GOOD MORNING!!!
THE MARKET CAME OFF THE LOWER LEVEL IN MORNING TRADE AS ASIAN STOCKS AND US INDEX FUTURES RECOVERED FROM INITIAL SHARP LOSSES. A BOUT OF VOLATILITY WAS WITNESSED IN MID-MORNING TRADE AFTER THE GOVERNMENT RELEASED INDUSTRIAL PRODUCTION DATA. A STRONG REBOUND WAS WITNESSED IN AFTERNOON TRADE. STRONG RESULTS FROM STATE BANK OF INDIA PROPELLED BUYING IN AFTERNOON TRADE, INDICES HIT A FRESH INTRADAY HIGH, AFTER MOVING IN A NARROW RANGE BOUND INDICES MANAGED TO CLOSE FLAT. THE LATEST INFLATION DATA SHOWED FOOD PRICE INDEX ROSE 11.40% IN THE YEAR TO 31 JULY 2010, WHILE THE FUEL PRICE INDEX CLIMBED 12.66%. FOOD INFLATION ACCELERATED FROM THE PREVIOUS WEEK'S ANNUAL RISE OF 9.53% WHILE FUEL INFLATION EASED FROM THE WEEK-AGO READING OF 14.26%. THE PRIMARY ARTICLES INDEX ROSE 15.66% COMPARED WITH THE PREVIOUS WEEK'S READING OF 14.36%. THE INDUSTRIAL OUTPUT ROSE 7.1% IN JUNE 2010 COMPARED WITH REVISED 11.3% RISE IN MAY 2010. MANUFACTURING GREW 7.3%, MINING SECTOR GREW 9.5%, CONSUMER GOODS SECTOR ROSE 8.3%, CAPITAL GOODS SECTOR EXPANDED 9.7% AND ELECTRICITY GENERATION ROSE 3.5%.
TODAY WE EXPECT MARKET TO TRADE RANGE BOUND, ONE HAS TO STAY CAUTIOUS FROM HERE ON AT EVERY LEVEL ON THE UPSIDE. IT LOOKS LIKE WE STRIVE HARD TO MAKE PEANUTS IN THIS MARKET ON THE UPSIDE BUT IF ONE IS STUCK IN ANY OF THE COUNTER MAY HAVE TO STAY INVESTED FOR LONG TIME TO GET OUT OF IT AND LOOSE LOT OF OPPORTUNITY AS WELL SO ADVISED ONLY TO GO LONG IN STOCK SPECIFIC COUNTERS. TODAY IF NIFTY TRADES ABOVE 5430 MARKET MAY MOVE UPTO 5450 LEVELS AND ANY UP MOVE FROM THERE ON MAY TAKE NIFTY TO 5476 AND ON THE DOWNSIDE IF NIFTY TRADES BELOW 5404 THEN LIKELY TO COME DOWN TO 5372 LEVELS AND ANY BREAK BELOW 5372 MAY TAKE NIFTY TO 5350 AND THEN TO 5320 LEVELS AND ANY CLOSE BELOW 5372 IS A WEAK CLOSING IN NIFTY.
BUY RECLTD SL 330 TGT 340/345/355
BUY GMR INFRA SL 61 TGT 62.5/63.6/64.25
POSITIONAL TRADES
BUY LIBERTY SHOES SL 101.5 TGT 125/140/200
THE MARKET CAME OFF THE LOWER LEVEL IN MORNING TRADE AS ASIAN STOCKS AND US INDEX FUTURES RECOVERED FROM INITIAL SHARP LOSSES. A BOUT OF VOLATILITY WAS WITNESSED IN MID-MORNING TRADE AFTER THE GOVERNMENT RELEASED INDUSTRIAL PRODUCTION DATA. A STRONG REBOUND WAS WITNESSED IN AFTERNOON TRADE. STRONG RESULTS FROM STATE BANK OF INDIA PROPELLED BUYING IN AFTERNOON TRADE, INDICES HIT A FRESH INTRADAY HIGH, AFTER MOVING IN A NARROW RANGE BOUND INDICES MANAGED TO CLOSE FLAT. THE LATEST INFLATION DATA SHOWED FOOD PRICE INDEX ROSE 11.40% IN THE YEAR TO 31 JULY 2010, WHILE THE FUEL PRICE INDEX CLIMBED 12.66%. FOOD INFLATION ACCELERATED FROM THE PREVIOUS WEEK'S ANNUAL RISE OF 9.53% WHILE FUEL INFLATION EASED FROM THE WEEK-AGO READING OF 14.26%. THE PRIMARY ARTICLES INDEX ROSE 15.66% COMPARED WITH THE PREVIOUS WEEK'S READING OF 14.36%. THE INDUSTRIAL OUTPUT ROSE 7.1% IN JUNE 2010 COMPARED WITH REVISED 11.3% RISE IN MAY 2010. MANUFACTURING GREW 7.3%, MINING SECTOR GREW 9.5%, CONSUMER GOODS SECTOR ROSE 8.3%, CAPITAL GOODS SECTOR EXPANDED 9.7% AND ELECTRICITY GENERATION ROSE 3.5%.
TODAY WE EXPECT MARKET TO TRADE RANGE BOUND, ONE HAS TO STAY CAUTIOUS FROM HERE ON AT EVERY LEVEL ON THE UPSIDE. IT LOOKS LIKE WE STRIVE HARD TO MAKE PEANUTS IN THIS MARKET ON THE UPSIDE BUT IF ONE IS STUCK IN ANY OF THE COUNTER MAY HAVE TO STAY INVESTED FOR LONG TIME TO GET OUT OF IT AND LOOSE LOT OF OPPORTUNITY AS WELL SO ADVISED ONLY TO GO LONG IN STOCK SPECIFIC COUNTERS. TODAY IF NIFTY TRADES ABOVE 5430 MARKET MAY MOVE UPTO 5450 LEVELS AND ANY UP MOVE FROM THERE ON MAY TAKE NIFTY TO 5476 AND ON THE DOWNSIDE IF NIFTY TRADES BELOW 5404 THEN LIKELY TO COME DOWN TO 5372 LEVELS AND ANY BREAK BELOW 5372 MAY TAKE NIFTY TO 5350 AND THEN TO 5320 LEVELS AND ANY CLOSE BELOW 5372 IS A WEAK CLOSING IN NIFTY.
BUY RECLTD SL 330 TGT 340/345/355
BUY GMR INFRA SL 61 TGT 62.5/63.6/64.25
POSITIONAL TRADES
BUY LIBERTY SHOES SL 101.5 TGT 125/140/200
