for a target objective of 5800. Wait for the markets to consolidate before committing. Today’s closing will be crucial for the markets and hence wait for a day or two.
Buying may be contemplated in Tata Chemicals, Pantaloon Retail, Voltas, CESC, United Phosphorous and ITC.
Buying may be contemplated in Tata Chemicals, Pantaloon Retail, Voltas, CESC, United Phosphorous and ITC.
Sunday, July 25, 2010
26-July-2010
Markets traded with mixed to positive bias for the last week amid mixed set of fundamental data flow and positive corporate results. The action remained out of the index and select midcaps rallied as market breadth remained flat. Metals, Banking, Telecom and Capital Goods did well while IT and Financials saw some selling. It was a week which saw stock specific performances from all sectors. The top gainers among Nifty stocks included Ambuja Cement, GAIL, Tata Steel, Idea, Sterlite, Bharti and Hindalco while Dr Reddy, ABB and BPCL were among the top losers.
The cues from global markets are positive this morning and our markets back home are looking promising going ahead. Last couple of weeks witnessed a smart consolidation in the major indices followed by a strong breakout on Thursday keeping the chances alive for a strong rally going ahead. 17800 on Sensex and 5340 on Nifty are crucial support levels to keep the positive tone intact for initial target objectives of 20000 and 6000 respectively. Maintain stoploss below the said levels and continue to hold long.
The cues from global markets are positive this morning and our markets back home are looking promising going ahead. Last couple of weeks witnessed a smart consolidation in the major indices followed by a strong breakout on Thursday keeping the chances alive for a strong rally going ahead. 17800 on Sensex and 5340 on Nifty are crucial support levels to keep the positive tone intact for initial target objectives of 20000 and 6000 respectively. Maintain stoploss below the said levels and continue to hold long.
Sunday, July 18, 2010
19-Jul-2010
Markets traded with positive bias for the last week with corporate numbers let the markets alive despite weakness in global markets. Infosys came with encouraging guidance for the year though profits for the quarter stayed below expectations. TCS results enthused the markets and the stock responded sharply. Banking sector came out of the range bound trading and many stocks in the sector broke out to record their respective yearly/all time highs. Oil and Gas stocks corrected sharply after moving up substantially during the past many weeks. Realty stocks staged a strong bounce back as metals, technology and Pharma stocks were trading mixed. Unitech, Tata Motors, TCS, DLF, Axis Bank and IDFC were among the major gainers while BPCL, GAIL, M&M, RCom and Infosys were among the major Nifty losers.
The global cues are weak going into the next week and as indications come in we might see a gap down opening. Markets look set for a strong rally even from these levels despite weakness elsewhere. Markets are holding near the crucial resistance of 5400 which shows the resilience. On the upside the target on Nifty may extend to 6000 during the coming 6 months with 5240 as support. A breach below 5200 may drift the markets down towards 4800. It is going to be stock pickers’ markets going further and hence one must look for buying opportunities on corrections in specific stocks.
The global cues are weak going into the next week and as indications come in we might see a gap down opening. Markets look set for a strong rally even from these levels despite weakness elsewhere. Markets are holding near the crucial resistance of 5400 which shows the resilience. On the upside the target on Nifty may extend to 6000 during the coming 6 months with 5240 as support. A breach below 5200 may drift the markets down towards 4800. It is going to be stock pickers’ markets going further and hence one must look for buying opportunities on corrections in specific stocks.
Sunday, July 11, 2010
12-Jul-2010
Both Sensex and Nifty inched up 2% over the week to close near the highs once again. Telecom stocks took a giant leap after months of underperformance and figured among the major gainers for the week. It was a secular run and all sectors participated in the rally amid positive market breadth. In F&O segment 4 stocks gained for every one stock lost and the rises came despite weakness in the global markets. That shows the strength Indian markets are depicting. Bharti, Idea, M&M, BPCL, DLF and Infosys were the top gainers while ACC, Reliance Infra, JP Associates and NTPC figured among the losers.
The first quarter results are round the corner and start pouring in from here on. All indications suggest a strong quarter and our markets will react positively to the numbers. IMF revised the GDP growth forecast for India and this gave a strong boost to the markets. The long term fundamentals are extremely strong for India and therefore sharp corrections should be utilized to buy the markets. In the immediate term Nifty finds resistance at 5400 and if it manages to close above this level, we may see strong rallies ahead. We expect markets to find resistance at 5400 and correct below 5000. A fall below 5240 confirms the corrective tone. Trade Stock specific with strict stoplosses and target objectives.
The first quarter results are round the corner and start pouring in from here on. All indications suggest a strong quarter and our markets will react positively to the numbers. IMF revised the GDP growth forecast for India and this gave a strong boost to the markets. The long term fundamentals are extremely strong for India and therefore sharp corrections should be utilized to buy the markets. In the immediate term Nifty finds resistance at 5400 and if it manages to close above this level, we may see strong rallies ahead. We expect markets to find resistance at 5400 and correct below 5000. A fall below 5240 confirms the corrective tone. Trade Stock specific with strict stoplosses and target objectives.
Sunday, July 4, 2010
05-Jun-10 - Markets ripe for a sharp decline
As predicted midcap and small cap stocks were in lime light while both Sensex and Nifty lost less than a percentage week on week. Markets were trading range bound with weak bias amid mixed global clues. PSU Oil Refining and Marketing companies were the major gainers during the week after the announcement of deregulation of fuel prices. BPCL, IDFC, Reliance Power and ONGC were the top Nifty gainers while Cairn, GAIL, Jindal Steel, Sterlite, Hindalco and Tata Steel were among the major losers.
The global markets are mixed and we can expect a flat opening in our markets. The global markets don’t look too rosy as the economic data emanating from US and Euro Zone doesn’t give any hopes of a sharp revival. The Euro Zone financial crisis shall escalate and percolate to other Euro Nations with high public debt to GDP ratio and ultimately clouding the sentiments over the structure of the currency and financial markets. The overall situation is that of uncertainty and in all probability India will emerge as a stronger nation.
5200 on Nifty is a strong near term support and breach of this level shall pave the way for a steep fall towards 5000 in the coming couple of weeks. A strong correction is long overdue and the quarterly results may well be the trigger. On the upside 5400 is a major resistance. Markets will find resistance near 5400 and may correct below 5000 with the possibilities of the fall being extended to 4600 remaining open.
Exit all long positions and traders are recommended to remain short on Nifty at every rise with an overall stoploss of 5400.
The global markets are mixed and we can expect a flat opening in our markets. The global markets don’t look too rosy as the economic data emanating from US and Euro Zone doesn’t give any hopes of a sharp revival. The Euro Zone financial crisis shall escalate and percolate to other Euro Nations with high public debt to GDP ratio and ultimately clouding the sentiments over the structure of the currency and financial markets. The overall situation is that of uncertainty and in all probability India will emerge as a stronger nation.
5200 on Nifty is a strong near term support and breach of this level shall pave the way for a steep fall towards 5000 in the coming couple of weeks. A strong correction is long overdue and the quarterly results may well be the trigger. On the upside 5400 is a major resistance. Markets will find resistance near 5400 and may correct below 5000 with the possibilities of the fall being extended to 4600 remaining open.
Exit all long positions and traders are recommended to remain short on Nifty at every rise with an overall stoploss of 5400.
Sunday, June 27, 2010
28-Jun-2010
Markets inched up sharply on the first trading day and corrected during the entire week to manage a close near the last week’s levels. Both Sensex and Nifty closed flat amid range bound trading. Mid cap stocks were active entire week and laggards were trying to play catch up with the markets. All the midcap and small cap indices closed the week with gains. Oil refiners and marketing companies got the deregulation boost from the govt and they staged a strong rally on Friday. Technology stocks corrected fair bit during the week while FMCG stocks were among major gainers.
Markets look undecided as to the direction and hence trade range bound for the coming week. 5200-5400 should be the band in Nifty and it requires breach of either of these levels to take a direction. The action will remain in midcap and small cap stocks as indicated by the market breadth previous week while indices consolidate in a narrow range. The laggards shall take charge here and play catch up. Global markets look for direction too and hence sluggish trading activity is expected across all asset classes. Stay stock specific with proper target objectives and adequate stoplosses.
BUY
BHARATFORG @ 284-286 TGT 304, 320 SL 278
TV-18 @ 90-91 TGT 100 SL 88
RELCAPITAL @ 758-760 TGT 840 SL 736
Markets look undecided as to the direction and hence trade range bound for the coming week. 5200-5400 should be the band in Nifty and it requires breach of either of these levels to take a direction. The action will remain in midcap and small cap stocks as indicated by the market breadth previous week while indices consolidate in a narrow range. The laggards shall take charge here and play catch up. Global markets look for direction too and hence sluggish trading activity is expected across all asset classes. Stay stock specific with proper target objectives and adequate stoplosses.
