INTRADAY TIPS FOR 22 OCTOBER 2009

GOOD MORNING!!!

THE KEY BENCHMARK INDICES REMAINED WEAK AND WERE TRADING MARGINALLY LOWER IN AFTERNOON TRADE. MARKET SHRUGGED OFF HIGHER OPENING FOR EUROPEAN MARKETS, A SUBDUED TREND IN ASIAN STOCKS WEIGHED ON SENTIMENT. A SECTION OF THE MARKET IS CONCERNED THAT A GLUT IN SHARE SALES BY INDIAN FIRMS MAY SUCK LIQUIDITY FROM THE SECONDARY MARKET. BANKING, CEMENT STOCKS FELL. BUT, POWER STOCKS ROSE IT STOCKS GAINED AFTER US INTERNET FIRM YAHOO REPORTED BETTER-THAN-EXPECTED RESULTS ON TUESDAY. INTRADAY VOLATILITY WAS HIGH. THE MARKET DRIFTED LOWER IN CHOPPY EARLY TRADE ON SUBDUED ASIAN STOCKS AND LOWER US INDEX FUTURES AND ENDED IN MUCH WEAKER ZONE. THE BREADTH OF THE MARKET TURNED WEAK AS NIFTY HAS BREACHED A GOOD SUPPORT LEVEL.

TODAY MARKETS MAY OPEN NEGATIVE AND DOMINATE THE TRADE ON THE NEGATIVE ZONE, STRUCTURALLY MARKET WILL WEAKEN ONLY ONCE IT BREACHES 4925 THEN WE CAN SEE SOME SHARP SLIDE IN THE MARKETS TILL THEN THERE IS EVERY POSSIBILITY OF REVERSAL OF TREND FROM LOWER LEVELS. TODAY IF NIFTY TRADES BELOW 5075 THEN IT WILL TAKE SUPPORT AROUND 5040 AND BREAK BELOW THIS LEVEL WITH VOLUMES MAY TAKE NIFTY TO 4990 ANY CLOSE BELOW 4990 INDICATES WEAKNESS. AND ON THE POSITIVE FRONT IF NIFTY TRADES ABOVE 5075 THEN WE CAN SEE NIFTY TO MAKE AN UPMOVE TILL 5122 AND THEN TO 5153 CLOSING ABOVE 5115 IS POSITIVE.

BUY KFA SL 54 TGT 59/60

BUY EVERONN SL 448 TGT 465/472
SELL TATAPOWER BELOW 1417 TGT 1407/1395
SELL TATAMOTORS SL 567 TGT 538/530/522
SELL HERO HONDA SL 1629 TGT 1591/1583/1576