Market Outlook 13th July 2010

Strong & Weak stocks

This is list of 10 strong stocks:

 Idea, Polaris, Hind Petro, Bharat Forg, MRPL, Bharti Airtel, BPCL, Orchid Chem, Aban Off shore & GTL.  And this is list of 10 Weak stocks

 RNRL, TV-18, Uniphos, ACC, Sterling Biotech, Ambuja Cement, KS Oils, Patni, GT Offshore & Glaxo.

The daily trend of nifty is in Uptrend 

• Supp / Resis  SPOT / CASH LEVELS

Indices		Supp/Resis	1	2	3
	Nifty	Resistance	5406.60	5430.20	5457.70
		Support	5355.50	5328.00	5304.40
	Sensex	Resistance	18006.53	18075.86	18141.65
		Support	17871.41	17805.62	17736.29

Corporate News Headline
•	Petron Engineering Construction bagged a project worth Rs. 2.11 bn from the Chennai-based Nagarjuna Oil Corporation for infra-related works. (BS)
•	NTPC scrapped its plans to set up a 4,000-MW power plant in Uttar Pradesh over differences with the state government, and instead moved the coal-fired project to Barethi in Madhya Pradesh. (BS)
•	Nalco has identified mineral assets in Chile, Namibia and Indonesia, and is in the process of floating separate ventures in the foreign countries to buy out the reserves. (BS)
Economic and Political Headline
•	Industrial growth slipped to 11.5% in May, from 16.52% in the previous month. The Index of Industrial Production, on the back of 12.3% growth in manufacturing and 34.3% jump in capital goods sector, recorded an increase of 11.5% in May, up from 2.1% the same month a year ago. The growth for April-May works out to be 14% against 1.4% in the year ago period. Mining sector posted a growth rate of 8.7% in May against 3.4% a year ago. Power generation increased by 6.4% against 3% growth in May 2009. Consumer durables output grew by 23.7%, while the consumer non-durables recorded a modest increase of 2.4% in May. (BS)
•	The UK economy grew 0.3% in the first quarter as an upward revision in services growth outweighed a further slump in construction. The increase in gross domestic product was unrevised from a previous estimate, the Office for National Statistics said. (Bloomberg)
•	China's property prices snapped 15 months of gains and bank lending eased in June, indicating that curbs on credit may diminish inflation pressures even as record exports support growth. Real-estate prices in 70 cities fell 0.1% from the previous month, the statistics bureau said. New lending of USD 89 bn was the least in three months, the central bank said in a report. (Bloomberg)

US and European markets

Index Latest 1D Chg YTD Nasdaq 1821.03 0.34% (2.11)% DJIA 10216.27 0.18% (2.03)% S&P 500 1078.75 0.07% (3.26)% • US stocks rose, adding to gains from the biggest weekly rally in a year for the Standard & Poor's 500 Index, as analyst upgrades of technology companies' boosted optimism before the start of the earnings season. The NASDAQ, Dow Jones and S&P 500 added 0.34%, 0.18% and 0.07%, respectively. SanDisk Corp. surged 6.8% as UBS AG advised buying the shares, while Qualcomm Inc. jumped 3.5% as Goldman Sachs Group Inc. added the stock to its "conviction buy" list. Hewitt Associates Inc. surged 32% after Aon Corp. agreed to buy the consulting company. Index Latest 1D Chg YTD FTSE 100 5167.02 0.66% (4.54)% CAC 40 3567.66 0.37% (9.37)% • UK stocks rallied for a fifth day, the longest stretch of gains in a month, led by BP Plc on speculation the energy company may succeed in halting the biggest oil spill in US history. The FTSE 100 gained 34.08 points or 0.66% at 5,167.02. BP surged the most in 19 months amid optimism Apache Corp. may buy about USD 12 bn worth of the oil producer's assets. Cobham Plc climbed as BofA-Merrill Lynch Global Research recommended the manufacturer. Kazakhmys Plc led mining shares lower, as copper retreated from a two-week high.

Buy / Sell (Jul 09, 2010)
	Buy					Sell	Net
FII	3457.40					2353.32	+ 1104.08
DII	1458.80					1420.08	+ 38.72

*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.

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Arvind Parekh
+ 91 98432 32381