BUY
BHARATFORG @ 284-286 TGT 304, 320 SL 278
TV-18 @ 90-91 TGT 100 SL 88
RELCAPITAL @ 758-760 TGT 840 SL 736
Sunday, June 20, 2010
21-June-2010
Markets continue from where they left and extended the gains. Both Sensex and Nifty rallied closed to 3% over previous week. Market breadth was positive and markets traded with upward bias throughout the week. From a low of 5120 Nifty went on to touch one and a half month high breaching 5300 before settling down below 5300. Metals, Infrastructure, Technology, Telecom, Capital Goods and Power were the sectors which gained ground. Reliance ADA Group stocks need a special mention as all of them rallied after truce between Ambani brothers. Reliance Capital (7.75%), DLF (7.72%), L&T (7.24%), RCom (7.01%), Sterlite (6.78%), Reliance Power (6.66%) and Infosys (5.91%) were the major Nifty gainers. BPCL (3.57%), Grasim (3.30%), Bharti (3.13%) and Axis Bank (2.75%) were the major losers.
Global markets are trading positive this morning and we might see our markets open with small upside gap. The immediate resistance for Nifty exists near 5300 and a strong resistance awaits at 5400. It finds strong immediate term support at 5200. Only a breach of this level would negate the short term bullish momentum. Markets are likely to find resistance near 5400 and correct. The sovereign debt crisis is threatening to percolate to other Euro nations and this is going to be a major headwind for the global economic growth in the coming few quarters. There is a major risk of markets going into tailspin if the nations with high public debt to GDP ratios fail to garner much support and able to borrow with reasonable difference to benchmark rates. The recent demand for Spanish Bonds issue should be viewed as a short term reprieve. Hence in the medium term, the upside is capped near 5400 with the possibilities of Nifty attaining 4500 remaining open if the global issues escalate.
OPEN POSITIONS
UNIPHOS Bought @ 180 Tgt 200 SL 178
NAGARCONST Bought @ 176 Tgt 202, 220 SL 176
LITL Bought @ 60 Tgt 72 SL 64
YESBANK Bought @ 281 Tgt 304 SL 274
BUY
FEDERALBNK @ 324 Tgt 360 SL 316
Exited
MPHASIS SL Trig @ 590
HINDZINC SL Trig @ 990
Global markets are trading positive this morning and we might see our markets open with small upside gap. The immediate resistance for Nifty exists near 5300 and a strong resistance awaits at 5400. It finds strong immediate term support at 5200. Only a breach of this level would negate the short term bullish momentum. Markets are likely to find resistance near 5400 and correct. The sovereign debt crisis is threatening to percolate to other Euro nations and this is going to be a major headwind for the global economic growth in the coming few quarters. There is a major risk of markets going into tailspin if the nations with high public debt to GDP ratios fail to garner much support and able to borrow with reasonable difference to benchmark rates. The recent demand for Spanish Bonds issue should be viewed as a short term reprieve. Hence in the medium term, the upside is capped near 5400 with the possibilities of Nifty attaining 4500 remaining open if the global issues escalate.
OPEN POSITIONS
UNIPHOS Bought @ 180 Tgt 200 SL 178
NAGARCONST Bought @ 176 Tgt 202, 220 SL 176
LITL Bought @ 60 Tgt 72 SL 64
YESBANK Bought @ 281 Tgt 304 SL 274
BUY
FEDERALBNK @ 324 Tgt 360 SL 316
Exited
MPHASIS SL Trig @ 590
HINDZINC SL Trig @ 990
Sunday, June 13, 2010
14-June-2010
Markets moved up sharply during the latter half of the week after witnessing sharp fall for the initial half. Both Sensex and Nifty closed down by a meager loss of 0.31% week on week. The market breadth was negative with stock specific performances. Oil & Gas, Technology and Metals were particularly weak while Automobile and Cement stocks gained strength. M&M, Cipla, HDFC Bank and Siemens were among the top gainers while DLF, BPCL, Hindalco, HCL Tech and Unitech were the top Nifty losers.
Global markets are trading positive this Monday morning and we might see our markets open with small upside gap. The immediate resistance for Nifty exists at 5200. Nifty finds strong immediate term support near 5060 and would attempt to reach 5200. 5200-5220 band would act as a major resistance zone. If Nifty is able to breach this resistance, we may see it attaining 5400 in short term. The sovereign debt crisis is threatening to percolate to other Euro nations and this is going to be a major headwind for the global economic growth in the coming few quarters. There is a major risk of markets going into tailspin if the nations with high public debt to GDP ratios fail to garner much support and able to borrow with reasonable difference to benchmark rates. The recent demand for Spanish Bonds issue should be viewed as a short term reprieve. Hence in the medium term, the upside is capped near 5400 with the possibilities of Nifty attaining 4500 remaining open if the global issues escalate.
OPEN POSITIONS
UNIPHOS Bought @ 180 ON 8-JUN TGT 200 SL 175*
NAGARCONST Bought @ 176 ON 8-JUN TGT 202, 220 SL 176*
LITL Bought @ 60 ON 9-JUN TGT 72 SL 60*
MPHASIS Sold @ 570 ON 7-JUN TGT 520* SL 590
HINDZINC Sold @ 960 ON 7-JUN TGT 920* SL 990
FRESH POSITIONS
YESBANK Buy @ 280-282 TGT 304 SL 274
* Revised.
Global markets are trading positive this Monday morning and we might see our markets open with small upside gap. The immediate resistance for Nifty exists at 5200. Nifty finds strong immediate term support near 5060 and would attempt to reach 5200. 5200-5220 band would act as a major resistance zone. If Nifty is able to breach this resistance, we may see it attaining 5400 in short term. The sovereign debt crisis is threatening to percolate to other Euro nations and this is going to be a major headwind for the global economic growth in the coming few quarters. There is a major risk of markets going into tailspin if the nations with high public debt to GDP ratios fail to garner much support and able to borrow with reasonable difference to benchmark rates. The recent demand for Spanish Bonds issue should be viewed as a short term reprieve. Hence in the medium term, the upside is capped near 5400 with the possibilities of Nifty attaining 4500 remaining open if the global issues escalate.
OPEN POSITIONS
UNIPHOS Bought @ 180 ON 8-JUN TGT 200 SL 175*
NAGARCONST Bought @ 176 ON 8-JUN TGT 202, 220 SL 176*
LITL Bought @ 60 ON 9-JUN TGT 72 SL 60*
MPHASIS Sold @ 570 ON 7-JUN TGT 520* SL 590
HINDZINC Sold @ 960 ON 7-JUN TGT 920* SL 990
FRESH POSITIONS
YESBANK Buy @ 280-282 TGT 304 SL 274
* Revised.
Sunday, June 6, 2010
Both Sensex and Nifty moved up close to one and a half percent amid stable to weak global markets. Markets recovered sharply during the last two weeks rising strongly from the low witnessed on 25th of last month. Sensex broke 17000 once again and managed a decent close for the week. Small and Mid cap stocks fared better with CNX midcap index inching up by more than 4% week on week. RCom (14.35%), Idea (11.45%), Maruti (8.56%), M&M (7.19%), HUL (6.49%), Bharti (5.98%), IDFC (5.69%), ONGC (5.09%), Reliance Infra (5.06%), Reliance Capital (4.97%), Sun Pharma (4.48%) were the top Nifty gainers while Suzlon (8.60%), Sterlite (4.88%), Grasim (4.07%), Jindal Steel (3.80%), JP Associates (3.66%) and Unitech (3.06%) were among the top losers.
US markets saw sharp decline on Friday with fears at Euro Zone aggravating with each passing day. EUROUSD corrected sharply as the fears of sovereign defaults refused to recede. The fears saw asset classes across the board tumble as safer currencies Dollar and Gold managed strong gains. Our markets will try to test the support of 4800 before any further move. We may see our markets open with a sharp gap down and try to test the immediate support of 4960. Strong support awaits the markets at 4760-4800. Much would depend on how the global markets fare. Wait for better opportunities to buy strong counters.
