VOLATILITY WAS VERY HIGH IN THE LAST TRADING SESSION ON THE EXPECTATIONS OF IIP NUMBERS INDICES SURGED ON STRONG INDUSTRIAL OUTPUT DATA. BREADTH OF THE MARKET REMAINED POSITIVE THOUGH INTRADAY VOLATILITY ON THE BOURSES WAS IMMENSE. INDUSTRIAL OUTPUT ROSE 9.1% IN SEPTEMBER 2009 OVER SEPTEMBER 2008. THE GOVERNMENT REVISED UPWARDS THE INDUSTRIAL PRODUCTION GROWTH FOR AUGUST 2009 TO 11% FROM 10.4%. CONSUMER DURABLE GOODS OUTPUT SURGED BY AN ANNUAL 22.2%, MANUFACTURING PRODUCTION ROSE 9.3%, MINING OUTPUT WAS UP 8.6% AND POWER GENERATION ROSE 7.9% IN SEPTEMBER 2009 OVER SEPTEMBER 2008. THE FOOD PRICE INDEX WAS UP 13.68% IN 12 MONTHS TO 31 OCTOBER 2009, THE FUEL INDEX WAS DOWN 1.71%. ONE CANNOT RULE OUT THE DOWNFALL AT ANY STAGE AS THE RECOVERY OR UPMOVE OF 500 POINTS WAS JUST IN 5 STRAIGHT TRADING SESSIONS SO ONE SHOULD BE VERY CAUTIOUS ON INVESTING AND THERE IS EVERY CHANCE THAT MARKET CAN MAKE A RETRACEMENT OR CORRECT TO 120 TO 150 NIFTY POINTS SO ONE CAN ADD ON THE DOWNSIDE FOLLOWING A STRICT STOPLOSS.
TODAY MARKET WOULD REMAIN VOLATILE ON A RANGE BOUND TRADE. IF NIFTY SUSTAINS ABOVE 5022 THEN IT IS LIKELY TO TOUCH 5072 AND BREAK ABOVE THIS POINT IS CONSIDERED TO BE A GOOD UPSIDE MOVE AND ABOVE 5072 IF TRADES THEN IT MAY TAKE NIFTY TO 5159 CLOSE ANYTHING ABOVE 5072 IS CONSIDERED TO BE BULLISH AND ONE CAN STAY LONG WITH 1/4 OF HEDGING ON THE OVERALL PORTFOLIO. ON THE NEGATIVE ZONE IF NIFTY BREACHES 4974 THEN WE CAN SEE NIFTY TO SLIDE DOWN TO 4937 AND THEN TO 4909. IF NIFTY CLOSES BELOW 4909 ON THE CLOSING BASIS ONE CAN CARRY SHORT POSITIONS FOR THE NEXT TRADING SESSION.
BUY HEROHONDA SL 1567 TGT 1590/1612/1627
BUY MARUTI SL 1460 TGT 1502/1518/1538
BUY JINDALSTEEL SL 692 TGT 711/722
SELL ASHOK LEYLAND SL 52.75 TGT 51.7/50.90
SELL INDIA CEMENTS SL 104.5 TGT 102/97
SELL POWER GRID SL 105.4 TGT 102.75/100.6
SELL SBI SL 2313 TGT 2258/2236/2215
SELL TECHM SL 1016 TGT 986/968/944
SELL UNITECH SL 84.7 TGT 82/79.75
POSITIONAL TRADES
BUY GMDC TGT 165 -> MEDIUM TERM
BUY NELCAST LTD TGT 75 -> SHORT TERM
BUY ELECON ENG TGT 100 -> SHORT TERM
BUY CRISIL TGT 4380 -> MOMENTUM
BUY HUNNUG TOYS TGT 133 -> MOMENTUM
BUY KOTHARI SUGARS TGT 12.5/13/13.75 -> MOMENTUM
BUY LYKA LABS TGT 44 -> MOMENTUM
TODAY MARKET WOULD REMAIN VOLATILE ON A RANGE BOUND TRADE. IF NIFTY SUSTAINS ABOVE 5022 THEN IT IS LIKELY TO TOUCH 5072 AND BREAK ABOVE THIS POINT IS CONSIDERED TO BE A GOOD UPSIDE MOVE AND ABOVE 5072 IF TRADES THEN IT MAY TAKE NIFTY TO 5159 CLOSE ANYTHING ABOVE 5072 IS CONSIDERED TO BE BULLISH AND ONE CAN STAY LONG WITH 1/4 OF HEDGING ON THE OVERALL PORTFOLIO. ON THE NEGATIVE ZONE IF NIFTY BREACHES 4974 THEN WE CAN SEE NIFTY TO SLIDE DOWN TO 4937 AND THEN TO 4909. IF NIFTY CLOSES BELOW 4909 ON THE CLOSING BASIS ONE CAN CARRY SHORT POSITIONS FOR THE NEXT TRADING SESSION.
BUY HEROHONDA SL 1567 TGT 1590/1612/1627
BUY MARUTI SL 1460 TGT 1502/1518/1538
BUY JINDALSTEEL SL 692 TGT 711/722
SELL ASHOK LEYLAND SL 52.75 TGT 51.7/50.90
SELL INDIA CEMENTS SL 104.5 TGT 102/97
SELL POWER GRID SL 105.4 TGT 102.75/100.6
SELL SBI SL 2313 TGT 2258/2236/2215
SELL TECHM SL 1016 TGT 986/968/944
SELL UNITECH SL 84.7 TGT 82/79.75
POSITIONAL TRADES
BUY GMDC TGT 165 -> MEDIUM TERM
BUY NELCAST LTD TGT 75 -> SHORT TERM
BUY ELECON ENG TGT 100 -> SHORT TERM
BUY CRISIL TGT 4380 -> MOMENTUM
BUY HUNNUG TOYS TGT 133 -> MOMENTUM
BUY KOTHARI SUGARS TGT 12.5/13/13.75 -> MOMENTUM
BUY LYKA LABS TGT 44 -> MOMENTUM
