Friday, July 3, 2009

Market Outlook for 3rd July 2009

Intraday Calls 03rd Jul 2009
+ve sector,scripts: HDFC,Grasim,Tulip
GAP down expected in NIFTY so wait and watch then enter for all the
buy calls, Opening at SL will be positive and buy with 1% sl for the
target.
BUY Jindalstl-2605 above 2630 for a target 2680+ stop loss 2615
BUY Indiacem-134 above 136 for a target 142-146+ stop loss 133
BUY Tatapower-1170 for a target 1187+ stop loss 1160
BUY ONGC-1126 @ 1105 for a target 1140+ stop loss 1090
BUY STER-634 for a target 644-655+ stop loss 625
 
NIFTY FUTURES LEVELS
SUPPORT
4317
4302
4277
4264
4239
RESISTANCE
4356
4362
4401
4426
4439
4464
Buy TORRENT POWER,IRB INFRA
 
Strong & Weak  futures 
This is list of 10 strong futures:
Edu Comp, Tulip, GT Off Shore, Patel Eng, Colpal, Tech M, Jindal Steel, Dabur, Union Bank & Axis Bank.
And this is list of 10  Weak futures:
Orchid Chem, Ranbaxy, Nation Aluminium, BRFL, Sun Pharma, CESC, Sterlin Bio, Bharat Forge, Tata Motors & RNRL. 
 Nifty is in Down Trend.
 
 NIFTY FUTURES (F & O):  
Below 4317 level, expect profit booking up to 4302-4304 zone and thereafter slide may continue up to 4277-4279 zone by non-stop.
Hurdles at 4356 & 4362 levels. Above these levels, rally may continue up to 4399-4401 zone and thereafter expect a jump up to 4424-4426 zone by non-stop.

Cross above 4437-4439 zone, can take it up to 4462-4464 zone. Supply expected at around this zone and have caution.

On Negative Side, rebound expected at around 4264-4266 zone. Stop Loss at 4239-4241 zone.
 
Short-Term Investors:  
Bullish Trend. 3 closes above 4270 level, it can zoom up to 4830 level by non-stop.
Already SL triggered.
 
BSE SENSEX:  
Lower opening expected. Recovery should start. 

Short-Term Investors: 
Short-Term trend is Bearish and target at around 12478 level on down side.
Maintain a Stop Loss at 14931 level for your short positions too.
Already SL triggered.
 
 
POSITIONAL BUY: 
Buy TORRENT POWER (NSE Cash) 
 
Uptrend should continue.
Mild sell-off up to 185 level can be used to buy. If uptrend continues, then it may continue up to 201 level for time being. 

If crosses & sustains at above 211 level then
uptrend may continue.

Keep a Stop Loss at 176 level for your long positions too.
 
Buy IRB INFRASTRUCTURE DEVELOPERS (NSE Cash) 
Uptrend should continue.

Mild sell-off up to 171 level can be used to buy. If uptrend continues, then it may continue up to 181 level for time being. 

If crosses & sustains at above 188 level then
uptrend may continue.

Keep a Stop Loss at 164 level for your long positions too.
 
Global Cues & Rupee 
 The Dow Jones Industrial Average closed at 8,285.12. Down by 218.94 points.
The Broader S&P 500 closed at 897.15. Down by 26.18 points.
The Nasdaq Composite Index closed at 1,796.52. Down by 49.20 points.
The partially convertible rupee ended at 47.95/96 per dollar on yesterday, weaker than Wednesday's close of 47.88/90.
 
FII DATA
FII trading activity on NSE and BSE in Capital Market Segment(In Rs. Crores)
Category Date Buy Value Sell Value Net Value
FII 02-Jul-2009 2256.64 2009.38 +247.26
DII trading activity on NSE and BSE in Capital Market Segment(In Rs. Crores)
Category Date Buy Value Sell Value Net Value
DII 02-Jul-2009 1522.07 1309.42 +212.65

 
DELIVERY
Aban Offshore: Beset With Problems
 Aban Offshore's subsidiary outfit has not got into a legal dispute with Russian entity. Venture Drilling AS, a Company 50 per cent controlled by Sinvest AS (a wholly owned subsidiary of the Company), has a Bareboat agreement with the state owned Company Arktikmorneftegazrazvedka ("Arktik"), for use of the drillship Deep Venture. Venture Drilling AS is paying Arktik a Bareboat hire of USD 21,000 per day.
 
Venture Drilling AS has a contract with Maersk Oil Angola AS until January 2011, where Maersk is paying USD 495,000 per day to Venture Drilling AS.

Arktik and the State Property Agency in Russia have agreed that the BB agreement entered into in 2005 before the market rates increased, do not have the necessary approvals from Russian Authorities.
 
Venture Drilling AS disputes that. Arktik has therefore approached Venture Drilling AS, to try to renegotiate the agreement, including redelivery of the ship in 2011. The Bareboat agreement is regulated by Norwegian law, and Venture Drilling AS will, if needed, take legal steps to secure their interests in the Drillship Deep Venture.
 
It is obvious too much debt, and unbridled expansion will pull down Aban Offshore dramatically if the news flow remains negative in the coming months.

(Some forward looking statements on projections, estimates, expectations & outlook are included to enable a better comprehension of the Company prospects. Actual results may, however, differ materially from those stated on account of factors such as changes in government regulations, tax regimes, economic developments within India and the countries within which the Company conducts its business, exchange rate and interest rate movements, impact of competing products and their pricing, product demand and supply constraints.)
 

--
Arvind Parekh
+ 91 98432 32381