Market Outlook for 12.02.09

Headlines for the day

   Corporate News Headline

   Reliance Power received a letter of intent for the 4,000-MW Ultra Mega Power Project at Tilaiya in Jharkhand. (BS)

   ONGC´s plans for oil exploration in a national park in Rajasthan has hit a road block with the government deciding to carry out a detailed environmental impact study before granting approval. (ET)

   Corporation Bank entered into an agreement with Tata Motors for financing purchases made from the Tata group firm. (ET)

   Economic and Political Headline

   The government announced a Rs. 38 bn fund infusion into state-run lenders -- UCO Bank, Central Bank of India, and Vijaya Bank -- to soar up their capital adequacy. (ET)

   The US lawmakers agreed on a USD 789 bn economic stimulus plan that President Barack Obama said is urgently needed to keep the country from sliding into a deeper recession. (Bloomberg)

   The UK unemployment rose from 73,800 to 1.23 mn in January, threatening to further erode support for Prime Minister Gordon Brown as the recession deepens. (Bloomberg)

 

Strong & Weak  futures  
This is list of 10 strong futures:

WWIL, Renuka, Amtek Auto, BEML, Sesa Goa, Polaris, GE Ship, Ansal Infra, Nagar Fert & Maruti.

And this is list of 10  Weak Futures:

DLF, Aban, GDL, HDIL, Network 18, Jindal Saw, KPIT, Tulip,Omaxe & Bajaj Hind.
 Nifty is in Up Trend.

 

NIFTY FUTURES (F & O)
  Above 2926 level, short covering may continue up to 2949-2951 zone by non-stop.

Support at 2912-2914 zone. Below this zone, selling may continue up to 2885-2887 zone and thereafter slide may continue up to 2859-2861 zone by non-stop.

Buy if touches 2834-2836 zone. Stop Loss at 2808-2810 zone.

On Positive Side, above 2974-2976 zone it can zoom up to 3000-3002 zone and if crosses & sustains at above this zone then uptrend may continue.
  
Short-Term Investors: 
  Bullish Trend. 3 closes above 2728 level, it can zoom up to 2942 level by non-stop.

3 closes above 2942 level, it will zoom up to 3048 level by non-stop.
 

BSE SENSEX   
 False signal is likely. Traders can expect profit booking further.
  
Short-Term Investors: 
  Short-Term trend is Bullish and target at around 9678 level on upper side.

Maintain a Stop Loss at 9049 level for your long positions too.

3 closes above 9678 level, it will zoom up to 9993 level by non-stop.

 

Trading Calls 12th Feb 2009
USE STRICT Stop Loss for todays trading
Buy GNFC-61 above 62 for 75 with sl 60 [Trade]
Short HCLTech-115 for 110-105 with sl 118

Short Dr.Reddy-444 for 428 with sl 449
Short BoB-244 for 232 with sl 248

 

GLOBAL CUES & RUPEE

The Dow Jones Industrial Average closed at 7,939.53. Up by 50.65 points.

The Broader S&P 500 closed at 833.74. Up by 6.58 points.

The Nasdaq Composite Index closed at 1,530.50. Up by 5.77 points.

The partially convertible rupee <INR=IN> ended at 48.69/70 per dollar on yesterday, stronger than Tuesday's close of 48.72/73.

OIL & GAS INDEX Stocks May Fall

 

	2925.70	( -0.30 %)	-8.80
		1	2	3
Resistance		2949.60	2973.50	3009.50
Support		2889.70	2853.70	2829.80

	9618.54		( -0.30 %)	-28.93
			1	2	3
Resistance			9691.42	9764.31	9880.22
Support			9502.62	9386.71	9313.82

 

FII trading activity on NSE and BSE in Capital Market Segment(In Rs. Crores)
Category	Date	Buy Value	Sell Value	Net Value
FII	11-Feb-2009	903.24	938	-34.76

DII trading activity on NSE and BSE in Capital Market Segment(In Rs. Crores)
Category	Date	Buy Value	Sell Value	Net Value
DII	11-Feb-2009	472.96	548.23	-75.27

 

--

Arvind Parekh

+ 91 98432 32381