Friday, August 31, 2007


NIFTY: - Open 4360 High 4422 Low 4359 Close 4412 (+53 pts)

P/E 19.96 P/B 5.02 Adv 40 Dec 10

Supp 4385/4360/4325 Res 4432/4455/4470

SENSEX: - Open 15168 High 15200 Low 15053 Close 15121 (+128 pts)

Supp 15035/14960/14820 Res 15200/15240/15350

Rally on expiry:-

· Sensex opened gap-up by 176 points but gains were lost in mid-trade as we touched 15053. Finally we could close up by 128 points

· Volumes were higher at Rs 15126 Cr in spot market. F&O Vol Rs 71282 Cr

· Breadth too was positive - NSE Adv 654 Dec 402 Unch 37 BSE Adv 1744 Dec 1190 Unch 82

· FIIs Net Sellers Rs 563 Cr in Cash Market, Domestic Institutions Net Buyers Rs 352 Cr, FIIs bought Rs 201 Cr in Index Fut and sold Rs 53 Cr in Stock Fut.

· Cement stocks like ACC, Grasim gained some ground. Auto index too performed as Tata Motors, Maruti, M&M saw good buying.

Top Gainers: - VSNL, Glaxo, Ster Ind, Siemens, M&M

Top Losers: - Nalco, Cipla, REL, GAIL, Hind Petro

Indian ADRs: -

Outlook for Friday:-

· Markets to open positive on strong Asian markets but we may remain range-bound as long as 15240 is not crossed on the Sensex.

· RBI has said that inflation concerns persist because of high global commodity prices and capital flows. Those numbers will be out today.

· Pharmaceutical stocks like Dr Reddy, Auro Pharma and Ranbaxy look positive. Ranbaxy can target 430-440 levels.

· The market has become very stock-specific. Accumulating good stocks in times of crash will help investors in the long run. Short term players should keep churning their portfolios by booking profits at regular intervals.

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.

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