BUY
UNIPHOS @ 178-180 Tgt 200 SL 172
NAGARCONST @ 176 Tgt 202, 220 SL 170
LITL @ 59-60 Tgt 72 SL 57
SELL
EDUCOMP @ Mkt Tgt 480 SL 540
TECHM @ Mkt Tgt 610 SL 720
MPHASIS @ 570-575 Tgt 520 SL 590
HINDZINC @ 950-960 Tgt 820 SL 990
US markets saw sharp decline on Friday with fears at Euro Zone aggravating with each passing day. EUROUSD corrected sharply as the fears of sovereign defaults refused to recede. The fears saw asset classes across the board tumble as safer currencies Dollar and Gold managed strong gains. Our markets will try to test the support of 4800 before any further move. We may see our markets open with a sharp gap down and try to test the immediate support of 4960. Strong support awaits the markets at 4760-4800. Much would depend on how the global markets fare. Wait for better opportunities to buy strong counters.
BUY
UNIPHOS @ 178-180 Tgt 200 SL 172
NAGARCONST @ 176 Tgt 202, 220 SL 170
LITL @ 59-60 Tgt 72 SL 57
SELL
EDUCOMP @ Mkt Tgt 480 SL 540
TECHM @ Mkt Tgt 610 SL 720
MPHASIS @ 570-575 Tgt 520 SL 590
HINDZINC @ 950-960 Tgt 820 SL 990
Sunday, May 30, 2010
31-May-2010
Markets across the globe recovered sharply after the steep fall of the preceding week. Sensex and Nifty rose 2.54% and 2.75% respectively while CNX Midcap index moved up by over 4%. The market breadth remained positive during the week. After creating a low of 4786, Nifty rallied sharply for the last 3 days of the week to close well above 5000. Reliance Power, RCom, JP Associates, Reliance Infra, Sterlite, Unitech, Sun Pharma, ABB and Tata Motors were the top Nifty gainers all gained over 5% during the week. Grasim, ACC, Idea and Tata Steel were the top losers in Nifty.
Markets look evenly poised as we entered the fresh series. The global markets look stable after a reasonable correction. Our markets should be biased upwards as broader fundamentals favor buying interest. The recent low near 4800 on Nifty remains a strong support in the short term. On the upside immediate resistance is placed at 5200. Markets may consolidate in the band of 5000-5200 before taking any direction. Infrastructure stocks were beaten down pretty badly during the past few months and they may well turn out to be the outperformers in the coming months. Trade stock specific with strict stoplosses.
BUY
PFC @ 286-288 Tgt 300 SL 284
DIVISLAB @ 718-720 Tgt 760 SL 710
LUPIN @ 1800 Tgt 1880 SL 1785
SELL
NTPC @ 201-202 Tgt 190 SL 204
MCDOWELL-N @ 1220-1230 Tgt 1000 SL 1250
MPHASIS @ 600-605 Tgt 480 SL 620
Markets look evenly poised as we entered the fresh series. The global markets look stable after a reasonable correction. Our markets should be biased upwards as broader fundamentals favor buying interest. The recent low near 4800 on Nifty remains a strong support in the short term. On the upside immediate resistance is placed at 5200. Markets may consolidate in the band of 5000-5200 before taking any direction. Infrastructure stocks were beaten down pretty badly during the past few months and they may well turn out to be the outperformers in the coming months. Trade stock specific with strict stoplosses.
BUY
PFC @ 286-288 Tgt 300 SL 284
DIVISLAB @ 718-720 Tgt 760 SL 710
LUPIN @ 1800 Tgt 1880 SL 1785
SELL
NTPC @ 201-202 Tgt 190 SL 204
MCDOWELL-N @ 1220-1230 Tgt 1000 SL 1250
MPHASIS @ 600-605 Tgt 480 SL 620
Sunday, May 23, 2010
24-May-2010
Markets corrected sharply during the week along with the weak global markets and amid negative news flow coming from the Eurozone. Both Sensex and Nifty lost over 3% week over week and all other supporting indices fell anywhere between 3-5%. The market breadth was extremely negative with only 24 stocks among 190 stocks traded in the F&O segment ending the week with gains. ABB saved the day for Nifty with over 23% gain after the announcement of the parent increasing the stake came as a surprise. GAIL, L&T, ONGC and BPCL were among other Nifty gainers. The losers were aplenty with Tata Motors leading the pack with over 13% loss over the week. Suzlon lost over 10% followed by DLF (9.9%), Unitech (9.74%), HCL Tech (9.36%), JP Associates (9.26%), Idea (9.11%), Ranbaxy (8.93%), Sterlite (8.51%), ICICI Bank (8.37%), IDFC (8.29%), Rcom (7.72%) and Hindalco (7.19%).
Markets are recovering from the last week’s massacre but the sustainability remains in question. Markets may see some recovery in the near term but the lingering concerns over the fate of global economy will keep the markets subdued in the short to medium term. Our markets may see stocks specific performances and it might take some time for the markets to really start moving up and catch a sustainable trend. Till then the overall direction would be dictated by what’s happening globally. Trade specific stocks with strict stoplosses and profit objectives.
BUY
ITC @ 265-266 Tgt 282 SL 260
LUPIN @ 1800 Tgt 1880 SL 1785
SELL
NTPC @ 200-201 Tgt 190 SL 203
OFSS @ 2080-2090 Tgt 2000, 1900 SL 2120
MCDOWELL-N @ 1200 Tgt 1000 SL 1240
Markets are recovering from the last week’s massacre but the sustainability remains in question. Markets may see some recovery in the near term but the lingering concerns over the fate of global economy will keep the markets subdued in the short to medium term. Our markets may see stocks specific performances and it might take some time for the markets to really start moving up and catch a sustainable trend. Till then the overall direction would be dictated by what’s happening globally. Trade specific stocks with strict stoplosses and profit objectives.
BUY
ITC @ 265-266 Tgt 282 SL 260
LUPIN @ 1800 Tgt 1880 SL 1785
SELL
NTPC @ 200-201 Tgt 190 SL 203
OFSS @ 2080-2090 Tgt 2000, 1900 SL 2120
MCDOWELL-N @ 1200 Tgt 1000 SL 1240
Sunday, May 16, 2010
17-May-2010
Markets recovered smartly last week after a steep fall witnessed during the week before, but gave away most of the gains on the last trading day. At the end of the week both Sensex and Nifty closed with around 1.5% gains week over week. All major and indices were positive and mid caps did well. It was a market with stock specific performances with positive momentum from Automobiles, Technology, Pvt Banking, Financials and Realty space. Axis Bank (8.78%), Dr Reddy (7.17%), Tata Motors (7.01%), M&M (6.83%), HDFC Bank (5.61%), HCL Tech (5.15%) and DLF (4.88%) were the top Nifty gainers while Idea (9.94%), Cipla (8.45%), Bharti (7.98%), Rcom (5.77%) and Ambuja Cement (4.73%) were among the top losers.
The global clues this morning were extremely negative as correction sets in across all asset classes. Markets back home may not behave differently and hence caution is advised. It looks difficult to make a strong comeback since the worries in the coming quarters look like worsening further. The sovereign default risks at Euro Zone, Negative outlook on China and interest rate fears at US are going to make things worse from here. Buyers should choose only specific stocks and for sellers the opportunities are wide open. Trade with strict stoplosses.
BUY
GODREJIND @ 160-162 Tgt 180 SL 156
SELL
MCDOWELL-N @ 1220-1230 Tgt 1100, 1020 SL 1260
JINDALSAW @ 190-192 Tgt 172 SL 197
HINDZINC @ 1080 Tgt 980 SL 1120
STER @ MKT Tgt 600 SL 730
OFSS @ 2120-2130 Tgt 2000 SL 2150
The global clues this morning were extremely negative as correction sets in across all asset classes. Markets back home may not behave differently and hence caution is advised. It looks difficult to make a strong comeback since the worries in the coming quarters look like worsening further. The sovereign default risks at Euro Zone, Negative outlook on China and interest rate fears at US are going to make things worse from here. Buyers should choose only specific stocks and for sellers the opportunities are wide open. Trade with strict stoplosses.
BUY
GODREJIND @ 160-162 Tgt 180 SL 156
SELL
MCDOWELL-N @ 1220-1230 Tgt 1100, 1020 SL 1260
JINDALSAW @ 190-192 Tgt 172 SL 197
HINDZINC @ 1080 Tgt 980 SL 1120
STER @ MKT Tgt 600 SL 730
OFSS @ 2120-2130 Tgt 2000 SL 2150
Sunday, May 9, 2010
10-May-2010
Markets lost fair bit of ground on back of problems at various pockets of the world. While US seems recovering from the worst problems continue to haunt the Eurozone. There are already talks about Chinese economy going bust due to very high base effect. Chinese equity markets were under pressure since past many weeks and the weakness caught at other markets. Both Sensex and Nifty lost over 5% apiece and the weakness remained across all sectors. All sectors lost fair bit of ground without exception. BPCL (6.26%), Idea (3.68%), Ranbaxy (1.43%) were the only gainers in Nifty. ADAG group stocks saw heavy selling after the RIL-RNRL verdict came out on Friday. Reliance Infra (13.97%), Reliance Power (13.91%), ABB (13.83%), Sterlite (13.82%), Unitech (13.76%), Jindal Steel (12.66%), Tata Motors (12.59%) and JP Associates (12.06%) were the top Nifty losers.
