TANMAY OBSERVES!

DAILY REPORT FOR 27 SEPTEMBER, 2007

NIFTY: - Open 4937 High 4980 Low 4930 Close 4940 (+2 points)

P/E 22.21 P/B 5.27 Adv 22 Dec 28

Supp 4915/4870/4840 Res 4955/4985/5005

SENSEX: - Open 16969 High 17073 Low 16887 Close 16921 (+21 pts)

Supp 16880/16810/16670 Res 16970/17080/17150

Bulls refuse to surrender:-

· Sensex hit the psychological mark of 17000 but we could not close above that mark. Now next immediate milestone is 5000 for the Nifty.

· Volumes were Rs 16977 Cr in spot market and F&O Vol Rs 78536 Cr.

· Breadth turned positive– BSE Adv 1614 Dec 1347 Unch 72 NSE Adv 621 Dec 462 Unch 26

· FIIs bought equity Rs 727 Cr in Cash Market whereas Domestic Institutional Investors continue to sell Rs 701 Cr. FIIs bought Rs 151 Cr in Index Fut and sold Rs 983 Cr in Stock Futures.

· Tech and Refinery stocks were major gainers. HCL Tech, Rolta and Patni rallied smartly. HPCL and BPCL were among top gainers on the Nifty.

Top Gainers: - HCL Tech, Hind Petro, BPCL, Satyam Comp, Nalco

Top Losers: - Rel Energy, Reliance, Maruti, RPL, IPCL

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

Outlook for Thursday:-

· Today is the F&O expiry day for the month of Sept 2007. Total Open Interest position is at Rs 102803 Cr.

· We met with supply above 17000 levels on the Sensex. We have to close above it to show further strength.

· Yesterday although Reliance stocks corrected a bit, Tech and Banking provided good gains. That is why fall was limited. Now if ONGC and Techs can perform, we will see further impetus for this rally.

· Dr Reddy (639):- Buy with SL 620 for target 690-700

· Bajaj Auto and TVS Mot look good from Auto sector. Buy for short-term gains.

(Keep SL in short-term trades)

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.