GOOD MORNING!!!
INDICES ENDED THE DAY IN THE RED AFTER TRADING FIRM FOR MOST PART OF THE SESSION. THE TRADE, HOWEVER, REMAINED RANGE BOUND THROUGHOUT THE SESSION. EARLIER IN THE MORNING, THE BENCHMARKS EXTENDED THEIR GAINS AFTER MAKING A FLAT START TRACKING STRONG CUES FROM MOST OF THE REGIONAL PEERS DESPITE CHINA'S CENTRAL BANK'S MOVE TO HIKE KEY RATES OVER THE WEEKEND. THE MARKETS EXTENDED THEIR EARLY GAINS AND HIT THREE-WEEK HIGHS IN MID-MORNING SESSION WHICH WAS SUPPORTED BY FIRM ASIAN COUNTERPARTS. THE TRADE REMAINED RANGE BOUND WITH A POSITIVE BIAS IN THE LATE-MORNING SESSION TRACKING MIXED CUES FROM THE REGIONAL PEERS. IT WAS THE LATE AFTERNOON SESSION WHEN DOMESTIC MARKETS STARTED FEELING SELLING PRESSURE AND SLIPPED INTO THE RED AS DOWN-TICK OF AROUND 2% IN CHINA'S SHANGHAI COMPOSITE SPREAD JITTERS ACROSS LOCAL EQUITIES. IN THE FINAL HOURS OF TRADE, MARKETS TOOK CUES FROM EUROPEAN MARKETS WHICH FELL IN EARLY TRADE, MAKING THE NIFTY TO ONCE AGAIN CLOSE BELOW 6,000-MARK, THOUGH THERE WAS SOME PULLBACK IN LAST HALF AN HOUR OF TRADE, BUT IT WAS TOO LITTLE TO HELP THE MARKETS TO SHUT SHOP IN THE GREEN. THE BROADER INDICES THAT WERE HOLDING THEIR NECK IN THE GREEN DURING MOST PART OF THE DAY, ALSO CAME OFF THEIR DAY'S HIGH IN LATE TRADES. METAL AND REALTY INDICES SHOWED FATIGUE DURING THE DAY'S TRADE WHILE, HEALTHCARE, SOFTWARE AND CONSUMER DURABLES COUNTERS WERE THE STAR PERFORMERS OF THE SESSION. MOREOVER, SUGAR STOCKS LIKE BAJAJ HINDUSTAN AND BALRAMPUR CHINI MILLS ENDED WITH A GAIN OF MORE THAN 1.5-2.5%, AS THE FUTURES TRADING IN SUGAR RESUMED TODAY AFTER A GAP OF ONE-AND-A-HALF YEARS. THE GOVERNMENT HAD EARLIER BANNED SUGAR FUTURES TRADING ON MAY 27, 2009, THE BAN WAS VALID TILL SEPTEMBER 30 THIS YEAR, FOLLOWING WHICH IT WAS ALLOWED TO LAPSE BY THE REGULATOR, THE FORWARD MARKETS COMMISSION (FMC). TELECOM STOCKS VIZ RELIANCE COMMUNICATIONS, BHARTI AIRTEL AND IDEA CELLULAR ALL FINISHED THE DAY'S TRADE WITH A CUT OF MORE THAN 2-3.5%, AS THE DEPARTMENT OF TELECOM (DOT) HAS SLAPPED NOTICES, SEEKING PENALTIES RUNNING INTO HUNDREDS OF CRORE FROM THOSE TELECOM FIRMS, WHICH GOT LICENCES ISSUED BUT HAVE NOT ROLLED OUT SERVICES YET.
TODAY MARKET LOOKS WEAK TRACKING GLOBAL CUES, ONE HAS TO BE VERY CAUTIOUS IN THE MARKETS AS WE ARE NEARING EXPIRY IN COUPLE OF DAYS. TODAY IF NIFTY OPENS POSITIVE ONE CAN GO SHORT AT ANY LEVEL AS IT IS UNLIKELY TO STAY POSITIVE DURING THE DAY. TODAY IF NIFTY TRADES BELOW 6000 THEN WE CAN SEE NIFTY TO SLIDE DOWN TO 5960 AND THEN TO 5920 LEVELS. ON THE POSITIVE SIDE ONLY ABOVE 6040 ONE CAN GO LONG AND NIFTY LIKELY TO MOVE TO 6090 IF CROSSES 6040 LEVELS. AND ONE CAN REMAIN SHORTS OVERNIGHT IF NIFTY CLOSES BELOW 5985 LEVELS.
NO RECOS FOR THE DAY