Markets are looking shaky after the fears of sovereign defaults gripped the global markets again. A lot depends on how global markets fare in the near term. Another 10% fall on the index doesn’t look improbable at this point in time. Any rise from here should be a selling opportunity and hence one should remain a seller at rises. Only a close above 5200 shall turn the things back in the favour of bulls. It pays to be on the short side as long as the overall weakness remains.
BUY
ADANIENT @ 538-540 Tgt 580 SL 530
SELL
RECLTD @ 253-254 Tgt 241, 236 SL 256
MCDOWELL-N @ 1240 Tgt 1100, 1020 SL 1260
IDFC @ 160-162 Tgt 148, 142 SL 163
HINDZINC @ 1115-1120 Tgt 980 SL 1135
STER @ 738-740 Tgt 600 SL 760
Markets are looking shaky after the fears of sovereign defaults gripped the global markets again. A lot depends on how global markets fare in the near term. Another 10% fall on the index doesn’t look improbable at this point in time. Any rise from here should be a selling opportunity and hence one should remain a seller at rises. Only a close above 5200 shall turn the things back in the favour of bulls. It pays to be on the short side as long as the overall weakness remains.
BUY
ADANIENT @ 538-540 Tgt 580 SL 530
SELL
RECLTD @ 253-254 Tgt 241, 236 SL 256
MCDOWELL-N @ 1240 Tgt 1100, 1020 SL 1260
IDFC @ 160-162 Tgt 148, 142 SL 163
HINDZINC @ 1115-1120 Tgt 980 SL 1135
STER @ 738-740 Tgt 600 SL 760
Sunday, May 2, 2010
03-May-2010
Markets were trading mixed during the last week as Midcap and Banking stocks continued to head upwards while other sectors took breathing. Both Sensex and Nifty lost nearly half a percentage points with slightly negative market breadth. The F&O expiry was smooth without much volatility. Cairn India was the biggest Nifty gainers, with a 6% WoW gain, along with Sterlite (4.17%), Dr Reddy (3.87%), BPCL (3.76%), ONGC (3.63%) and Cipla (3.48%). The major losers included Sun Pharma (6.71%), Idea (6.71%), DLF (6.5%), JP Associates (6.19%), Maruti (6%), Reliance (5.02%) and ABB (3.83%).
Markets look sluggish as we move into the fresh month with most of the big results already out. Weak Global markets, Crisis at Euro Zone and rising interest rates are the major worries to the markets as we go into the next week. The global clues are negative but markets back home should find strong support at declines. Close below 5180 on Nifty is required to turn the markets weak in medium term. Most of the action would remain outside index where we witnessed quite a bit of accumulation during the recent past. It is advisable to trade stock specific with strict target objectives.
BUY
HINDZINC @ 1230-1232 Tgt 1320, 1380 SL 1210
INDIANB @ 220-222 Tgt 240 SL 215
SCI @ 163-164 Tgt 172, 180 SL 160
CAIRN @ 310-312 Tgt 321, 333 SL 304
CHAMBLFERT @ 64.50-65 Tgt 72, 80 SL 63
Markets look sluggish as we move into the fresh month with most of the big results already out. Weak Global markets, Crisis at Euro Zone and rising interest rates are the major worries to the markets as we go into the next week. The global clues are negative but markets back home should find strong support at declines. Close below 5180 on Nifty is required to turn the markets weak in medium term. Most of the action would remain outside index where we witnessed quite a bit of accumulation during the recent past. It is advisable to trade stock specific with strict target objectives.
BUY
HINDZINC @ 1230-1232 Tgt 1320, 1380 SL 1210
INDIANB @ 220-222 Tgt 240 SL 215
SCI @ 163-164 Tgt 172, 180 SL 160
CAIRN @ 310-312 Tgt 321, 333 SL 304
CHAMBLFERT @ 64.50-65 Tgt 72, 80 SL 63
Sunday, April 25, 2010
26-Apr-2010
Markets moved up sharply after consolidating in narrow band for initial part of the week. Both Sensex and Nifty ended the week with less than a percentage gains but Banking took the lead and Bank Nifty moved up sharply by close to 5%. Sugar continued to reel under pressure while Technology, Metals, Telecom and Capital goods saw profit taking. SBI and HCL Tech were the biggest Nifty gainers with over 10% WoW gains. Axis Bank(7.62%), Tata Motors(7.61%), JP Associates(6.32%), HUL(5.33%), Unitech(5.18%) were among other major Nifty gainers. Sun Pharma(6.89%), Tata Steel(6.81%), Sterlite(5.07%), TCS(4.28%), Wipro(4.18%) and Cairn(3.44%) were the top nifty losers.
The sentiment remains positive as we go into the next week. Markets across all asset classes recovered and show strength. Nifty should find support near 5260 and inch towards the crucial resistance of 5400-5420. If this band is taken out, we may see levels of 5600 on Nifty very soon. There are no negative surprises this time in the corporate results. Markets are trading with less volatility and as we move closer to the expiry date. Options build up indicate that Nifty shall close the month near 5300. It will be a range bound market trading between 5260-5420.
[B]BUY[/B]
JINDALSTEL @ CMP Tgt 740, 760 SL 710
INDIANB @ 190-191 Tgt 202, 220 SL 187
AXISBANK @ 1220-1225 Tgt 1300 SL 1200
JPASSOCIAT @ 154-155 Tgt 168 SL 152
TATATEA @ 1030-1034 Tgt 1014 SL 1120
The sentiment remains positive as we go into the next week. Markets across all asset classes recovered and show strength. Nifty should find support near 5260 and inch towards the crucial resistance of 5400-5420. If this band is taken out, we may see levels of 5600 on Nifty very soon. There are no negative surprises this time in the corporate results. Markets are trading with less volatility and as we move closer to the expiry date. Options build up indicate that Nifty shall close the month near 5300. It will be a range bound market trading between 5260-5420.
[B]BUY[/B]
JINDALSTEL @ CMP Tgt 740, 760 SL 710
INDIANB @ 190-191 Tgt 202, 220 SL 187
AXISBANK @ 1220-1225 Tgt 1300 SL 1200
JPASSOCIAT @ 154-155 Tgt 168 SL 152
TATATEA @ 1030-1034 Tgt 1014 SL 1120
Sunday, April 18, 2010
19-Apr-10
Markets corrected despite positive global cues and better than expected numbers. Both Sensed and Nifty lost close to 2% each week over week. Infosys came out with reasonably good results and the entire IT sector reacted taking the CNX IT index up by over 3% in a falling market. The fall came amid higher volumes and weak market breadth. Unitech was the biggest Nifty gainer with a 6.8% rise followed by Infosys (4.2%), TCS (2.97%), Tata Steel (2.88%) and HUL (2.55%). The losers were HDFC (5.92%), ICICI Bank (5.71%), RCom (5.56%), Sterlite (5.37%), M&M (4.93%) and Reliance Capital (4.81%).
Global markets reacted negatively to the fraud charges levied against Goldman Sachs by SEC taking the US and European markets tumbling down on Friday. The impact on the Asian Markets is no less severe. All the indices are trading with deep cuts and in we are in for a gap down opening. Nifty may find support near 5180-5200, which acts as a immediate term support. On the upside resistance is strong resistance is placed near the recent high of 5400. Nifty should find support below 5200 and bounce back. If markets do not recover today, then we are in for some pain during the week.
BUY
HDFCBANK @ 1940-1945 Tgt 2000 SL 1920
PANTALOONR @ 408-409 Tgt 422, 440 SL 404
LUPIN @ 1640-1645 Tgt 1720 SL 1620
JINDALSAW @ 214-216 Tgt 227, 240 SL 211
Global markets reacted negatively to the fraud charges levied against Goldman Sachs by SEC taking the US and European markets tumbling down on Friday. The impact on the Asian Markets is no less severe. All the indices are trading with deep cuts and in we are in for a gap down opening. Nifty may find support near 5180-5200, which acts as a immediate term support. On the upside resistance is strong resistance is placed near the recent high of 5400. Nifty should find support below 5200 and bounce back. If markets do not recover today, then we are in for some pain during the week.
