DAILY REPORT FOR 18 OCTOBER, 2007

NIFTY: - Open 5658 High 5658 Low 5107 Close 5559 (-109 points)

P/E 25.20 P/B 5.78 Adv 11 Dec 39

Supp 5440/5350/5290 Res 5665/5710/5780

SENSEX: - Open 18037 High 18841 Low 17307 Close 18715 (-336 pts)

Supp 18500/18260/18140 Res 18850/19050/19200

Lower circuit and then recovery:-

· SEBI recommendations created a negative sentiment and as markets opened, indices hit the lower circuit of 10%. But markets recovered smartly when they re-opened and we could close 336 pts down on the Sensex.

· Volumes were quite high - Rs 24061 Cr in spot market and F&O Vol at Rs 98395 Cr.

· Breadth was negative – BSE Adv 1102 Dec 1883 Unch 64 NSE Adv 240 Dec 853 Unch 27

· FIIs sold big Rs 2012 Cr and Domestic Inst Inv turned buyers to the tune of Rs 285 Cr after many days. This indicates that FIIs must have lightened some positions whereas Mutual Funds may have given support to the market. Foreign investors sold Rs 3845 Cr Index Fut. But they bought into index options worth Rs 455 Cr. They were net sellers in Stock Fut Rs 839 Cr.

· Tech stocks moved up bucking the overall downtrend. TCS, HCL Tech and Satyam were amongst top gainers. Bank stocks lost the most. Bank of India, Allahabad Bank, Kotak Bank and SBI were major losers.

Top Gainers: - Siemens, TCS, ABB, HCL Tech, Satyam Comp

Top Losers: - Tata Power, Rel Energy, ACC, SBI, BHEL

Indian ADRs: - http://tinyurl.com/33m7dx

Outlook for Thursday:-

· NSE Derivatives total open interest is very high at Rs 101563 Cr though it was down 4% yesterday. Many stocks lost OI yesterday as many market players must have cut positions as a result of market volatility.

· Although we recovered 1500 points intraday yesterday, breadth did remain negative. This is a cause of concern and one needs to be very stock-specific from hereon. Reliance group stocks are still quite heavy and some caution is advised while trading those stocks. Tech stocks are defensive bets at this point of time and one should add them whenever some panic happens in them.

· Next day or two are crucial as a lot of volatility is expected with such a high OI position. Nifty has good resistance at 5665 to 5710 which if not crossed in next 2-3 days, correction can set in and we will see lower levels once again. Above that we will see short-covering taking us higher towards 5830 levels. For today’s trading, support can come in at 5440 and 5290. It is better to avoid hasty buying in hot stocks.

· TCS (1095):- Buy around 1070-1080 for target 1140-1150

(Keep SL in short-term trades)

Results today – ACC, Biocon, Garware Off, GMR Infra, Great Off, Hero Honda, Hexaware, Kir Oil Eng, Mah Scooter, Megasoft, Merck, Motilal Oswal Fin, Omaxe, Orchid Chem, Petronet LNG, Ranbaxy, Reliance, SKF India, Tanla, Trent, Unichem Labs

Dr Reddy's scouts for partner to enter Japanese market http://economictimes.indiatimes.com/Dr_Reddys_scouts_for_partner_to_enter_Japanese_market/articleshow/2464987.cms

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.

DAILY REPORT FOR 17 OCTOBER, 2007

NIFTY: - Open 5670 High 5708 Low 5578 Close 5668 (-2 points)

P/E 25.71 P/B 5.90 Adv 20 Dec 30

Supp 5510/5400/5215 Res 5680/5725/5785

SENSEX: - Open 19102 High 19174 Low 18777 Close 19051 (-6 pts)

Supp 18300/18000/17285 Res 19200/19400/19550

Calmness after a massive run-up:-

· Indices opened flat and then sold off as we tested 5578 intraday on the Nifty. Finally we could close 2 points down. Stock-specific movement was prominently visible.

· Volumes shot up - Rs 23315 Cr in spot market and F&O Vol at Rs 90751 Cr.

