Thursday, November 20, 2008

Outlook for 20.11.08 & Research Reports Attached

Headlines for the day
Corporate News Headline
Reliance Industries has sold the first crude oil consignment from its eastern offshore Krishna Godavari basin to Hindustan Petroleum Corporation. (BS)
GAIL is planning to import one to two cargoes of liquefied natural gas in the first quarter of 2009. (ET)
NALCO has received a green signal from the Indonesian government for setting up a Rs. 170 bn aluminium smelter and captive power project in the country. (BS)

Economic and Political Headline
The Indian government is considering ways of increasing investment in infrastructure after the global financial crisis choked inflows in mega project. (ET)
In wake of the recent fall in international prices of commodities and with a view to safeguard interests of domestic producers, the Indian government has announced certain changes in customs duty rates effective from Nov 18. (ET)
The US consumer prices plunged 1% last month, as fuel costs plummeted and retailers used discounts for cars and clothing to entice consumers hobbled by job losses and sinking home values. (Bloomberg)

SPOT LEVELS TODAY

NSE Nifty Index 2635.00( -1.79 %) -48.15
123
Resistance2732.30 2829.60 2886.80
Support 2577.80 2520.60 2423.30

BSE Sensex 8773.78( -1.83 %) -163.42
123
Resistance 9097.77 9421.75 9607.24
Support 8588.30 8402.81 8078.83
Strong & Weak futures
This is list of 10 strong futures:
TTML, Hindo Petro, GTL, Sterling Bio, MTNL, Glaxo, IOC, Colpal, Hind Zinc & Rolta.

And this is list of 10 Weak Futures:

Gitanjali, Indian Info, Ansal Infra, Sail, Rel. Capital, Unitech, suzlon, Matrix Labs, Purva & Amtek auto.
Nifty is in Down Trend.


NIFTY FUTURES (F & O)

Below 2597 level, selling may continue up to 2573-2575 zone and thereafter slide may continue up to 2529-2531 zone.

Hurdles at 2637 & 2661 levels. Above these levels, expect short covering up to 2726-2728 zone and thereafter expect a jump up to 2770-2772 zone.

Sell if touches 2792-2794 zone. Stop Loss at 2835-2837 zone.

On Negative Side, below 2508-2510 zone can create panic up to 2464-2466 zone and if breaks & sustains at below this zone then downtrend may continue and have caution.

Short-Term Investors:

Short-Term trend is bearish and target at around 2392 level on down side.

On Positive Side, rallies up to 2982 level can be used to exit. Maintain a Stop Loss at 3178 level for your short positions too.

BSE SENSEX

Technically recovery should happen.

Short-Term Investors:

Trend is Bearish & Technical target at around 8183 level on down side. Rallies up to 9974 level can be used to exit. SL at 10571 level.

FII trading activity on NSE and BSE in Capital Market Segment(In Rs. Crores) 19-Nov-2008
FII -264.98
DII trading activity on NSE and BSE in Capital Market Segment(In Rs. Crores)
DII +195.71

The Dow Jones Industrial Average closed at 7,997.28. Down by 427.47 points.

The Broader S&P 500 closed at 806.58. Down by 52.54 points.

The Nasdaq Composite Index closed at 1,386.42. Down by 96.85 points.

The partially convertible rupee ended at 50.02/03 per dollar on yesterday, weaker than 49.66/67 at Tuesday's close.

Sell CAPITAL GOODS Stocks

Trading Calls 20th Nov 08
-ve sectors & scripts : Bank, Energy&Power
-ve to Market
1. Profit booking 2.Continous selling by FII 3. Rs.Vs $ 4. Expected slow down in GDP 5. The impact of global recession in economic growth 6. SGX nifty 7. Weak sentiment 8. Asian Markets 9. There is no investment buying by small investors and institution. 10. India Inc. against the FM statement 11. Citi Group Job cut 12.Shutdown or slowdown in production from Industries & four wheelers 13. Heavy slashes in commodity prices (Metal prices) 14. US Market

--
Arvind Parekh

+ 91 98432 32381