GOOD MORNING!!!
INDICES GAINED AS THE US DOLLAR FELL SHARPLY AGAINST ALL THE MAJOR RIVALS AFTER FINANCE MINISTERS AND CENTRAL BANKERS FROM THE GROUP OF 20 LEADING ECONOMIC POWERS PLEDGED TO KEEP MASSIVE STIMULUS MEASURES IN PLACE UNTIL THE GLOBAL RECOVERY STRENGTHENS. CLOSER HOME, HOPES OF A PICK-UP IN THE PACE OF ECONOMIC REFORMS FURTHER BOLSTERED BULLS. BANKING, FMCG, AUTO, METAL AND REALTY STOCKS JUMPED. BANKING WAS THE OUT PERFORMER. INDICES HEAVY WEIGHT RELIANCE INDUSTRIES (RIL) EXTENDED SURGED ON REPORTS THE FIRM IS CLOSE TO ANNOUNCING A MAJOR OVERSEAS ACQUISITION. INDIA'S LARGEST ENGINEERING AND CONSTRUCTION FIRM BY SALES LARSEN & TOUBRO ROSE AFTER IT WON FRESH ORDERS. THE MARKET BREADTH WAS STRONG. WITH SHORT-TERM INTEREST RATES VERY LOW, GLOBAL TRADERS HAVE TURNED TO BORROWING FUNDS CHEAPLY IN THE US AND THEN REINVESTING THE PROCEEDS IN EQUITIES AND COMMODITIES, LOOKING TO LOCK IN HIGHER RETURNS AND BENEFITING FROM FURTHER EROSION IN THE DOLLAR. THESE SO CALLED US DOLLAR CARRY TRADES HAVE KEPT PUTTING PRESSURE ON THE DOLLAR AS INVESTORS SHORT THE CURRENCY TO INVEST ELSEWHERE. PRIME MINISTER MANMOHAN SINGH SAID THE GOVERNMENT WOULD ACCELERATE THE SALE OF STAKES IN STATE-RUN COMPANIES.
TODAY MARKET LOOKS POSITIVE WITH GLOBAL QUES TRADING ON A VERY POSITIVE NOTE. STRUCTURALLY MARKETS HAVE BECOME STRONG AND AS TOLD IN THE LAST 2 DAYS IF NIFTY TRADE ABOVE 4860 THERE IS NO DOUBT FOR NIFTY HITTING 4835 NOW THAT THE TARGET OF 4935 WOULD BE ACHIEVED IN THE OPENING THIS STRONG MOVE MAY TAKE NIFTY TO 5040 IF NIFTY MOVES TO 5040 QUICKLY THEN THERE IS EVERY POSSIBILITY THAT NIFTY MAY MOVE UP FURTHER PUTTING A LOT OF PRESSURE ON SHORT COVERINGS, WITH SHORT COVERINGS MARKET MAY FURTHER MOVE UP THERE BY TAKING NIFTY TO NEW HIGHS FOR TODAY IF NIFTY TRADES ABOVE 4935 THEN IT IS LIKELY TO MOVE UP TO 4971 AND TRADE ABOVE THIS WOULD TAKE NIFTY TO 5040. AND ON THE NEGATIVE SIDE IF NIFTY TRADES BELOW 4860 THEN ONE CAN SEE NIFTY TO SLIDE DOWN TO 4800.
BUY SBI SL TGT 2338/2352/2379
BUY HINDALCO SL127.9 TGT 133/135/137
BUY JSL ABOVE 103 SL 101.90 TGT 107/112/117
POSITIONAL TRADES
BUY MAYUR UNIQUTEORS TGT 150 (SHORT TERM)
TODAY MARKET LOOKS POSITIVE WITH GLOBAL QUES TRADING ON A VERY POSITIVE NOTE. STRUCTURALLY MARKETS HAVE BECOME STRONG AND AS TOLD IN THE LAST 2 DAYS IF NIFTY TRADE ABOVE 4860 THERE IS NO DOUBT FOR NIFTY HITTING 4835 NOW THAT THE TARGET OF 4935 WOULD BE ACHIEVED IN THE OPENING THIS STRONG MOVE MAY TAKE NIFTY TO 5040 IF NIFTY MOVES TO 5040 QUICKLY THEN THERE IS EVERY POSSIBILITY THAT NIFTY MAY MOVE UP FURTHER PUTTING A LOT OF PRESSURE ON SHORT COVERINGS, WITH SHORT COVERINGS MARKET MAY FURTHER MOVE UP THERE BY TAKING NIFTY TO NEW HIGHS FOR TODAY IF NIFTY TRADES ABOVE 4935 THEN IT IS LIKELY TO MOVE UP TO 4971 AND TRADE ABOVE THIS WOULD TAKE NIFTY TO 5040. AND ON THE NEGATIVE SIDE IF NIFTY TRADES BELOW 4860 THEN ONE CAN SEE NIFTY TO SLIDE DOWN TO 4800.
BUY SBI SL TGT 2338/2352/2379
BUY HINDALCO SL127.9 TGT 133/135/137
BUY JSL ABOVE 103 SL 101.90 TGT 107/112/117
POSITIONAL TRADES
BUY MAYUR UNIQUTEORS TGT 150 (SHORT TERM)
