Market Outlook 21st July 2010

Strong & Weak Stocks

This is list of 10 strong stocks: 

Orchid Chem, HCC, Andhra Bank, IOB, UCO Bank, Titan, Sun TV, Bank of India, Opto Circuits & PFC.  

And this is list of 10 Weak Stocks: 

RNRL, KS Oils, TV-18, Glaxo, Ambuja Cement, ICSA, ACC, Polaris, GE Shiping & Balrampur Chini.

The daily trend of nifty is in Uptrend 

• Supp / Resis CASH / SPOT LEVELS

Indices		Supp/Resis	1	2	3
	Nifty	Resistance	5405.10	5442.20	5467.95
		Support	5342.25	5316.50	5279.40
	Sensex	Resistance	17996.18	18114.23	18188.28
		Support	17804.08	17730.03	17611.98

INDTRADAY TRADING LEVELS IN CASH MARKET

Company Name  Exchange LTP* R1 #1 S1 @1 R2 #2 S2 @2 R3 #3 S3 @3 ACC Ltd. NSE 810.00 817.47 803.77 824.93 797.53 831.17 790.07 Ambuja Cements Ltd. NSE 107.95 109.65 106.90 111.35 105.85 112.40 104.15 Andhra Bank NSE 149.80 151.70 147.00 153.60 144.20 156.40 142.30 Balrampur Chini Mills Ltd. NSE 80.95 82.53 79.73 84.12 78.52 85.33 76.93 Bank of Baroda NSE 732.70 741.53 724.48 750.37 716.27 758.58 707.43 Bank of India NSE 398.60 403.20 394.00 407.80 389.40 412.40 384.80 Banking Index Benchmark Exchange Traded Scheme (Bank BeES) NSE 1007.41 1010.11 1004.61 1012.80 1001.80 1015.61 999.11 GlaxoSmithKline Pharmaceuticals Ltd. NSE 2026.90 2056.27 2009.27 2085.63 1991.63 2103.27 1962.27 ICSA-India Ltd. NSE 137.15 141.30 134.40 145.45 131.65 148.20 127.50 NSE Index NSE 5368.00 5405.10 5342.25 5442.20 5316.50 5467.95 5279.40 Opto Circuits India Ltd. NSE 270.10 273.10 267.80 276.10 265.50 278.40 262.50 Orchid Chemicals & Pharmaceuticals Ltd. NSE 189.60 191.23 188.23 192.87 186.87 194.23 185.23 Polaris Software Lab Ltd. NSE 183.50 190.13 179.73 196.77 175.97 200.53 169.33 Reliance Capital Ltd. NSE 803.05 814.27 793.92 825.48 784.78 834.62 773.57 Reliance Communications Ltd. NSE 188.50 192.73 185.78 196.97 183.07 199.68 178.83 Reliance Industries Ltd. NSE 1052.95 1062.87 1046.07 1072.78 1039.18 1079.67 1029.27 Reliance Natural Resources Ltd. NSE 44.25 45.00 43.80 45.75 43.35 46.20 42.60 Reliance Power Ltd. NSE 171.85 173.90 170.55 175.95 169.25 177.25 167.20 Sun Pharmaceutical Industries Ltd. NSE 1723.20 1740.90 1707.70 1758.60 1692.20 1774.10 1674.50 Sun TV Network Ltd. NSE 465.35 470.12 458.37 474.88 451.38 481.87 446.62 Titan Industries Ltd. NSE 2664.50 2679.67 2649.67 2694.83 2634.83 2709.67 2619.67 UCO Bank NSE 89.10 90.23 87.83 91.37 86.57 92.63 85.43

*LTP stands for Last Traded Price as on Tuesday, July 20, 2010 4:04:17 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.

Today Market Update on http://www.indiabulls.com/securities/mailermis/morning-brief/morning-brief-21Jul2010.htm

Derivatives EOD Report on http://www.indiabulls.com/securities/mailermis/derivative-strategy/derivative-EOD-20-Jul-2010.htm

Corporate News Headline
•	BHEL has bagged a Rs. 26.65 bn contract for setting up a 1,200 MW coal-based thermal power plant in Chhattisgarh. (BS)
•	Fortis Healthcare said its founder firm Fortis Healthcare Holdings has pledged 33 million shares or 37.78% of total equity shares of the former on July 9. (BS)
•	Tata Steel has started talks with lenders including Citigroup to refinance as much as GBP 3.5 bn in loans for its British unit. (BS)
Economic and Political Headline
•	The RBI's monetary stance will depend on whether it perceives inflation as stemming from excessive liquidity or due to supply constraints. Cabinet Secretary K M Chandrasekhar allayed concerns of persistently high prices, reiterating the government's forecast of headline inflation easing to 5-6% by the end of the year. (BS)
•	Housing starts fell in June to the lowest level since October as a slump in sales following the expiration of a government tax incentive caused U.S. builders to cut back. Work began on 549,000 houses at an annual rate last month, down 5% from May, Commerce Department figures showed in Washington. (Bloomberg)
•	Payrolls decreased in 27 US states in June, led by California and New York, signaling the slowdown in hiring is broad-based. Employers in California cut staff by 27,600 workers last month and those in New York reduced employment by 22,500, the Labor Department said. (Bloomberg)

US and European markets

Index Latest 1D Chg YTD Nasdaq 1840.67 1.18% (1.06)% DJIA 10229.96 0.74% (1.90)% S&P 500 1083.48 1.14% (2.84)% • US stocks rose for a second day, erasing earlier losses as speculation the Federal Reserve will take steps to spur lending and an increase in building permits sent homebuilders and commodity producers higher. The NASDAQ, Dow Jones and S&P 500 added 1.18%, 0.74% and 1.14%, respectively. Lennar Corp. rose 6.3% and US Steel Corp. gained 7.5%. Harley-Davidson Inc. advanced 14% after its profits topped analyst estimates. Goldman Sachs Group Inc. increased 2.2% after reporting second-quarter earnings. Index Latest 1D Chg YTD FTSE 100 5139.46 (0.17)% (5.05)% CAC 40 3468.02 (0.53)% (11.90)% • UK stocks fell for a fifth day, the longest losing streak for the FTSE 100 Index in two months, led by a slump in Cable & Wireless Worldwide Plc after warning profit will be at the "lower end" of forecasts. The FTSE 100 fell 8.82 points or 0.17% at 5,139.46. Cable & Wireless Worldwide tumbled 17% as the phone company said government spending cuts are hurting earnings. BT Group Plc, Britain's largest fixed-line phone company, dropped 3.2%. Mining shares limited declines as copper rallied on the London Metal Exchange.

Buy / Sell (Jul 20, 2010)
	Buy					Sell	Net
FII	1635.19					1338.12	+297.07
DII	874.15					978.41	- 104.26

*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