GOOD MORNING!!!
INDICES EXTENDED LOSSES ON THE LAST TRADING DAY OF THE WEEK, WITH THE MARKET DECLINING IN ALL THE FIVE TRADING SESSIONS THIS WEEK AS EURO ZONE DEBT WORRIES RATTLED GLOBAL STOCKS. EXCEPT THE OIL & GAS INDEX, ALL THE OTHER SECTORAL INDICES WERE IN THE RED. THE MARKET BREADTH WAS WEAK. REALTY, BANKING, METAL, PHARMA, CAPITAL GOODS AND TELECOM STOCKS FELL. FMCG STOCKS ROSE ON DEFENSIVE BUYING. INDEX HEAVYWEIGHT RELIANCE INDUSTRIES (RIL) EDGED HIGHER AFTER A THREE MEMBER SUPREME COURT BENCH RULED 2-1 IN FAVOUR OF THE COMPANY ON GAS DISPUTE WITH RELIANCE NATURAL RESOURCES (RNRL) THAT NOW GIVES THE GOVERNMENT CONTROL OVER SETTING GAS PRICES. THE COURT ORDERED THE TWO FEUDING FIRMS TO RENEGOTIATE A GAS CONTRACT WHICH WAS FIRST DRAWN UP IN 2005 AS A PART OF A FAMILY SETTLEMENT. RNRL AND OTHER ANIL DHIRUBHAI AMBANI GROUP (ADAG) SHARES SLUMPED. VOLATILITY WAS HIGH.
TODAY MARKET LOOKS POSITIVE ON OPENING AND THERE WOULD BE BARGAIN HAUT AS ALL THE ASIAN STOCKS MOVING POSITIVE AND MARKET LIKELY TO REGAIN STRENGTH. IF NIFTY TRADES ABOVE 5037 THEN LIKELY TO TAKE OFF TO 5100 LEVELS AND BREAK ABOVE THIS POINT WOULD TAKE NIFTY TO 5133 AND TRADING ABOVE THIS POINT WITH GOOD VOLUMES WOULD LEAD MARKET TO 5180 LEVELS AND MAY EVEN SEE SHORTS TO UNWIND. ON THE NEGATIVE SIDE IF NIFTY TRADES BELOW 5000 ONLY THEN ONE CAN TAKE FRESH SHORTS AND HOLD IT, ELSE IT IS WISE TO STAY AWAY FROM SHORTS FOR THE DAY.
BUY JINDALSTEEL & POWER SL 640 TGT 670/684/693
BUY TATAMOTORS SL 758 TGT 773/789/800
BUY LIC HSG SL 905 TGT 925/937/945
BUY HPCL SL 329 TGT 339/343/350
POSITIONAL TRADES
BUY EICHER MOTORS TGT 1035/1300
INDICES EXTENDED LOSSES ON THE LAST TRADING DAY OF THE WEEK, WITH THE MARKET DECLINING IN ALL THE FIVE TRADING SESSIONS THIS WEEK AS EURO ZONE DEBT WORRIES RATTLED GLOBAL STOCKS. EXCEPT THE OIL & GAS INDEX, ALL THE OTHER SECTORAL INDICES WERE IN THE RED. THE MARKET BREADTH WAS WEAK. REALTY, BANKING, METAL, PHARMA, CAPITAL GOODS AND TELECOM STOCKS FELL. FMCG STOCKS ROSE ON DEFENSIVE BUYING. INDEX HEAVYWEIGHT RELIANCE INDUSTRIES (RIL) EDGED HIGHER AFTER A THREE MEMBER SUPREME COURT BENCH RULED 2-1 IN FAVOUR OF THE COMPANY ON GAS DISPUTE WITH RELIANCE NATURAL RESOURCES (RNRL) THAT NOW GIVES THE GOVERNMENT CONTROL OVER SETTING GAS PRICES. THE COURT ORDERED THE TWO FEUDING FIRMS TO RENEGOTIATE A GAS CONTRACT WHICH WAS FIRST DRAWN UP IN 2005 AS A PART OF A FAMILY SETTLEMENT. RNRL AND OTHER ANIL DHIRUBHAI AMBANI GROUP (ADAG) SHARES SLUMPED. VOLATILITY WAS HIGH.
TODAY MARKET LOOKS POSITIVE ON OPENING AND THERE WOULD BE BARGAIN HAUT AS ALL THE ASIAN STOCKS MOVING POSITIVE AND MARKET LIKELY TO REGAIN STRENGTH. IF NIFTY TRADES ABOVE 5037 THEN LIKELY TO TAKE OFF TO 5100 LEVELS AND BREAK ABOVE THIS POINT WOULD TAKE NIFTY TO 5133 AND TRADING ABOVE THIS POINT WITH GOOD VOLUMES WOULD LEAD MARKET TO 5180 LEVELS AND MAY EVEN SEE SHORTS TO UNWIND. ON THE NEGATIVE SIDE IF NIFTY TRADES BELOW 5000 ONLY THEN ONE CAN TAKE FRESH SHORTS AND HOLD IT, ELSE IT IS WISE TO STAY AWAY FROM SHORTS FOR THE DAY.
BUY JINDALSTEEL & POWER SL 640 TGT 670/684/693
BUY TATAMOTORS SL 758 TGT 773/789/800
BUY LIC HSG SL 905 TGT 925/937/945
BUY HPCL SL 329 TGT 339/343/350
POSITIONAL TRADES
BUY EICHER MOTORS TGT 1035/1300
