Thursday, October 11, 2007


: - Open 5328 High 5454 Low 5328 Close 5441 (+114 points)

P/E 24.78 P/B 5.94 Adv 34 Dec 16

Supp 5400/5365/5260 Res 5480/5522/5550

SENSEX: - Open 18473 High 18703 Low 18436 Close 18658 (+378 pts)

Supp 18590/18430/18320 Res 18750/18900/19030

More Gains:-

· Tech stocks and Capital Goods helped the Sensex gain another 378 points. Infosys rose 4%. BHEL, L&T, ABB rallied.

· Volumes were higher at Rs 21246 Cr in spot market and F&O Vol at Rs 79786 Cr.

· Breadth was flat– BSE Adv 1456 Dec 1511 Unch 75 NSE Adv 563 Dec 518 Unch 32

· FIIs bought Rs 1462 Cr equity in spot market whereas domestic institutional investor sold Rs 696 Cr. FII’s continue to buy Index Derivatives, which was worth Rs 531 Cr. They sold stock futures Rs 643 Cr.

Top Gainers: - Tata Power, RPL, L&T, VSNL, Suzlon

Top Losers: - Hind Petro, Nalco, BPCL, Dr Reddy, MTNL

Indian ADRs: -

Outlook for Thursday:-

· Infosys results will be out this morning. Any positive surprise there and we will see strong buying in technology stocks. 3I Infotech (152), which is still consolidating around the recommended price only, should target 164 and 185 as it breaks out above 158.

· One should keep in mind that markets can remain in overbought mode for long times. 17K, 18K or even 19K is just a milestone for the Sensex. As long as there is liquidity, we will move up for sure. But things start getting problematic when a rally is assumed. Consider 18300 as a short-term support level below which some selling can happen.

· DLF (894):- Buy for target of 975-990. Keep SL around 865.

(Keep SL in short-term trades)

Results today – Infosys, Idea, Container Corp, Mastek, Abhishek Ind, Solar Explosives Infosys Q2 Guidance RBI calls for curbs on PN, PE inflows

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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