Thursday, November 30, 2006

DAILY REPORT FOR 30 NOVEMBER, 2006

NIFTY: - Open 3923 High 3952 Low 3920 Close 3928
Supp 3915/3900/3880 Res 3948/3966/3980

SENSEX: - Open 13649 High 13712 Low 586 Close 13617
Supp 13560/13500/13440 Res 13690/13765/13820

What happened Yesterday:-
Markets opened very strong but could not hold on to their gains. Stocks like ACC, SAIL, Sun Pharma, Grasim outperformed the market and rose sharply whereas Hind Petro, Cipla, BPCL lost some ground. Global markets came back strongly yesterday. Dow and Nasdaq fared well and were up almost 1 % each.

What shall we witness on Thursday:-
Today is F&O expiry day for November month contracts. The global cues are extremely positive today. As all the global markets are performing well, our markets are expected to open very strong today. There must be a huge f&o short build-up which will infuse further rally in the markets. When all the world markets are performing, we see some euphoria building up in the markets. And this can happen here also. Up till this time we were looking at a systematic bull market. Now we may see gap-up openings and then again carrying the gains for the whole day and also additions at the end. The old days of crazy rallies may come back where speculators are plenty and investors have to a bit shy. Markets are not still expensive but investors should now calculate their own risks and then take a bet.

Where’s the money:-

ABB(3520):- Buy this stock for short term. The stock should target 3650/3800 from these levels. SL can be kept around 3430 levels.

Alstom Projects(431):- Buy with SL 420 and target 460 and above.

Cipla(249):- Buy with SL 235 for target of 270-275 in short term.

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.

No comments: