Market Outlook 23rd July 2010

Strong & Weak Stocks

This is list of 10 strong stocks: 

Sintex, HCC, Crompton Greaves, JSW Steel, Titan, HDIL, PTC, DCB, DLF & Educomp. 

And this is list of 10 Weak Stocks

RNRL, KS Oils, TV-18, Renuka, Dr Reddy, GE Shiping, Balrampur Chini, GT Offshore, Glaxo & ACC.

The daily trend of nifty is in Uptrend 

• Supp / Resis SPOT / CASH LEVELS 

Indices		Supp/Resis	1	2	3
	Nifty	Resistance	5468.67	5495.38	5543.62
		Support	5393.72	5345.48	5318.77
	Sensex	Resistance	18200.74	18288.33	18448.76
		Support	17952.72	17792.29	17704.70

SUPPORT/ RESISTANCE LEVELS IN CASH MARKET FOR INTRADAY TRADING

Company Name  Exchange LTP* R1 #1 S1 @1 R2 #2 S2 @2 R3 #3 S3 @3 ACC Ltd. NSE 816.15 829.08 806.13 842.02 796.12 852.03 783.18 Balrampur Chini Mills Ltd. NSE 79.35 80.62 78.07 81.88 76.78 83.17 75.52 Bank of Baroda NSE 726.50 731.67 720.67 736.83 714.83 742.67 709.67 Bank of India NSE 403.15 407.40 400.25 411.65 397.35 414.55 393.10 Banking Index Benchmark Exchange Traded Scheme (Bank BeES) NSE 1007.22 1011.15 1002.15 1015.07 997.07 1020.15 993.15 Crompton Greaves Ltd. NSE 289.50 295.57 278.87 301.63 268.23 312.27 262.17 DLF Ltd. NSE 327.00 331.78 320.43 336.57 313.87 343.13 309.08 Educomp Solutions Ltd. NSE 624.30 632.03 613.28 639.77 602.27 650.78 594.53 GlaxoSmithkline Consumer Healthcare Ltd. NSE 1789.00 1815.63 1771.73 1842.27 1754.47 1859.53 1727.83 GlaxoSmithKline Pharmaceuticals Ltd. NSE 2029.90 2042.60 2013.60 2055.30 1997.30 2071.60 1984.60 Great Eastern Shipping Company Ltd. NSE 281.00 284.70 278.30 288.40 275.60 291.10 271.90 Great Offshore Ltd. NSE 425.75 430.43 422.63 435.12 419.52 438.23 414.83 Hindalco Industries Ltd. NSE 157.90 158.88 156.13 159.87 154.37 161.63 153.38 Hindustan Construction Company Ltd. NSE 136.60 138.57 133.97 140.53 131.33 143.17 129.37 Hindustan Motors Ltd. NSE 25.95 26.53 25.03 27.12 24.12 28.03 23.53 Hindustan Petroleum Corporation Ltd. NSE 440.65 444.62 437.42 448.58 434.18 451.82 430.22 Hindustan Unilever Ltd. NSE 262.30 263.98 260.08 265.67 257.87 267.88 256.18 Hindustan Zinc Ltd. NSE 1007.65 1017.27 995.77 1026.88 983.88 1038.77 974.27 JSW Steel Ltd. NSE 1200.55 1218.68 1171.73 1236.82 1142.92 1265.63 1124.78 NSE Index NSE 5441.95 5468.67 5393.72 5495.38 5345.48 5543.62 5318.77 Power Finance Corporation Ltd. NSE 323.20 329.70 316.35 336.20 309.50 343.05 303.00 Power Grid Corporation of India Ltd. NSE 101.45 102.77 100.07 104.08 98.68 105.47 97.37 Reliance Capital Ltd. NSE 815.40 824.43 804.73 833.47 794.07 844.13 785.03 Reliance Communications Ltd. NSE 190.05 191.85 186.80 193.65 183.55 196.90 181.75 Reliance Industrial InfraStructure Ltd. NSE 923.15 929.73 917.78 936.32 912.42 941.68 905.83 Reliance Industries Ltd. NSE 1059.00 1064.03 1050.78 1069.07 1042.57 1077.28 1037.53 Reliance Infrastructure Ltd. NSE 1130.75 1138.50 1125.50 1146.25 1120.25 1151.50 1112.50 Reliance Natural Resources Ltd. NSE 44.30 44.63 43.98 44.97 43.67 45.28 43.33 Reliance Power Ltd. NSE 172.90 173.67 171.67 174.43 170.43 175.67 169.67 Sintex Industries Ltd. NSE 365.95 373.10 355.40 380.25 344.85 390.80 337.70 Titan Industries Ltd. NSE 2741.20 2770.63 2691.13 2800.07 2641.07 2850.13 2611.63

*LTP stands for Last Traded Price as on Thursday, July 22, 2010 4:04:55 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.

