DAILY REPORT FOR 23 OCTOBER, 2007

NIFTY: - Open 5202 High 5247 Low 5070 Close 5184 (-31 points)

P/E 23.28 P/B 5.42 Adv 25 Dec 25

Supp 5160/5130/5050 Res 5270/5330/5400

SENSEX: - Open 17259 High 17704 Low 17171 Close 17613 (+54 pts)

Supp 17500/17370/17000 Res 17750/18000/18190

Banks provide support from lower levels:-

· Markets were sold off in initial trade but recovered as buying was seen in Banks especially ICICI Bank. HDFC was the top gainer.

· Volumes were lower - Rs 15736 Cr in spot market and F&O Vol at Rs 71454 Cr.

· Breadth was flattish– BSE Adv 1480 Dec 1486 Unch 87 NSE Adv 505 Dec 580 Unch 36

· FIIs sold Rs 1290 Cr in Spot Market. Domestic Institutions bought Rs 15 Cr Equity. Derivative Activity was pretty flat from FIIs.

Top Gainers: - HDFC, BPCL, Zee Enter, Ambuja Cem, ICICI Bank

Top Losers: - Bharti Airtel, TCS, SAIL, Nalco, ABB

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

Outlook for Tuesday:-

· Market players were watching 2 events yesterday: - One was SEBI meeting with FIIs and the other was the meeting between Left and the UPA.

· SEBI statements yesterday evening clear the air of confusion for FIIs. P-Note holders should register themselves and come from front door is what SEBI wants. The final decision will come on 25^th October as SEBI board is scheduled to meet on that day.

· UPA-Left meeting has been shelved till 15 November. So some uncertainty still remains about the N-Deal.

· As far as markets are concerned, some pullback is expected to happen today as we have tested good support below 5100 on the Nifty. Also 17000 is a good support for the Sensex. This pullback can take us towards 5330 and 5400.

· Sesa Goa, M&M, Ranbaxy, India Cements, Punj Lloyd look good on graph and can be bought for short term. One needs to buy with stop losses as correction may not be over yet.

· IVRCL (440):- Buy around 428-432 for target 475-485.

(Keep SL in short-term trades)

Results today – Agro Tech Foods, Amara Raja, Apollo Hosp, Ashok Ley, BASF, Britannia, Fin Cables, Firstsource Sol, Garden Silk, GlaxoSmithKline, Greenply, GSFC, Guj Alk, HOEC, India Infoline, Indiabulls, Jain Irri, Lumax Auto, Mangalam Cem, MIC Elec, Micro Ink, Mindtree, Mukta Arts, Nalco, Nelco, Pidilite, Provogue, PTC, Punj Tract, Satyam Comp, Seamec, Shree Cem, Shringar Cinema, Subex, Suzlon, WWIL, Wockhardt, Zee Enter

Sebi cleared 16 FII papers today: Damodaran http://www.business-standard.com/common/storypage_c_online.php?leftnm=11&bKeyFlag=IN&autono=29095

Pharmaceuticals: Demerger of R&D units — a new trend http://www.thehindubusinessline.com/iw/2007/10/22/stories/2007102251191500.htm

N-Deal Talks: UPA, Left to meet again on Nov 16 http://www.business-standard.com/common/storypage_c_online.php?leftnm=11&bKeyFlag=IN&autono=29093

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 19 OCTOBER, 2007

NIFTY: - Open 5551 High 5736 Low 5269 Close 5351 (-208 points)

P/E 24.33 P/B 5.60 Adv 10 Dec 40

Supp 5240/5105/5040 Res 5450/5550/5640

SENSEX: - Open 18827 High 19198 Low 17771 Close 17998 (-717 pts)

Supp 17700/17480/17280 Res 18110/18330/18650

Nobody, but supply overpowering demand, to blame for the fall:-

· If we recovered almost 1500 points on Wednesday, yesterday was a bear-party as they took 1400 points off the Sensex intraday. The closing was down 717 points as Banks, Metals and Reliance group stocks crashed heavily. Tech stocks didn’t see much of selling.

· Volumes were at all time high - Rs 26030 Cr in spot market and F&O Vol at Rs 110563 Cr.

· Breadth was negative – BSE Adv 1247 Dec 1737 Unch 67 NSE Adv 367 Dec 734 Unch 19

· FIIs look like trimming their exposure as they sold Rs 1130 Cr in spot market whereas Domestic Institutions bought Rs 96 Cr. Foreign funds sold Rs 2356 Cr in Index Futures. They were net sellers in Stock Fut too Rs 569 Cr.

Top Gainers: - Sun Pharma, TCS, Cipla, Satyam Comp, MTNL

Top Losers: - ACC, Rel Energy, SBI, Bharti Airtel, Tata Power

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

Outlook for Friday:-

· Yesterday’s sell-off indicates that we lack buying depth in the market. First blow came as there were rumours of NSE hiking F&O margins. But even if NSE denied the same, the fall accentuated after that.

· Most of the supply yesterday must have come from stuck intraday positions and today some bounce can happen. 5450 and 5550 are resistance for today. If we can not cross them, again correction will set in.

· If we close below 5240 on the Nifty, 4800-4900 levels may be tested. 5000-5050 may provide some support while cracking.

· Wipro and Tech Mahindra results will be out today. More buying can be seen in Tech stocks. Satyam and TCS look good.

(Keep SL in short-term trades)

Results today – Ambuja Cem, Asian Paints, Bajaj Auto, CMC, Emco, GE Ship, Geometric Soft, Grindwell Norton, GTL Infra, ICICI Bank, Tech Mah, Uttam Galva, Welspun India, Wipro

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 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.