GOOD MORNING!!!
MARKET BOUNCED BACK AFTER A WEAK OPENING AS MOST ASIAN STOCKS RECOVERED FROM INITIAL LOSSES TRIGGERED BY A SURPRISE RATE HIKE BY CHINA. BUT, THE INTRADAY RECOVERED PROVED SHORT-LIVED AS THE INDICES SLIPPED INTO THE NEGATIVE ZONE THERE WAS IMMENSE VOLATILITY DURING THE TRADE AND EXTENDED LOSSES TO SLIDE TO THE DAY'S LOWS IN THE AFTERNOON TRADE. THE MARKET BREADTH WAS WEAK, IN CONTRAST WITH A STRONG BREADTH IN MORNING TRADE. METALS WERE THE WORST HIT ON THE BACK OF AN OVER 2% SLIDE IN METAL PRICES ON THE LONDON METAL EXCHANGE ON TUESDAY. FRESH SELLING PULLED THE MARKET TO DAY'S LOW IN EARLY AFTERNOON TRADE. THE MARKET MOVED BETWEEN POSITIVE AND NEGATIVE TERRAIN AFTER RECOVERING SHARPLY FROM THE DAY'S LOW IN AFTERNOON TRADE. A SELL-OFF IN LATE TRADE DRAGGED MARKET TO THE DAY'S LOW.
TODAY MARKET LOOKS RANGE BOUND, WITH THE US AND EUROPE INDICES CLOSING IN GREEN AND ASIAN STOCKS OPENED POSITIVE WE EXPECT MARKETS TO OPEN POSITIVE IN THE OPENING TRADE AND CONTINUE TO REMAIN UNDER PRESSURE ON EVERY UPSIDE. IF NIFTY TRADES ABOVE 6025 THEN LIKELY TO MOVE UPTO 6050 LEVELS AND BREACH ABOVE THIS POINT WOULD TAKE NIFTY TO 6080 LEVELS AND ANY TRADE ABOVE THIS POINT WOULD TAKE IT TO 6098 LEVELS AND ANY CLOSE ABOVE 6127 WOULD TAKE NIFTY TO A POSITIVE ZONE. ON THE NEGATIVE ZONE IF NIFTY TRADES BELOW 6007 THEN LIKELY TO DECLINE DOWN TO 5980 LEVELS AND BELOW THAT LIKELY TO DRAG DOWN TO 5960 LEVELS AND ANY CLOSE BELOW 5960 WOULD DRAG NIFTY TO 5840 LELVELS IN SHORT TERM. ONE CAN BE SHORT BELOW 6127 LEVELS AND TRY TO SQUARE OFF ALL YOUR SHORTS IF NIFTY CLOSES ABOVE 6127 LEVELS. WE MAY SEE FERTILIZERS STOCKS TO MOVE AND WE SEE STOCK SPECIFIC AND SECTOR SPECIFIC MOVES IN THE MARKETS.
BUY GSPL SL 124 TGT 127.5/129.25/132
BUY REI AGRO SL 25.40 TGT 26.25/26.75/27.40 (SHORT TERM 31)
BUY BALLRPUR INDS SL 37.40 TGT 38.50/39.25/40.30
BUY FIEM INDS SL 192 TGT 200/206/211*
BUY TATAMTRDVR SL 800 TGT 824/836/857 (SHORT TERM 1000/1150)*
BUY MERCK LTD SL 895 TGT 930/955/992*
POSITIONAL TRADES
BUY IDBI TGT 200
BUY ALOK TEXT TGT 30
BUY EID PARRY TGT 625*
