GOOD MORNING!!!
LAST TRADING DAY WE HAVE WITNESSED AN IMMENSE INTRADAY VOLATALITY. THE MARKET RECOVERED FROM LOWER LEVEL FROM AN INITIAL SLIDE TRIGGERED BY WEAK ASIAN STOCKS. THE SENSEX MOVED INTO POSITIVE ZONE. IT FELL ONCE AGAIN INTO THE RED IN MID-MORNING TRADE. THE MARKET SURGED IN EARLY AFTERNOON TRADE AS STOCKS ROSE IN CHINA AND JAPAN. THE RESERVE BANK OF INDIA (RBI) IS LIKELY TO REVISE UPWARDS GROWTH FORECASTS FOR 2009/10 WHEN IT REVIEWS POLICY IN JANUARY 2010 AND MONETARY ACTION MAY BE NEEDED IF INFLATION ACCELERATES, INDIA'S EXIT FROM ITS LOOSE POLICY WOULD BE A CHALLENGE AND MANAGING THE CRISIS WAS EASIER THAN MANAGING THE RECOVERY NOW. MANAGING CAPITAL INFLOWS IS AGAIN AN IMPORTANT ISSUE BECAUSE LARGE CAPITAL INFLOWS AND ASSET PRICES COULD FEED ON EACH OTHER AND THIS COULD BE DESTABILIZING. MONEY SUPPLY GROWTH, WHICH WAS VERY LOW THIS YEAR COMPARED WITH IN THE PREVIOUS TWO YEARS, HAVE IMPLICATIONS FOR MONETARY POLICY.
TODAY MARKETS WOULD BE RANGE BOUND AND NEGATIVELY BIASED. IF NIFTY TRADES BELOW 5111 THEN IT IS LIKELY TO TEST 5070 LEVELS AND BREAK BELOW THIS LEVEL WOULD TAKE NIFTY TO 5040 WHERE IT MAY HAVE A LITTLE RESISTANCE BUT BREAK BELOW THIS LEVEL WOULD TAKE IT TO 5003. AND ON THE UPSIDE IF NIFTY TRADES ABOVE 5140 IT IS LIKELY TO TOUCH 5164 LEVELS BUT ANY CLOSE ABOVE 5165 IS CONSIDERED TO BE VERY BULLISH AND CLOSING BELOW 5097 IS CONSIDERED TO BE BEARISH. ONE CAN LOOK AT MEDIA STOCKS FOR INTRADAY LIKE TIPS INDUSTRIES, BALAJI TELEFILMS, SHREE ASHTAVINAYAK CINE VISION, CINEMAX INDIA, INOX LEISURE YOU CAN SEE ATLEAST 5% SURGE IN THESE STOCKS.
BUY FORTIS HEALTHCARE SL 114 TGT 125/129
BUY TATAMOTORS FUTURES SL 699 TGT 710/722
BUY JINDALSTEEL SL 719 TGT 736/744
BUY BALAJI TELEFILMS AT 54 TGT UPPER CIRCUIT
BUY CINEMAX INDIA LTD AT 59.75 TGT UPPER CIRCUIT
BUY INOX LEISURE LTD AT 60 TGT UPPER CIRCUIT
SELL MARUTI SL 1611 TGT 1591/1582/1576
POSITIONAL TRADES
