DAILY REPORT FOR 10 JANUARY, 2008
NIFTY: - Open 6287 High 6338 Low 6231 Close 6272 (-15 points)
P/E 28.22 P/B 6.53 Adv 19 Dec 30 Unch 1
Supp 6220/6160/6110 Res 6350/6390/6445
SENSEX: - Open 20903 High 21113 Low 20701 Close 20869 (-3 pts)
Supp 20700/20400/20070 Res 21100/21280/21500
Not sustaining higher levels:-
· Markets didn’t trade at higher levels for a long time and supply came from above 6300. Finally closing was flat.
· Volumes were lower - Rs 21469 Cr in spot market and F&O Vol at Rs 74171 Cr.
· Breadth was negative – BSE Adv 795 Dec 2142 Unch 21 NSE Adv 379 Dec 756 Unch 11
· Top Gainers: - NTPC, Glaxo, HDFC, RCom, Siemens
Top Losers: - RPL, BPCL, M&M, BHEL, ICICI Bank
· FIIs sold Rs 392 Cr in Cash market and DIIs bought Rs 85 Cr. Foreign investors sold total Rs 1090 Cr in Derivatives market.
· Total OI 129217 Cr (+915 Cr) PCR at 1.34
· Nifty added 1% OI. Discount 7.60
· OI Added:- 3I Info 13%, ACC 11%, BankIndia 27%, CanBk 17%, India Cem 22%, JP Hydro 17%, Kotak Bank 12%, Mphasis 24%, Renuka 30%, VSNL 18%
· OI Shed:- Axis Bank 13%, Karnataka Bank 6%, Parsvnath 8%, PNB 7%, RajeshExpo 8%, RelCap 9%, RPL 7%, SRF 6%, Sun TV 6%, Tulip 6%, UniPhos 7%
Indian ADRs: - http://tinyurl.com/33m7dx
Outlook for Thursday:-
· We are stuck in a range between 21100 and 20700 for the Sensex and only breakout above/below one level will give some trend. Looking at the breadth picture, break of 20700 will give way to some selling and we can see 20400 as the next support level.
· Nifty is showing weak formation on graph and now if 6350 is not decisively crossed, correction will happen. It can last for 3-4 trading sessions. The fall in Nifty can be around 100-150 points in such a case.
· ACC, IDFC, BHEL and SAIL stocks are turning weak and should be traded cautiously on the long side.
· I-flex Solutions (1585):- Buy the stock for target of 1710-1740. Keep SL of 1500
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.