INTRADAY TIPS FOR 16 SEPTEMBER 2009

GOOD MORNING!!!

INDICES RESUMED GAINS AFTER TAKING A BREATHER ON MONDAY, 14 SEPTEMBER 2009 ON REPORTS OF HIGHER ADVANCE TAX PAYMENT BY SOME TOP INDIAN FIRMS. A SURVEY SHOWING AN IMPROVEMENT IN BUSINESS CONFIDENCE IN INDIA ALSO BOOSTED SENTIMENTS. REALTY, METAL AND BANKING STOCKS GAINED. THE TWO KEY INDICES - THE SENSEX AND THE S&P CNX NIFTY HIT THEIR HIGHEST CLOSING LEVEL IN MORE THAN 15 MONTHS. INDEX HEAVYWEIGHT RELIANCE INDUSTRIES ROSE. THE MARKET BREADTH WAS STRONG. THE MARKET OPENED ON A FIRM NOTE TRACKING HIGHER ASIAN STOCKS. THE RALLY GATHERED FURTHER STRENGTH IN MID-MORNING TRADE WITH THE SENSEX HITTING A FRESH INTRADAY HIGH. THE MARKET CONTINUED UPTREND IN EARLY AFTERNOON TRADE WITH THE SENSEX AND NIFTY HITTING MULTI-MONTH HIGHS. THE MARKET PARED GAINS IN EARLY AFTERNOON TRADE. IT REGAINED STRENGTH IN MID-AFTERNOON TRADE, HOVERING NEAR THE DAY'S HIGH. THE SENSEX HIT FRESH INTRADAY HIGH IN LATE TRADE. HIGHER ADVANCE TAX PAYMENT BY SOME OF THE TOP FIRMS IN THE SECOND INSTALLMENT OF 15 SEPTEMBER 2009 MEANS THEIR PROFITS MAY RISE IN Q2 SEPTEMBER 2009 OVER Q2 SEPTEMBER 2008. AS PER REPORTS, STATE BANK OF INDIA, INDIA'S BIGGEST COMMERCIAL BANK BY BRANCH NETWORK, HAS PAID 71.5% HIGHER ADVANCE TAX AT RS 1,832 CRORE IN THE SECOND QUARTER OF 2009-10 OVER THE CORRESPONDING PERIOD LAST YEAR.SOFTWARE MAJOR TCS HAS REPORTEDLY PAID 315% HIGHER ADVANCE TAX AT RS 220 CRORE IN THE SECOND INSTALLMENT. TRACTOR MAJOR MAHINDRA & MAHINDRA HAS REPORTEDLY PAID 540% HIGHER ADVANCE TAX AT RS 112 CRORE IN THE SECOND INSTALLMENT. TATA MOTORS PAID ADVANCE TAX OF RS 100 CRORE IN THE SECOND INSTALLMENT, MUCH HIGHER THAN RS 19 CRORE LAST YEAR. BUT LARSEN & TOUBRO PAID NIL ADVANCE TAX AGAINS RS 150 CRORE PAID IN THE CORRESPONDING PERIOD LAST YEAR. AMONG PUBLIC SECTOR BANKS LIKE BANK OF INDIA PAID RS 470 CRORE AS AGAINST RS 230 CRORE AND BANK OF BARODA PAID RS 412 CRORE COMPARED TO RS 255 CRORE. PRIVATE SECTOR LENDER YES BANK PAID RS 58 CRORE AS AGAINST RS 33 CRORE IN THE CORRESPONDING PERIOD LAST YEAR. DURING THE SECOND QUARTER BPCL AND LUPIN PAID RS 312 CRORE AND RS 49.7 CRORE RESPECTIVELY AS AGAINST RS 40 CRORE, AND 11.4 CRORE IN THE SAME PERIOD A YEAR AGO.AMBUJA CEMENTS PAID AN ADVANCE TAX OF RS 150 CRORE FOR THE JULY-SEPTEMBER QUARTER VS RS 70 CRORE IN THE PREVIOUS QUARTER. ALSO BOOSTING THE SENTIMENT WAS A SURGE IN THE NATIONAL COUNCIL OF APPLIED ECONOMIC RESEARCH (NCAER) BUSINESS CONFIDENCE INDEX TO 118.6 POINTS IN THE JUNE 2009 QUARTER, UP 37 POINTS FROM PREVIOUS QUARTER, WHEN IT WAS AT ITS THE LOWEST LEVEL SINCE FEBRUARY 1998. THE BUSINESS SENTIMENTS HAVE IMPROVED REFLECTING SIGNS OF ECONOMIC RECOVERY, NCAER SAID. THE THINK-TANK SAID ECONOMIC CONDITIONS ARE FURTHER EXPECTED TO IMPROVE IN THE COMING MONTHS AS THE IMPACT OF THE UNION BUDGET 2009-2010 (FY 2010) BEGINS TO BE REALISED. THE INCREASED GOVERNMENT SPENDING MAY PROVIDE SOME IMPETUS TO THE DOMESTIC INVESTMENT AND CONSUMPTION. THOUGH EVERY THING LOOKS ON THE POSITIVE FRONT ONE HAS TO BE VERY CAUTIOUS ON EACH AND EVERY UPMOVE THE INDICES ARE ALMOST IN THE OVER BOUGHT REGION ONE HAS TO STAY CAUTIOUS FROM HERE ON.

TODAY MARKET WOULD OPEN IN THE POSITIVE SIDE AND WOULD BE RANGE BOUND. MARKET MAY FACE RESISTANCE AROUND 4955 AND TRADING ABOVE THIS POINT WOULD LEAD NIFTY TO 5044 CLOSING ABOVE 4900 WILL MAKE NIFTY STRONGER. ON THE DOWNSIDE IF NIFTY TRADES BELOW 4876 THEN WOULD TAKE NIFTY TO 4845 AND BREAK BELOW THIS LEVEL WOULD TAKE NIFTY TO 4800 LEVELS TRADE WITH THE LEVELS INDICATED ABOVE AND BE VERY VERY CAUTIOUS AS MARKET WHILE GOING UP FROM HERE ON WOULD TAKE A SLOW MOVE BUT IF IT COMES DOWN WILL FALL VERY FAST SO BE VERY CAUTIOUS.
BUY SUZLON SL 95.4 TGT 102/103.5/105
BUY RELIANCE INFRA SL 1184 TGT 1220/1240
BUY STER SL 739 TGT 757/770
BUY DLF SL 409 TGT 417/420/424

BUY EDUCOMP SL 4190 TGT 4270/4300/4325