DAILY REPORT FOR 29 NOVEMBER, 2006
NIFTY: - Open 3966 High 3966 Low 3912 Close 3922
Supp 3902/3865/3842 Res 3936/3956/3976
SENSEX: - Open 13691 High 13691 Low 13577 Close 13602
Supp 13550/13480/13450 Res 13630/13670/13740
What happened Yesterday:-
Markets opened lower on weak global cues. Markets remained down the whole day. Still there were gains in some index stocks such as Glaxo, Sun Pharma, SBI. The biggest loser on nifty was HCL Tech which was down almost 4%. Other losers were SAIL, Satyam, Reliance Communication. Tech stocks were the biggest losers yesterday. FIIs net sold Rs 439 Cr as per provisional figure yesterday.
What shall we witness on Wednesday:-
We have seen Nifty rallying from 2596 levels in mid-June till now up to 3977. It has been a 1381 point rally on the nifty itself. It corresponds with exactly 5000 points on the Sensex. FIIs have become sellers after many days in cash markets. The Open Interest is also at a high level again after May-2006. And after such a large position in short in F&O market, markets are not able to move up. So investors are advised to take some profits and stay in good cash levels.
Disclaimer: These recommendations are based on the theory of technical analysis and personal observations. This does not claim for profit. I am not responsible for any losses made by traders. It is only the outlook of the market with reference to its previous performance. You are advised to take your position with your sense and judgment. I am trying to consider the fundamental validity of stocks as far as possible, but demand and supply affects it with vision variations.