BUY
HDFCBANK @ 1940-1945 Tgt 2000 SL 1920
PANTALOONR @ 408-409 Tgt 422, 440 SL 404
LUPIN @ 1640-1645 Tgt 1720 SL 1620
JINDALSAW @ 214-216 Tgt 227, 240 SL 211
Sunday, April 11, 2010
12-Apr-2010
Markets are at a fresh 2 year high as both the major indices moved up by 1.35% each as the Q4 corporate results started coming in. The mid-cap side of the market is enthusiastic with a very positive advance decline ratio. All sectors inched up with the exception of Technology. Infrastructure, Realty, Banking, Cement, Financials, Shipping and Telecom were the sectors which saw positive build up. DLF was the biggest Nifty gainer with a 6.87% rise followed by BHEL (6.12%), Hero Honda (5.74%), RCOM (4.74%) and Tata Motors (4.11%). SAIL was the biggest Nifty loser with a close to 7% cut after the announcement of its FPO. The other losers included HUL (3.93%), HCL Tech (3.74%), Hindalco (2.69%), ONGC (1.9%) and Ranbaxy (1.83%).
Infosys comes out with its yearly numbers on Tuesday and in all probability we may witness some positive comments from the management. The IT stocks have already run up significantly to afford another big rally. A correction after positive numbers cannot be ruled out. The global markets are looking good going into the week and Nifty may see some positive momentum. Strong immediate term support is placed at 5290 (low placed on 8th) followed by multiple supports near 5180-5230. Last week’s high of 5400 acts as immediate resistance. We recommend traders to trade in specific stocks with strict stoplosses as the event risks loom large.
Infosys comes out with its yearly numbers on Tuesday and in all probability we may witness some positive comments from the management. The IT stocks have already run up significantly to afford another big rally. A correction after positive numbers cannot be ruled out. The global markets are looking good going into the week and Nifty may see some positive momentum. Strong immediate term support is placed at 5290 (low placed on 8th) followed by multiple supports near 5180-5230. Last week’s high of 5400 acts as immediate resistance. We recommend traders to trade in specific stocks with strict stoplosses as the event risks loom large.
Sunday, April 4, 2010
05-Apr-10
It is 8 weeks in a row that both Sensex and Nifty managed to close positive. The market breadth was positive and everything seems to be working in favor. The global clues were positive with all Asian, European and American markets firing on all cylinders. HDFC was the biggest gainer in Nifty followed by DLF, Unitech, Cairn and Sterlite while Hero Honda, Infosys, HCL Tech, Idea and TCS were among the top losers.
The optimism is back in the markets again and greed is taking over slowly. The most heartening part of this rally is that non-performing sectors were kept out for too long. It gives an indication of a sustained rally upwards with stocks and sectors outperforming in turns. We have seen IT stocks correct during the week but Banking and Metals took over and kept the action alive. In all probability we are in for 5600 and higher levels on Nifty with any corrections holding support of 5100-5200. It is time to have a look at the performers from the lagging sectors and bet. Buy specific stocks on every correction and ride the wave.
BUY
CANBK @ CMP Tgt 440, 460 SL 406
CENTURYTEX @ CMP Tgt 542, 590 SL 510
AREVAT&D @ CMP Tgt 338 SL 300
WELGUJ @276-278 Tgt 296 SL 274
BHUSANSTL @ 1740-1745 Tgt 1800 SL 1720
GESHIP @ CMP Tgt 321 SL 286
VOLTAS @ 176-177 Tgt 182, 190 SL 174
The optimism is back in the markets again and greed is taking over slowly. The most heartening part of this rally is that non-performing sectors were kept out for too long. It gives an indication of a sustained rally upwards with stocks and sectors outperforming in turns. We have seen IT stocks correct during the week but Banking and Metals took over and kept the action alive. In all probability we are in for 5600 and higher levels on Nifty with any corrections holding support of 5100-5200. It is time to have a look at the performers from the lagging sectors and bet. Buy specific stocks on every correction and ride the wave.
BUY
CANBK @ CMP Tgt 440, 460 SL 406
CENTURYTEX @ CMP Tgt 542, 590 SL 510
AREVAT&D @ CMP Tgt 338 SL 300
WELGUJ @276-278 Tgt 296 SL 274
BHUSANSTL @ 1740-1745 Tgt 1800 SL 1720
GESHIP @ CMP Tgt 321 SL 286
VOLTAS @ 176-177 Tgt 182, 190 SL 174
Sunday, March 28, 2010
29-Mar-2010
It is 7th consecutive week of gains for the indices and still counting. Both Sensex and Nifty managed to close the week in green amid sluggish market breadth. The buoyancy is brought back into the markets by Pharma stocks which rose sharply during the week. Second rung Pharma stocks were at the thick of the action as most of them rose in double digits over the week. HDFC Bank was the biggest gainer in Nifty followed by Reliance Power, PNB, Sun Pharma, Cairn and Cipla. The losers included Tata Motors, DLF, Suzlon, GAIL, Idea, Unitech and HDFC.
Markets are trading near 2 year highs and are looking good for a sustained rally. The volumes in the markets have improved significantly during the last few months which supporting the rise. The FY is coming to an end and we may see many stock specific movements to jack the NAVs upwards. In all probability we may see markets closing above the 2 year highs this week and we may go into the next year with lots of enthusiasm. Markets have seen the worst in the last 2 years and it is behind us. It is going to be a stock specific market going ahead and there is a lot on table for the stock picker.
BUY
CANBK @ 410-412 Tgt 440, 460 SL 406
CENTURYTEX @ 518-520 Tgt 542, 590 SL 510
AREVAT&D @ 306-308 Tgt 338 SL 294
WELGUJ @ CMP Tgt 296 SL 274
BHUSANSTL @ 1720-1724 Tgt 1800 SL 1700
GESHIP @ 294-296 Tgt 321 SL 286
Markets are trading near 2 year highs and are looking good for a sustained rally. The volumes in the markets have improved significantly during the last few months which supporting the rise. The FY is coming to an end and we may see many stock specific movements to jack the NAVs upwards. In all probability we may see markets closing above the 2 year highs this week and we may go into the next year with lots of enthusiasm. Markets have seen the worst in the last 2 years and it is behind us. It is going to be a stock specific market going ahead and there is a lot on table for the stock picker.
BUY
CANBK @ 410-412 Tgt 440, 460 SL 406
CENTURYTEX @ 518-520 Tgt 542, 590 SL 510
AREVAT&D @ 306-308 Tgt 338 SL 294
WELGUJ @ CMP Tgt 296 SL 274
BHUSANSTL @ 1720-1724 Tgt 1800 SL 1700
GESHIP @ 294-296 Tgt 321 SL 286
Sunday, March 14, 2010
15-Mar-2010
Markets, after rallying the entire week after the budget, continued the upward journey but with less steam. The market breadth remained negative as markets witnesses two out of every 3 stocks ending the week with losses. Markets were particularly severe on Sugar counters as they plummeted from the last weeks levels after the govt’s clamp down on the sugar stocks and prices. Markets traded mixed with select stock specific outperformances and all sectors throwing gainers as well as losers. M&M remained the top Nifty gainer with over 6% WoW gain while the other gainers included Ambuja Cement, ABB, ITC, HDFC, TCS and Axis Bank. HUL was the negative surprise of the week with a fall of close to 9%. Suzlon, Unitech, RCom, Tata Motors and Reliance Infra were among the top losers.
Markets look weary as observed in the breadth last week. Support from some index stocks managed the market to stay positive but looking at the way many midcaps saw distribution casts shadow on the short term strength. Markets are trading near crucial juncture as Nifty nearing the major resistance of 5200. It is difficult for it to breach the band of 5200-5250 in the near term going by the global clues. Markets may try to test this resistance and correct sharply. On the downside 4940 remains a major support in the near term.
BUY
CANBK @ 402-405 Tgt 434 SL 398
CENTURYTEX @ 516-518 Tgt 542, 560 SL 510
SELL
VIDEOIND @ 230-232 Tgt 214 SL 236
IFCI @ 52.50-53 Tgt 48.60 SL 54
RELINFRA @ CMP Tgt 940 SL 1020
BHARTIARTL @ 300-302 Tgt 281 SL 306
IBREALEST @ 176-178 Tgt 160 SL 181
JSWSTEEL @ 1200-1205 Tgt 1140 SL 1220
Markets look weary as observed in the breadth last week. Support from some index stocks managed the market to stay positive but looking at the way many midcaps saw distribution casts shadow on the short term strength. Markets are trading near crucial juncture as Nifty nearing the major resistance of 5200. It is difficult for it to breach the band of 5200-5250 in the near term going by the global clues. Markets may try to test this resistance and correct sharply. On the downside 4940 remains a major support in the near term.
