GOOD MORNING!!!
THE KEY BENCHMARK INDICES LOGGED DECENT GAINS IN WHAT WAS A CHOPPY TRADING SESSION. AFTER SUFFERING AN INITIAL SETBACK, THE MARKET STAGED A COMEBACK AS ASIAN STOCKS AND US INDEX FUTURES ROSE, SENSEX REGAINED THE PSYCHOLOGICAL 16,000 MARK. THE MARKET BREADTH WAS POSITIVE. PSU, POWER, TELECOM AND INFRASTRUCTURE STOCKS GAINED ON FRESH BUYING. CEMENT STOCKS SURGED ON REPORTS CEMENT MAKERS HAVE RAISED PRICES EFFECTIVE FROM 1 FEBRUARY 2010. IT STOCKS GAINED ON BARGAIN HUNTING AFTER A RECENT FALL. BUT RATE SENSITIVE REALTY SHARES DECLINED ON FEARS A HIKE IN INTEREST RATE FOLLOWING INFLATIONARY PRESSURES IN THE DOMESTIC ECONOMY. AUTO PIVOTALS ALSO DECLINED. INDEX HEAVYWEIGHT RELIANCE INDUSTRIES (RIL) RECOVERED FROM DAY'S LOW THE MARKET WAS VOLATILE. EQUITIES HAD A DULL START AFTER THE US MARKETS SUFFERED A SEVERE SETBACK ON MONDAY WITH THE DOW SLIDING BELOW THE 10,000 MARK. RISING FEARS OF POSSIBILITY THAT THE GOVERNMENT MAY START TO UNWIND ITS FISCAL STIMULUS IN THE FORTHCOMING BUDGET. THE MARKET STAGED A STRONG INTRADAY REBOUND IN MORNING TRADE AS ASIAN STOCKS ROSE.
TODAY NIFTY WOULD OPEN GAP UP AND NIFTY WOULD BE ON THE POSITIVE BIAS. TODAY IT WILL OPEN GAP UP AND TRADE ABOVE 4825 WOULD TAKE NIFTY TO 4865 AND ANY TRADE ABOVE 4865 AND TRADE ABOVE THIS POINT WOULD LEAD NIFTY TO 4909 LEVELS. ON THE NEGATIVE SIDE IF NIFTY TRADES BELOW 4740 THEN LIKELY TO SEE A DIP TILL 4718 AND BREAK BELOW THIS LEVEL MAY TOUCH 4700 BUT BREAK BELOW THIS LEVEL IS CONSIDERED TO BE WEAK AND CAN DRAG NIFTY TO NEW LOWS.
BUY RELIANCE INFRA SL 1049 TGT 1061/1077/1089
BUY LITL SL 48.4 TGT 51/53
BUY RPOWER SL 141.7 TGT 145/147
BUY GRASIM SL 2665 TGT 2690/2715/2730
BUY ICICI BANK SL 804 TGT 824/836/844
