Market Outlook 1st June 2010

Strong & Weak Stocks

This is list of 10 strong stocks: 

Federal Bank, UCO Bank, ONGC, Uniphos, Hind Petro, Dr Reddy, Vijaya Bank, Indian Bank, Tulip & BPCL.  

And this is list of 10 Weak stocks

Grasim, Aban Off shore, Punj Lloyd, Suzlon, MTNL, Idea, Mphasis, Tech Mahindra, Tata Steel & Triveni.

The daily trend of nifty is in downtrend 

Corporate News Headline
•	IVRCL Infrastructures & Projects expects the order book to rise to Rs. 320 bn in FY11 on a rise in government orders, even as its FY10 net profit was hurt by a rise in income tax, a top official said. (BS)
•	SAIL said it will spend about Rs. 1.75 tn to augment its annual production capacity to 60 mt by 2020 from the current 14 mt. (BS)
•	NMDC said that it has concluded a pact with South Korean and Japanese steel mills to supply them iron ore at prices that are higher by as much as 99% over the previous rate. (BS)
Economic and Political Headline
•	Driven by a robust performance by the manufacturing sector, the Indian economy grew by 8.4% in the last quarter of 2009-10, pushing up the overall growth to a better-than expected 7.4%. The manufacturing sector grew by 16.3% in the fourth quarter and 10.8% in the fiscal. There was no decline in agriculture growth in 2009-10, despite widespread drought and floods hitting the farm output. (BS)
•	European confidence in the economic outlook unexpectedly worsened in May and inflation accelerated less than economists forecast as the euro region's debt crisis shook markets. An index of executive and consumer sentiment in the 16 euro nations fell to 98.4 from 100.6 in April, the European Commission in Brussels said. (Bloomberg)
•	Japan's industrial production increased less than economists forecast in April, the latest sign that the economic recovery may be losing momentum. Factory output rose 1.3% from March, when it gained 1.2%, the Trade Ministry said in Tokyo. (Bloomberg)

SPOT / CASH INDEX LEVELS TODAY

	5086.30	( 0.39 %)	19.75
		1	2	3
Resistance		5109.75	5133.20	5168.80
Support		5050.70	5015.10	4991.65

	16944.63		( 0.48 %)	81.57
			1	2	3
Resistance			17008.35	17072.08	17173.00
Support			16843.70	16742.78	16679.05

Today MArket Update on http://www.indiabulls.com/securities/mailermis/morning-brief/morning-brief-01Jun2010.htm

Derivatives EOD Report on http://www.indiabulls.com/securities/mailermis/derivative-strategy/derivative-EOD-31-May-2010.htm

SUPPORT & RESISTANCE IN CASH MARKET

Company Name  Exchange LTP* R1 #1 S1 @1 R2 #2 S2 @2 R3 #3 S3 @3 Aban Offshore Ltd. NSE 711.55 722.67 702.77 733.78 693.98 742.57 682.87 Bharat Electronics Ltd. NSE 1718.75 1741.98 1695.53 1765.22 1672.32 1788.43 1649.08 Bharat Heavy Electricals Ltd. NSE 2353.40 2377.27 2317.27 2401.13 2281.13 2437.27 2257.27 Bharat Petroleum Corporation Ltd. NSE 581.15 593.08 565.63 605.02 550.12 620.53 538.18 Bharati Shipyard Ltd. NSE 256.35 265.07 244.82 273.78 233.28 285.32 224.57 Federal Bank Ltd. NSE 345.30 355.85 331.90 366.40 318.50 379.80 307.95 Grasim Industries Ltd. NSE 1823.00 1860.53 1799.33 1898.07 1775.67 1921.73 1738.13 Hindalco Industries Ltd. NSE 150.25 152.23 146.93 154.22 143.62 157.53 141.63 Hindustan Petroleum Corporation Ltd. NSE 363.65 369.63 358.33 375.62 353.02 380.93 347.03 Hindustan Unilever Ltd. NSE 237.20 239.52 235.07 241.83 232.93 243.97 230.62 Idea Cellular Ltd. NSE 50.50 50.90 50.05 51.30 49.60 51.75 49.20 Indian Bank NSE 229.65 235.03 220.98 240.42 212.32 249.08 206.93 Indian Oil Corporation Ltd. NSE 353.15 358.03 345.13 362.92 337.12 370.93 332.23 Mahanagar Telephone Nigam Ltd. NSE 55.50 56.03 55.08 56.57 54.67 56.98 54.13 Mahindra & Mahindra Ltd. NSE 572.70 582.87 557.77 593.03 542.83 607.97 532.67 MphasiS Ltd. NSE 571.85 583.23 560.23 594.62 548.62 606.23 537.23 NSE Index NSE 5086.30 5109.75 5050.70 5133.20 5015.10 5168.80 4991.65 Punj Lloyd Ltd. NSE 120.10 130.62 114.17 141.13 108.23 147.07 97.72 Punjab National Bank NSE 1002.50 1012.00 985.90 1021.50 969.30 1038.10 959.80 Suzlon Energy Ltd. NSE 56.25 59.93 54.08 63.62 51.92 65.78 48.23 Tata Motors Ltd. NSE 755.00 765.87 742.57 776.73 730.13 789.17 719.27 Tata Power Company Ltd. NSE 1285.35 1295.90 1268.90 1306.45 1252.45 1322.90 1241.90 Tata Steel Ltd. NSE 500.70 506.95 490.35 513.20 480.00 523.55 473.75 Tata Tea Ltd. NSE 1083.90 1099.17 1064.32 1114.43 1044.73 1134.02 1029.47 Tech Mahindra Ltd. NSE 636.20 647.90 627.30 659.60 618.40 668.50 606.70 Triveni Engineering & Industries Ltd. NSE 95.30 97.48 93.33 99.67 91.37 101.63 89.18 Tulip Telecom Ltd. NSE 940.65 979.77 883.77 1018.88 826.88 1075.77 787.77 UCO Bank NSE 78.90 80.27 76.52 81.63 74.13 84.02 72.77 Uniphos Enterprises Ltd. NSE 31.95 32.75 31.40 33.55 30.85 34.10 30.05 Vijaya Bank NSE 58.95 60.30 56.65 61.65 54.35 63.95 53.00

*LTP stands for Last Traded Price as on Monday, May 31, 2010 4:04:36 PM

#1R1   stands for Resistance level 1                         @1S1   stands for Support level 1

#2R2   stands for Resistance level 2                         @2S2   stands for Support level 2

#3R3   stands for Resistance level 3                         @3S3   stands for Support level 3

The levels given above are with respect to previous closing price on the NSE / BSE.

FII trading activity on NSE and BSE in Capital Market Segment(In Rs. Crores)
Category	Date	Buy Value	Sell Value	Net Value
FII	31-May-2010	2301.28	1714.77	586.51

DII trading activity on NSE and BSE in Capital Market Segment(In Rs. Crores)
Category	Date	Buy Value	Sell Value	Net Value
DII	31-May-2010	902.78	976.55	-73.77

Disclosure: I don't have any positions in the above said scrips & NIFTY FUTURES.

Disclaimer:

"I do not make any warranties, express or implied, as to results to be obtained from using the information in this e-letter.  Investors should obtain individual financial advice based on their own particular circumstances before making any investment decisions based upon information in this report.

--
Arvind Parekh
+ 91 98432 32381