BUY
CANBK @ 402-405 Tgt 434 SL 398
CENTURYTEX @ 516-518 Tgt 542, 560 SL 510
SELL
VIDEOIND @ 230-232 Tgt 214 SL 236
IFCI @ 52.50-53 Tgt 48.60 SL 54
RELINFRA @ CMP Tgt 940 SL 1020
BHARTIARTL @ 300-302 Tgt 281 SL 306
IBREALEST @ 176-178 Tgt 160 SL 181
JSWSTEEL @ 1200-1205 Tgt 1140 SL 1220
Sunday, March 7, 2010
08-Mar-2010
Markets recovered sharply and traded the entire week with positive bias. The market breadth was extremely positive as both the major indices inched up more than 3% over the week. The midcaps were more active and many midcap stocks rallied as both Nifty junior and CNX midcap improved by close to 6% each. IT stocks showed some fatigue and failed to participate as rupee started appreciating against dollar during the week. Suzlon was the major Nifty gainer with over 12% WoW gain, followed by Tata Motors, JP Associates, Jindal Steel, Tata Power, Unitech, Tata Steel, SAIL, Bharti, DLF and M&M all gained over 5%. BPCL was the major Nifty loser with just over 4% fall. ONGC, HCL Tech and Axis Bank were the only other losers.
The global markets look good going into the next week. We may see Nifty opening with a positive gap but should find resistance at higher levels. 5200-5250 seems like a formidable immediate term resistance and Nifty may take some time to take out this resistance. We see a band of 4940-5250 during the coming week on Nifty. Markets may trade stock specific with laggards catching up.
BUY
SUZLON @ 79-80 Tgt 90 SL 76
KSOILS @ 72.5-73.00 Tgt 76, 80 SL 71.50
TRIVENI @ 124-125 Tgt 132, 140 SL 122
ADANIENT @ CMP Tgt 524, 540 SL 490
BHUSANSTL @ 1740-1750 Tgt 1810 SL 1720
JINDALSAW @ 210-211 Tgt 224 SL 206
SELL
TATAMOTORS @ 800-804 Tg 760 SL 815
ROLTA @ 183-185 Tgt 172 SL 187
HCLTECH @ 364-366 Tgt 352, 340 SL 372
TATAPOWER @ 1340-1345 Tgt 1280 SL 1360
The global markets look good going into the next week. We may see Nifty opening with a positive gap but should find resistance at higher levels. 5200-5250 seems like a formidable immediate term resistance and Nifty may take some time to take out this resistance. We see a band of 4940-5250 during the coming week on Nifty. Markets may trade stock specific with laggards catching up.
BUY
SUZLON @ 79-80 Tgt 90 SL 76
KSOILS @ 72.5-73.00 Tgt 76, 80 SL 71.50
TRIVENI @ 124-125 Tgt 132, 140 SL 122
ADANIENT @ CMP Tgt 524, 540 SL 490
BHUSANSTL @ 1740-1750 Tgt 1810 SL 1720
JINDALSAW @ 210-211 Tgt 224 SL 206
SELL
TATAMOTORS @ 800-804 Tg 760 SL 815
ROLTA @ 183-185 Tgt 172 SL 187
HCLTECH @ 364-366 Tgt 352, 340 SL 372
TATAPOWER @ 1340-1345 Tgt 1280 SL 1360
Monday, March 1, 2010
02-Mar-2010
Markets consolidated throughout the week but broke upside after the announcement of the Union Budget. The global markets remained supportive and almost all sectors recovered as broader indices closed near their highest levels in a month. Hindalco, Maruti, L&T, Reliance Capital, Ranbaxy, SAIL, Idea, Sterlite and ICICI bank were among the biggest Nifty gainers. ITC was the biggest loser as the stock plummeted after the announcement of imposing taxes on tobacco products. BPCL, RCOM and Hindustan Unilever were among the other losers on Nifty.
The external markets are looking good and we may see range bound activity in our markets as we move further. Markets may consolidate as positive news flowing in from across the globe. A close above 4940 is crucial for the markets to continue the upward direction. Much would depend on how the global markets fare in the immediate term. It would be a stock specific market with range bound index activity. The budget brings a host of positive news and hence may limit the downside on markets. Banking, Metals and Infrastructure stocks may fare well during the week.
BUY
HDFCBANK @ 1695-1700 Tgt 1760 SL 1680
SESAGOA @ 378-380 Tgt 404 SL 372
LT @ 1540-1545 Tgt 1620 SL 1520
AXISBANK @ 1120-1122 Tgt 1160, 1200 SL 1105
SIEMENS @ 660-664 Tgt 720 SL 650
The external markets are looking good and we may see range bound activity in our markets as we move further. Markets may consolidate as positive news flowing in from across the globe. A close above 4940 is crucial for the markets to continue the upward direction. Much would depend on how the global markets fare in the immediate term. It would be a stock specific market with range bound index activity. The budget brings a host of positive news and hence may limit the downside on markets. Banking, Metals and Infrastructure stocks may fare well during the week.
BUY
HDFCBANK @ 1695-1700 Tgt 1760 SL 1680
SESAGOA @ 378-380 Tgt 404 SL 372
LT @ 1540-1545 Tgt 1620 SL 1520
AXISBANK @ 1120-1122 Tgt 1160, 1200 SL 1105
SIEMENS @ 660-664 Tgt 720 SL 650
Sunday, February 21, 2010
22-Feb-2010
Markets ended the week on mixed note as Sensex managed to close the week in green while Nifty lost nearly half a percentage points week on week. Banking and Technology indices managed to pull through the week with over 1% gain apiece while the mid cap indices lost marginally. It was a week with weak market breadth and high volatility. Pharma, Metals and Technology stocks were among the gainers. Realty, Infrastructure, Sugar, Telecom, Energy and Media stocks lost fair bit of ground. Hindalco, Ranbaxy, HDFC Bank, Axis Bank and Tata Steel were the top nifty gainers with more than 5% rise each. Bharti was the biggest loser with an 11% cut week on week followed by Unitech, Reliance Infra and DLF, all losing more than 5% over the week.
Most markets reacted adversely after the announcement of discount rate hike by the FOMC but Dow Jones managed to escape losses. There are enough indications that the easy money availability would come to an end sooner than later and Fed’s action last week is a step in that direction. Markets are in dilemma as uncertainty still looms large. Hence it would be a stock specific market till the direction is clear. There were head and shoulder formations observed in many individual stocks traded in F&O Segment. The indications are of a reasonably big correction in next month, strictly going by the charts. However, there is an event risk pending as the budget is going to be presented on 26th of this month. Hence it is advisable to stay away from the markets and do not carry many positions.
SELL
EDUCOMP @ 720-725 Tgt 680 SL 740
IDEA @ 59-59.50 Tgt 54, 52 SL 60
IFCI @ 50-50.50 Tgt 46.00 SL 51
FSL @ 30.2-30.4 Tgt 27.20 SL 31
INDIAINFO @ 114-115 Tgt 107 SL 118
RELCAPITAL @ 760-765 Tgt 720 SL 775
HCC @ 134-135 Tgt 128 SL 137
RELINFRA Below 990 Tgt 940 SL 1020
Most markets reacted adversely after the announcement of discount rate hike by the FOMC but Dow Jones managed to escape losses. There are enough indications that the easy money availability would come to an end sooner than later and Fed’s action last week is a step in that direction. Markets are in dilemma as uncertainty still looms large. Hence it would be a stock specific market till the direction is clear. There were head and shoulder formations observed in many individual stocks traded in F&O Segment. The indications are of a reasonably big correction in next month, strictly going by the charts. However, there is an event risk pending as the budget is going to be presented on 26th of this month. Hence it is advisable to stay away from the markets and do not carry many positions.
SELL
EDUCOMP @ 720-725 Tgt 680 SL 740
IDEA @ 59-59.50 Tgt 54, 52 SL 60
IFCI @ 50-50.50 Tgt 46.00 SL 51
FSL @ 30.2-30.4 Tgt 27.20 SL 31
INDIAINFO @ 114-115 Tgt 107 SL 118
RELCAPITAL @ 760-765 Tgt 720 SL 775
HCC @ 134-135 Tgt 128 SL 137
RELINFRA Below 990 Tgt 940 SL 1020
Sunday, February 14, 2010
15-Feb-10
Markets ended the losing streak and bounced back from the lows of last week amid volatile trading. Both Sensex and Nifty gained more than 2% with all mid cap indices participating. Almost all sectors participated during the last week’s rise as most of them have beaten down to their respective multi month lows within a couple of weeks. Unitech, Ambuja Cement, Hero Honda, Grasim, JP Associates, Infosys and ACC were the major Nifty gainers all gaining over 5% during the week. Tata steel was the major loser with nearly 2% loss.