· Breadth turned negative – BSE Adv 1345 Dec 1629 Unch 73 NSE Adv 453 Dec 633 Unch 29

· FII buying has been massive in recent past but yesterday they sold Rs 234 Cr in Spot market. Domestic institutions sold just Rs 10 Cr. FII selling in F&O was also huge at Rs 2811 Cr.

· Bank stocks were gainers. Allahabad Bank, Axis Bank and ICICI Bank were big movers.

Top Gainers: - Tata Power, Siemens, ICICI Bank, Hindalco, Rel Energy

Top Losers: - Zee Enter, Infosys, Ster Inds, Hind Unilever, HCL Tech

Indian ADRs: - http://tinyurl.com/33m7dx

Outlook for Wednesday:-

· Markets will react to suggestions on participatory notes by SEBI. Opening will be sharply lower.

· This market has gone from strength to strength with every correction, now we have to see whether today’s morning sell-off is followed by good support. The rally so far has been massive and a correction is welcomed here.

· It is better to be light on positions when politicians are interfering with various statements. One needs to see if market takes support at aforementioned levels and then take a call.

· Crude at $87 is weighing down US markets. Yesterday all Indian ADRs closed quite negative on the back of weak Dow and some effect of SEBI statements too.

(Keep SL in short-term trades)

Results today – Alembic, Allahabad Bank, Essel Prop, GAIL, GDL, HCL Tech, Infotech Enter, KPIT, NDTV, Polaris, Rel Energy, RNRL, Yes Bank

SEBI plans curb on FII participatory notes http://www.thehindubusinessline.com/2007/10/17/stories/2007101752560100.htm

SBI may soon get govt nod to raise capital http://economictimes.indiatimes.com/SBI_may_soon_get_govt_nod_to_raise_capital/articleshow/2465138.cms

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.

DAILY REPORT FOR 16 OCTOBER, 2007

NIFTY: - Open 5428 High 5682 Low 5419 Close 5670 (+242 points)

P/E 25.77 P/B 6.19 Adv 42 Dec 8

Supp 5620/5580/5540 Res 5695/5750/5835

SENSEX: - Open 18525 High 19095 Low 18525 Close 19058 (+639 pts)

Supp 18870/18680/18520 Res 19140/19350/19530

Sensex at 19000:-

· Markets opened firm and remained that way the whole day. ONGC and Metals were massive gainers.

· Volumes were good at Rs 19640 Cr in spot market and F&O Vol at Rs 76830 Cr.

· Breadth was good – BSE Adv 2010 Dec 964 Unch 73 NSE Adv 814 Dec 279 Unch 22

· Foreign Institutional buying was huge in cash market at Rs 2868 Cr. Domestic institutions are continuously selling everyday as yesterday the figure was Rs 281 Cr. FIIs bought Rs 714 in Index Derivatives whereas they sold Rs 124 Cr in Stock Fut.

Top Gainers: - SAIL, Sterlite Inds, Rel Energy, ONGC, GAIL

Top Losers: - BPCL, Hind Petro, Hind Unilever, Ranbaxy, Infosys

Indian ADRs: - http://tinyurl.com/33m7dx

Outlook for Tuesday:-

· As Reliance and SBI were away from new highs yesterday, Metals and ONGC made their mark when it was really needed.

· TCS has come out with good results and the stock should move higher with other tech stocks.

· Now that we have come so rapidly to 19000 on the Sensex, intraday corrections are going to be quite big, so one needs to have a strict stop loss and play momentum.

· 5620 and 5580 are good intraday supports for the Nifty. Upward movement should be expected as long as we are above these levels.

· Tech Mah (1445):- Buy for target of 1580-1600 SL 1410

(Keep SL in short-term trades)

Results today – Aztec, Blue Dart, HCL Tech, IDBI, Shasun, Tata Sponge

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.