Corporate News Headline
•	Infosys is investing around Rs 25 bn to set up its seventh SEZ in Sarjapur near Bangalore, the company said recently. The SEZ would have around 18,000 seats and will be operational by March 2011. (BS)
•	ACC reported an over 25% dip in consolidated net profit at Rs. 3.49 bn in its second quarter ended June as expenditure, mostly on raw material, increased. The company reported a net profit of Rs. 4.71 bn in the year-ago period, ACC said in a communiqué. (BS)
•	Ambuja Cement reported a 20.5% increase in its net profit to Rs. 3.91 bn for the quarter ended June 30, 2010. The company had reported a net profit of Rs. 3.25 bn for the quarter ended June 30, 2009. (BS)
Economic and Political Headline
•	Food inflation eased marginally to 12.47% for the week ended July 10 as some essential items like vegetables turned cheaper. However, petroleum product prices remained flat week-on- week. The fuel, power, light and lubricants inflation remained intact at 14.27%. On weekly basis, pulses prices declined by 0.84%, vegetables by 0.13% and wheat by 0.11%. However, poultry chicken, condiments and spices, milk, gram and river fish turned expensive over the previous week. Pulses prices rose by 23.79%, milk by 17.33% and fruits by 10.02%. (BS)
•	Growth in Europe's services and manufacturing industries unexpectedly accelerated in July as concern over the sovereign-debt crisis eased and an increase in global trade spurred exports. A composite index based on a survey of euro-area purchasing managers in both industries rose to 56.7 from 56 in June, Markit Economics said. (Bloomberg)
•	European consumer confidence improved more than economists forecast in July amid signs the region's sovereign-debt crisis is easing. An index of consumer sentiment in the euro area increased to minus 14.1 from minus 17.3 in June, the European Commission said. (Bloomberg) Today Market Update on http://www.indiabulls.com/securities/mailermis/morning-brief/morning-brief-23Jul2010.htm Derivative EOD Report on http://www.indiabulls.com/securities/mailermis/derivative-strategy/derivative-EOD-22-Jul-2010.htm

US and European markets

Index Latest 1D Chg YTD Nasdaq 1863.10 2.52% 0.15% DJIA 10322.30 1.99% (1.01)% S&P 500 1093.67 2.25% (1.92)% • US stocks rose, with the Standard & Poor's 500 Index gaining the most in two weeks, after companies from United Parcel Service Inc. to AT&T Inc. and Qualcomm Inc. increased profit forecasts. The NASDAQ, Dow Jones and S&P 500 surged 2.52%, 1.99% and 2.25%, respectively. UPS jumped 5.2% as growing overseas demand and cost- cutting improved the earnings outlook at the world's largest package-delivery company. AT&T rose 2.4% as quarterly profit beat analysts' estimates on demand for Apple Inc.'s iPhone. Qualcomm, the biggest maker of chips that run mobile phones, jumped the most since November 2008 as it predicted higher selling prices for devices based on its technology. Index Latest 1D Chg YTD FTSE 100 5313.81 1.90% (1.83)% CAC 40 3600.57 3.05% (8.53)% • UK stocks rose for a second day as a larger-than-forecast increase in retail sales eased concern that the economic recovery may be faltering. The FTSE 100 added 99.17 points or 1.90% at 5,313.81. Fashion retailers Burberry Group Plc and Marks & Spencer Group Plc rose 1.8% and 2.4%, respectively. Capita Group Plc surged 3.8% as Chief Executive Officer Paul Pindar said the company may win more government contracts

Buy / Sell (Jul 22, 2010)
	Buy					Sell	Net
FII	2269.96					2095.28	+174.68
DII	1272.39					1784.58	- 512.19

*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