The global markets are marred by the deepening fears of sovereign defaults as some of the European nations fail to muster enough support on the bailout packages. Though there is consensus to save these nations from going into bankruptcy, there is much haggling going on as to who should be funding. Nifty faces major resistance at 4940 in the short term. Possibilities are open for fall towards 4600 of Nifty fails to sustain the current levels. It will be a stock specific market with range bound index movement. Pick the strong stocks from the mid-caps for big gains.
The global markets are marred by the deepening fears of sovereign defaults as some of the European nations fail to muster enough support on the bailout packages. Though there is consensus to save these nations from going into bankruptcy, there is much haggling going on as to who should be funding. Nifty faces major resistance at 4940 in the short term. Possibilities are open for fall towards 4600 of Nifty fails to sustain the current levels. It will be a stock specific market with range bound index movement. Pick the strong stocks from the mid-caps for big gains.
Monday, February 8, 2010
08-Feb-2010
Due to unavoidable reasons "Outlook for the Week" couldnt be published this week.
Markets would continue to find resistance at higher levels and drift lower. Stock specific performances would still be visible.
Markets would continue to find resistance at higher levels and drift lower. Stock specific performances would still be visible.
Sunday, January 31, 2010
01-Feb-2010
The week saw stocks tumbling without much support taking clues from global markets. The most disheartening part of this fall is the volumes with which markets fell. The week saw historically high volumes which is a major cause for concern. Both Sensex and Nifty lost 3% apiece. Technology, Metals, Auto, Pharma, Realty stocks were the major losers. Only 5 out of the 50 Nifty stocks ended the week in positive. Tata Motors, M&M, Tata Steel, Hindalco, HCL Tech and Sterlite were major Nifty losers.
Though the overnight announcement of US GDP quarterly numbers (up 5.7%) far above expected levels, it failed to enthuse the markets as the preceding rise already discounted the best. Back home Nifty closed below the crucial support level of 4940. Markets will find resistance near this level and continue to drift downwards. The correction is seen across asset classes worldwide whether it is commodities, equities or bullion. All indications point towards end of the easy liquidity regime, which was the major reason for the escalation in the prices of risky assets. And without much support from the fundamentals, markets may lose fair bit even with small selling. One should be a seller in the markets on weak counters. Stock specific action would still be visible. Indian Bank, Rolta, Bank of Baroda, Allahabad Bank, Triveni Engg are some of the stocks which still look good and buying may be contemplated at dips.
SELL
WIPRO @ CMP Tgt 620, 585 SL 672
IDEA @ 59-60 Tgt 52 SL 62
LT @ 1440-1450 Tgt 1400, 1360 SL 1470
STER @ CMP Tgt 700 SL 780
INDIAINFO @ 120-122 Tgt 100 SL 126
RELCAPITAL @ CMP Tgt 720 SL 830
Though the overnight announcement of US GDP quarterly numbers (up 5.7%) far above expected levels, it failed to enthuse the markets as the preceding rise already discounted the best. Back home Nifty closed below the crucial support level of 4940. Markets will find resistance near this level and continue to drift downwards. The correction is seen across asset classes worldwide whether it is commodities, equities or bullion. All indications point towards end of the easy liquidity regime, which was the major reason for the escalation in the prices of risky assets. And without much support from the fundamentals, markets may lose fair bit even with small selling. One should be a seller in the markets on weak counters. Stock specific action would still be visible. Indian Bank, Rolta, Bank of Baroda, Allahabad Bank, Triveni Engg are some of the stocks which still look good and buying may be contemplated at dips.
SELL
WIPRO @ CMP Tgt 620, 585 SL 672
IDEA @ 59-60 Tgt 52 SL 62
LT @ 1440-1450 Tgt 1400, 1360 SL 1470
STER @ CMP Tgt 700 SL 780
INDIAINFO @ 120-122 Tgt 100 SL 126
RELCAPITAL @ CMP Tgt 720 SL 830
Sunday, January 24, 2010
25-Jan-2010
It was one of the worst weeks we’ve seen in the recent past. The week started on a positive note despite weak global clues but couldn’t sustain the rise and markets started falling with heavy volumes. It all started with the Chinese curbs on liquidity which took its toll on the markets across the globe whether they are equities, commodities or currencies. It was a global crack down triggered by fears of unwinding of stimuli. The market breadth was extremely negative and almost all sectors lost ground. Pharma, Metals, Technology, Cement, Infra and Realty stocks were the biggest losers. Idea, HCL Tech, Maruti, Bharti, Hero Honda, BHEL and HUL were the only Nifty stocks which survived the wrath of the markets. Suzlon, L&T, Unitech and JP Associates were the Nifty stocks which lost more than 10% during the week.
The markets don’t look too good going into the next week. The global markets are trading weak and in all probability we may expect an opening below 5000 on Nifty. 4940 on Nifty is a crucial support in the immediate term. A close below this support is crucial for the markets to continue the uptrend. 5200 remains the crucial resistance. We see markets trading with weak bias with stock specific performances if Nifty manages a close below 4940. The results season is coming to an end and the rumour mills will be busy predicting the budget sops but the short term direction will depend on the external markets rather than on their own fundamentals. Despite weak markets there are certain set of stocks which look resilient and may throw some surprises on the upside like Chambal Fertilizers, BRFL, Triveni Eng, BEML, Petronet, Titan, Bank of India etc.. Avoid short positions in these stocks.
SELL
ABB @ 820-822 Tgt 780 SL 835
RELCAPITAL @ 860-865 Tgt 800 SL 880
LT @ 1510-1520 Tgt 1400 SL 1540
MPHASIS @ 700-705 Tgt 664 SL 713
ORIENTBANK @ 250-252 Tgt 238, 224 SL 260
JINDALSTEL @ 680-682 Tgt 660, 640 SL 690
The markets don’t look too good going into the next week. The global markets are trading weak and in all probability we may expect an opening below 5000 on Nifty. 4940 on Nifty is a crucial support in the immediate term. A close below this support is crucial for the markets to continue the uptrend. 5200 remains the crucial resistance. We see markets trading with weak bias with stock specific performances if Nifty manages a close below 4940. The results season is coming to an end and the rumour mills will be busy predicting the budget sops but the short term direction will depend on the external markets rather than on their own fundamentals. Despite weak markets there are certain set of stocks which look resilient and may throw some surprises on the upside like Chambal Fertilizers, BRFL, Triveni Eng, BEML, Petronet, Titan, Bank of India etc.. Avoid short positions in these stocks.
SELL
ABB @ 820-822 Tgt 780 SL 835
RELCAPITAL @ 860-865 Tgt 800 SL 880
LT @ 1510-1520 Tgt 1400 SL 1540
MPHASIS @ 700-705 Tgt 664 SL 713
ORIENTBANK @ 250-252 Tgt 238, 224 SL 260
JINDALSTEL @ 680-682 Tgt 660, 640 SL 690
Sunday, January 17, 2010
18-Jan-2010
The week belonged to technology and it was technology which saved the markets this week. The IT index moved by as much as 9% lead by TCS which gained more than 13% followed by Wipro (+9.8%) and Infosys (+8%). The results from the IT biggies and the guidance re-instated the faith in the sector which triggered major buying interest in the technology stocks. Some of the midcap stocks saw action and it was a week of stock specific performances. The major benchmarks Sensex and Nifty just managed to close in positive as the gains provided by technology were offset by Banking, Metals and FMCG. SBI, Jindal Steel, Suzlon, ICICI Bank, Hindalco, Sterlite, HUL and Reliance Infra were among the biggest losers which capped the upside in Nifty. Cement stocks ACC, Ambuja Cement and Grasim, ABB, Axis Bank, Rcom and Siemens were among the biggest gainers apart from the Technology pack.
The IIP numbers indicate strong growth YoY which would limit the downside going ahead unless something very bad happens with the overall global economy. Markets may trade volatile with positive bias as results continue to drive the markets. Market players keep their fingers crossed for the presentation of Railway budget once the results season gets over. Markets may open with downside gap on Monday morning due to weak global cues but that should be treated as a buying opportunity in specific stocks. Nifty will find support below 5200 and continue to march ahead. One should have an overall day close stoploss below 4940 and continue to trade long on dips. Be stock specific and maintain adequate stoplosses.