DAILY REPORT FOR 15 OCTOBER, 2007

NIFTY: - Open 5525 High 5549 Low 5402 Close 5428 (-96 points)

P/E 24.67 P/B 5.93 Adv 7 Dec 41 Unch 1

Supp 5390/5340/5260 Res 5465/5520/5550

SENSEX: - Open 18794 High 18844 Low 18336 Close 18419 (-395 pts)

Supp 18250/18050/17880 Res 18530/18660/18850

5550 making nervous:-

· Markets opened flat and went up but the 3-day rally was stopped when supply was found at 5550 level. We crashed almost 150 points intraday on the Nifty and closed 96 down. Reliance Industries and SBI pulled down the market largely.

· Volumes were massive at Rs 22767 Cr in spot market and F&O Vol at Rs 90419 Cr.

· Breadth was quite negative– BSE Adv 1182 Dec 1793 Unch 71 NSE Adv 324 Dec 764 Unch 27

· FII buying Rs 315 Cr in Cash market. It is smallish compared to recent past. Domestic Inst Inv sold heavily Rs 883 Cr. FIIs sold Rs 645 Cr in Index Fut where as they were small buyers Rs 10 Cr in Index Opt. Stock Futures selling was large at Rs 716 Cr.

Top Gainers: - ONGC, Rel Energy, Hindalco, M&M, GAIL

Top Losers: - Suzlon, SBI, Tata Power, L&T, VSNL

Indian ADRs: - http://tinyurl.com/33m7dx

Outlook for Monday:-

· We could not breach 5550 on the upside on Friday. This week it seems that we will move between 5500 to 5250 range.

· 5190 should provide a good support in a sharp correction. As results start coming in, stock-specific movement should be visible. 5600 should be the resistance when we break 5550.

· VSNL (524):- The stock has broken out and can target above 600 levels. Buy with SL below 490.

(Keep SL in short-term trades)

Results today – Axis Bank, BOC, ETC, IFCI, Indian Bank, Jaiprakash Asso, Orbit Corp, Petronet LNG, RIIL, Sasken Comm, TCS, Uco Bank, Welspun Guj

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.

DAILY REPORT FOR 12 OCTOBER, 2007

NIFTY: - Open 5439 High 5532 Low 5424 Close 5524 (+83 points)

P/E 25.13 P/B 6.03 Adv 40 Dec 10

Supp 5485/5420/5340 Res 5550/5570/5610

SENSEX: - Open 18696 High 18832 Low 18536 Close 18814 (+155 pts)

Supp 18730/18620/18430 Res 18925/19030/19210

Good recovery in late trade:-

· Indices were flat for most of the day but buying emerged quite sharply in late trade as Sensex closed up by 155 points with the help of ONGC and Auto stocks.

· Volumes were higher at Rs 15866 Cr in spot market and F&O Vol at Rs 72261 Cr.

· Breadth was not so encouraging as the indices – BSE Adv 1477 Dec 1484 Unch 84 NSE Adv 598 Dec 474 Unch 42

· FII buying Rs 794 Cr in Cash market. Domestic Inst Inv sold Rs 420 Cr. FIIs were buyers in Index F&O too to the tune of Rs 1430 Cr. They sold Rs 1053 Cr Stock futures.

Top Gainers: - VSNL, M&M, Sterlite Inds, MTNL, SAIL

Top Losers: - Satyam Comp, Infosys, HCL Tech, TCS, Wipro

Indian ADRs: - http://tinyurl.com/33m7dx

Outlook for Friday:-

· After 3 consecutive days of rally, we meet resistance around 5550 for the Nifty. The strength at which we are progressing in this rally, it should be crossed. Support exists at 5485 below which some intraday correction is not ruled out.

· Hind Unilever (225.75):- Buy for target of 244-250.

· Mphasis (297):- The stock is consolidating nicely and it is one of those software stocks which have not cracked with depreciating Dollar. Buy for target of 340-350. It can be bought with SL 275.

(Keep SL in short-term trades)

Results today – Aban Offshore, Exide, Geojit, Gruh Fin, HDFC Bank, IGL, Tata Metaliks

Patni sale in sight as two brothers take backseat http://economictimes.indiatimes.com/Patni_sale_in_sight_as_two_brothers_take_backseat/articleshow/2449409.cms

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.