GOOD MORNING!!!
LATE RECOVERY IN THE INDIAN MARKETS HELPED INDICES TO CLOSE THE WEEK ON A POSITIVE NOTE. INITIALLY THOUGH MARKETS OPENED POSITIVE COULDN’T HOLD THE POSITIVE BREADTH FOR A LONG TIME AND EDGED LOWER IN MINUTES OF OPENING LATER MOVED BACK AND FORTH TILL THE MID MORNING SESSION AFTER THE RBI’S DECISION TO LEAVE POLICY RATES UNCHANGED MARKETS BECAME EXTREMELY VOLATILE THOUGH SELLING INTENSIFIED IN THE AFTERNOON TRACKING WEAK US AND EUROPEAN INDEX FUTURES ALONG WITH THE NEGATIVE CUES FROM THE MOST OF THE ASIAN COUNTERPARTS INDICES MANAGED TO TOUCH INTRADAY LOWS. BUT LATER IN THE LATE AFTERNOON SESSION SITUATION FOR THE BEARS WORSENED BY THE END OF THE SESSION AND BARRING CAPITAL GOODS AND POWER COUNTERS, ALL OTHER SECTORAL INDICES INCHED HIGHER. SOFTWARE STOCKS WERE THE TOP GAINERS FOLLOWED BY TECHNOLOGY SHARES. BANKING COUNTERS ALSO GAINED STRENGTH AFTER THE RBI ANNOUNCED MEASURES TO EASE LIQUIDITY CRUNCH. BREADTH OF THE MARKETS FROM NEGATIVE TURNED COMPLETELY POSITIVE AT THE END OF THE TRADING SESSION.
TODAY MARKETS WOULD OPEN FLAT AFTER A LONG WEEKEND AND WOULD REMAIN IN RANGE BOUND. TODAY IF NIFTY TRADES ABOVE 5985 THEN MARKETS MAY INCLINE TO 6005 AND BREAK ABOVE THIS POINT WOULD TAKE NIFTY TO 6032 NIFTY MAY FACE RESISTANCE AROUND THIS PLACE AS 5939 IS A 21 DMA. ON THE FLIP SIDE IF NIFTY TRADES BELOW 5955 THEN LIKELY TO COME DOWN TO 5935 LEVELS AND BELOW THIS POINT MAY SLIDE FURTHER DOWN TO 5912, AS 5914 IS A 10 DMA WHICH MAY LIKELY TO TAKE SUPPORT AT THIS LEVELS BUT ANY BREAK BELOW THIS LEVEL WOULD TAKE NIFTY FURTHER LOWER LEVELS. ONE HAS TO BEAR IN MIND THAT WE ARE STILL IN A NEGATIVE PATTERN AND DO NOT BUILD UP LOT OF LONG POSITIONS.
BUY TATA STEEL SL 659 TGT 666/672/679
BUY AUROBINDO PHARMA SL 1317 TGT 1340/1354/1360
BUY POLARIS SL 175 TGT 179/183/186 (SHORT TERM 220)**
BUY ISPAT INDS SL 22 TGT 23/23.40/24.75 (SHORT TERM 30)**