BUY
MTNL @ 86-87 Tgt 92 SL 84
KSOILS @ 74-74.50 Tgt 81, 90 SL 72
ONGC @ 1190-1200 Tgt 1360 SL 1150
BHARATFORG @ 288-290 Tgt 310 SL 280
HDIL @ 370-372 Tgt 400 SL 364
GESHIP @ 308-310 Tgt 360 SL 295
PANTALOONR @ 410-412 Tgt 440 SL 400
SELL
ABB @ 860-863 Tgt 825 SL 875
RELCAPITAL @ 905-910 Tgt 860 SL 920
PRAJIND @ 109-110 Tgt 100 SL 114
The IIP numbers indicate strong growth YoY which would limit the downside going ahead unless something very bad happens with the overall global economy. Markets may trade volatile with positive bias as results continue to drive the markets. Market players keep their fingers crossed for the presentation of Railway budget once the results season gets over. Markets may open with downside gap on Monday morning due to weak global cues but that should be treated as a buying opportunity in specific stocks. Nifty will find support below 5200 and continue to march ahead. One should have an overall day close stoploss below 4940 and continue to trade long on dips. Be stock specific and maintain adequate stoplosses.
BUY
MTNL @ 86-87 Tgt 92 SL 84
KSOILS @ 74-74.50 Tgt 81, 90 SL 72
ONGC @ 1190-1200 Tgt 1360 SL 1150
BHARATFORG @ 288-290 Tgt 310 SL 280
HDIL @ 370-372 Tgt 400 SL 364
GESHIP @ 308-310 Tgt 360 SL 295
PANTALOONR @ 410-412 Tgt 440 SL 400
SELL
ABB @ 860-863 Tgt 825 SL 875
RELCAPITAL @ 905-910 Tgt 860 SL 920
PRAJIND @ 109-110 Tgt 100 SL 114
Sunday, January 10, 2010
11-Jan-2010
Markets traded the week with positive bias. Though the indices did not reflect the positivism, as both Sensex and Nifty closed the week with partial gains, the sentiment remained buoyant in terms of sentiment. Midcaps were the biggest gainers and the market breadth remained extremely positive. Energy, Metals, Cement, Shipping, Realty, Infrastructure, Sugar and Fertilizer stocks were among the top gainers while Technology stocks witnessed some correction. Grasim, Siemens, Cairn, DLF, Hindalco, Tata Power and M&M were the top Nifty gainers while Maruti, TCS, HCL Tech, Infosys and Hero Honda were the top losers.
Though markets looked particularly strong in terms of market breadth we feel that there is more reason to worry in the immediate term. Already sectors such as Technology and Automobiles started to show fatigue and are trading weak. Infosys third quarter result is the next big event that markets would look forward to in the coming week which may set the tone for the immediate direction of the markets. Nifty is trading above its crucial resistance level of 5200 and will in all probability set for creating higher levels. A close below 4940 should bring in weakness. Any weakness towards 5000 is a buying opportunity with a day close protection below 4940. It is interesting to see which sectors take the baton to take the markets forward. We expect Reliance and ONGC to lead the markets from here on as the underperformance is continuing for quite a long time. The time is ripe for them to start participating in the rally. Be cautious and trade with Stoplosses.
BUY
POLARIS @ 178-180 Tgt 200 SL 170
KSOILS @ 70-71 Tgt 81, 90 SL 67.50
ONGC @ 1190-1200 Tgt 1360 SL 1150
BHARATFORG @ 278-280 Tgt 310 SL 270
HINDALCO @ 170-172 Tgt 200 SL 162
SELL
CROMPGREAV @ 423-426 Tgt 400 SL 430
DCHL @ 167-168 Tgt 155 SL 170
LT @ 1700-1710 Tgt 1620 SL 1725
GTOFFSHORE @ 482-484 Tgt 440 SL 492
EDUCOMP @ 785-790 Tgt 740 SL 800
Though markets looked particularly strong in terms of market breadth we feel that there is more reason to worry in the immediate term. Already sectors such as Technology and Automobiles started to show fatigue and are trading weak. Infosys third quarter result is the next big event that markets would look forward to in the coming week which may set the tone for the immediate direction of the markets. Nifty is trading above its crucial resistance level of 5200 and will in all probability set for creating higher levels. A close below 4940 should bring in weakness. Any weakness towards 5000 is a buying opportunity with a day close protection below 4940. It is interesting to see which sectors take the baton to take the markets forward. We expect Reliance and ONGC to lead the markets from here on as the underperformance is continuing for quite a long time. The time is ripe for them to start participating in the rally. Be cautious and trade with Stoplosses.
BUY
POLARIS @ 178-180 Tgt 200 SL 170
KSOILS @ 70-71 Tgt 81, 90 SL 67.50
ONGC @ 1190-1200 Tgt 1360 SL 1150
BHARATFORG @ 278-280 Tgt 310 SL 270
HINDALCO @ 170-172 Tgt 200 SL 162
SELL
CROMPGREAV @ 423-426 Tgt 400 SL 430
DCHL @ 167-168 Tgt 155 SL 170
LT @ 1700-1710 Tgt 1620 SL 1725
GTOFFSHORE @ 482-484 Tgt 440 SL 492
EDUCOMP @ 785-790 Tgt 740 SL 800
Sunday, January 3, 2010
04-Jan-2010
It was a short week with just 3 trading days but markets managed to break the previous highs and create a fresh one and half year high. Support came from Metals, Cement, Capital Goods and Energy sectors while price moderation was visible in Pharma and Banking stocks. Reliance Power, Ambuja Cements, BPCL and NTPC were the top Nifty gainers. Sun Pharma, Jindal Steel, Cipla and DLF were the top losers.
Nifty closed above the crucial resistance of 5200 this week, after failing to breach this level on multiple occasions during the last 3 months. If this level holds we may, in all probability, see Nifty rallying towards 5600. A close below 4940 substantially negates the chances of this upmove. Any dip towards 5000 should be treated as a buying opportunity to accumulate stocks with a day close protection below 4940. The third quarter results should start kicking in from next week and these numbers should give the hint of the overall economic picture. And then we have budget expectations which would keep the markets very active for another month. The overall direction is still dependent on how the global economy takes shape. The pace of rise in all asset classes during the last one year still remains a cause of concern going ahead. The automobile sales data released during the weekend points to month on month decline which is a negative signal. But the factor which remains in favor of buyers is the TREND. The trend is certainly up and hence contemplating a fall may be a risky proposition at this point of time. Trade long with strict stoplosses.
BUY
POLARIS @ 180-182 Tgt 200 SL 176
DIVISLAB @ 668-670 Tgt 720 SL 660
KFA @ CMP Tgt 72, 80 SL 60
OFSS @ 2300-2305 Tgt 2400 SL 2240
BAJAJ-AUTO @ 1740-1750 Tgt 1820 SL 1720
BHARATFORG @ 268-270 Tgt 284, 310 SL 256
HINDALCO @ 158-160 Tgt 173, 200 SL 154
CENTURYTEX @ 518-520 Tgt 560 SL 510
Nifty closed above the crucial resistance of 5200 this week, after failing to breach this level on multiple occasions during the last 3 months. If this level holds we may, in all probability, see Nifty rallying towards 5600. A close below 4940 substantially negates the chances of this upmove. Any dip towards 5000 should be treated as a buying opportunity to accumulate stocks with a day close protection below 4940. The third quarter results should start kicking in from next week and these numbers should give the hint of the overall economic picture. And then we have budget expectations which would keep the markets very active for another month. The overall direction is still dependent on how the global economy takes shape. The pace of rise in all asset classes during the last one year still remains a cause of concern going ahead. The automobile sales data released during the weekend points to month on month decline which is a negative signal. But the factor which remains in favor of buyers is the TREND. The trend is certainly up and hence contemplating a fall may be a risky proposition at this point of time. Trade long with strict stoplosses.
BUY
POLARIS @ 180-182 Tgt 200 SL 176
DIVISLAB @ 668-670 Tgt 720 SL 660
KFA @ CMP Tgt 72, 80 SL 60
OFSS @ 2300-2305 Tgt 2400 SL 2240
BAJAJ-AUTO @ 1740-1750 Tgt 1820 SL 1720
BHARATFORG @ 268-270 Tgt 284, 310 SL 256
HINDALCO @ 158-160 Tgt 173, 200 SL 154
CENTURYTEX @ 518-520 Tgt 560 SL 510
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