GOOD MORNING!!!
MARKETS OPENING SESSION WAS POSITIVE AS INVESTORS TOOK CUES FROM HIGHER CLOSE ON THE WALL STREET IN OVERNIGHT TRADE, THE POSITIVE MOMENTUM WITNESSED IN EARLY TRADES DIDN’T LAST TOO LONG AS MIXED CUES FROM REGIONAL PEERS TRIGGERED SOME WORRIES AMONG INVESTORS. MARKETS PARED THEIR EARLY GAINS TO EDGE LOWER IN THE MID-MORNING SESSION AS INVESTORS OPTED TO PROFIT BOOKING AHEAD OF RELEASE OF WEEKLY INFLATION DATA FROM THE GOVERNMENT. THE SELLING PRESSURE GOT INTENSIFIED IN LATE-MORNING TRADES AFTER THE GOVERNMENT DATA SHOWED RISE IN FOOD PRICE INFLATION TO 12.13% DURING THE WEEK ENDED DECEMBER 11, 2010 AS COMPARED TO 9.46% IN THE EARLIER WEEK. INDICES TOUCHED THEIR INTRADAY LOWS IN THE AFTERNOON SESSION. MEANWHILE, THE SELLING PRESSURE GOT ARRESTED IN LATE-AFTERNOON TRADES AND THE MARKETS ONCE AGAIN INCHED CLOSER TO THE NEUTRAL LINE. VOLUME FOR THE DAY WAS THE LOWEST COMPARED TO PAST COUPLE OF SESSIONS AT AROUND RS 98,800 CRORE. THE MARKET BREADTH WAS WEAK, CONSUMER DURABLES, METAL AND REALTY COUNTERS WERE THE MAJOR LAGGARDS ON THE BOURSES WHILE HEALTHCARE, SOFTWARE AND TECHNOLOGY STOCKS SHOWED SOME RESILIENCE IN TRADE.
TODAY NIFTY MAY BE RANGE BOUND, IF NIFTY TRADES BELOW 5980 THEN ONE CAN GO SHORT FOR A TARGET OF 5955 AND BREAK BELOW THIS POINT WOULD TAKE NIFTY TO 5935 LEVELS AND ANY TRADE BELOW THIS LEVEL WOULD DRAG NIFTY TO 5912, IF NIFTY CLOSES BELOW 5980 THEN LIKELY TO SEE NEGATIVE MOVEMENT IN THE NIFTY IN DAYS AHEAD. ON THE POSITIVE SIDE IF NIFTY TRADES ABOVE 6011 THEN WE CAN SEE NIFTY TO MOVE UP TO 6030 LEVELS AND BREAK ABOVE THIS LIKELY TO MOVE UP TO 6060 AND THEN TO 6093 LEVELS. ONE IS ADVISED TO STAY SHORT AT EVERY HIGHER LEVELS KEEPING 6030 AS STOPLOSS ON INTRADAY. SUGAR STOCKS LOOKING VERY GOOD.
BUY POLARIS SL 178 TGT 182.75/185/187.40 (SHORT TERM 210)*
BUY OFSS SL 2309 TGT 2331/2344/2362 (SHORT TERM 2700)*
BUY BERGER PAINTS SL 108 TGT 111/114/117* (SHORT TERM 145)*
