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Kindly keep checking the blog after 12 PM daily as there will be stock ideas and updates after 11.00am to get the HOT PICK
MARKET REMAINED IN A NARROW RANGE OF CONSOLIDATION FOR THE 3RD DAY. NIFTY ENDED DOWN AT 5885.70 AND SENSEX AT 19591.18. THIS CONSOLIDATION MIGHT CONTINUE FOR NEXT 5-8 TRADING SESSIONS AND THERE AFTER WHEN THE Q4 NUMBERS START DROPPING IN THEN THE MARKET WILL TAKE FRESH CUES & DIRECTION. THE RANGE FOR THE CONSOLIDATION SHALL BE 5750-5950.
CATCHUP RALLY IN THE BROADER MARKET SHALL HEAD THE MARKET TO 6200-6300 LEVELS AND THEN AFTER 4-5 MONTHS MARKETS SHALL GO BEYOND 6300.HOWEVER THIS IS PREEMPTIVE RALLY. MARKET IS ANTICIPATING THAT CRUDE OIL PRICES WILL CORRECT AND INFLATION WILL COME DOWN. HENCE ITS A PREEMPTIVE CALL THAT CRUDE OIL & OTHER COMMODITY PRICES WILL NOT SURVIVE AT THESE LEVELS AND SPECULATIVE MOVES SHALL NOT SURVIVE FOR LONG TIME, THERE WILL BE PULL BACK. INFLATION IS CONSIDERED TO BE PEAKED OUT AND THERE WILL BE SLOW DOWN IN THE RATE BY NEXT 5-6 MONTHS. AS THE STOCK MARKET ANTICIPATES THE 6 MONTHS EVENTS/MOVES THERE IS STRONG MOMENTUM BEING BUILT MAKING THE SENTIMENT UNDERTONE BULLISH. ITS CLEARLY VISIBLE THAT SMALL-CAP & MID-CAP INDEX IS OUT PERFORMING THE LARGE CAP INDEX & STOCKS, SHOWING THE PREPARATION FOR A BLOW-OFF RALLY IN DAYS TO COME IN LARGE CAPS. NIFTY MAY HIT 6200-6300 ON ANY GOOD NEWS IN Q4 EARNING NUMBERS AND OIL COOLING DOWN.
ITS GOOD TIME TO MAKE MID-CAP PORTFOLIO TO GET THE OUT PERFORMANCE AS THE LARGE CAP ARE IN CONSOLIDATION MODE. HENCE ANY CORRECTION TO 5700-5650 SHOULD BE USED TO BUY MID-CAP STOCKS. I.T AND BANKING SECTOR SHOULD BE AVOIDED FOR FRESH ALLOCATION IN LARGE CAP AS THERE IS ALREADY FAIR VALUATIONS IN THESE STOCKS LIKE SBI, ICICIBANK, HDFCBANK, LIC HOUSING FIN, ETC..
ARGUMENTS IN FAVOR OF MARKET MOMENTUM:
1. FIIs are the net buyers in cash market for last 3-4 trading sessions continuously.
2. Strong market breadth, shows wider market participation.
3. Low global Volatility showing returning confidence in equity and settlement of geo-political crisis.
ARGUMENTS AGAINST THE MARKET MOMENTUM:
1.Stock Futures have seen start of adding open interest (OI), which is dangerous for the markets as the series will become heavy and could trigger correction any time, giving away the momentum in the stocks and index.
2. High commodity prices may hurt the sentiment once again if they continue to sustain for longer period than expected. Any bad Global news, geo-political unrest might cause more hike in crude oil prices which may leave the FIIs to re-assess the situation on Indian front.
3. DIIs remain the Net sellers is also a cause of worry. There could be some correction trigger, may be domestic or global, which might pull back the index to 5600 levels, giving an opportunity for re-entry for those who were left overs.
TODAY CAUTION SHOULD BE TAKEN FOR INTRA-DAY TRADES AS AT THE END OF THE WEEK THERE COULD BE SELLING PRESSURE WHICH MIGHT LEAD NIFTY TO 5800 LEVELS. HOWEVER IF NIFTY SUSTAINS THE 5900 LEVEL AT THE END OF THE DAY, THERE MAY BE SOME INDEX RALLY TO 5950-5980 LEVELS ANY TIME DURING THE NEXT WEEK.
SHIPYARD AND FERTILIZER STOCKS LOOK GOOD TO ACCUMULATE. FOLLOWING STOCKS ARE WORTH LOOKING FOR DELIVERY BUY FOR NEXT 30-60 DAYS.
1. ABG SHIPYARD(400.10): STOCK MAY HIT 430-480 LEVELS.
2. BHARTI(357.00): STOCK MAY HIT 380-410 LEVELS SOON.
3. ZUARI IND(671.95): STOCK MAY HIT 720-780.
4. IVRCL (94.50): STOCK MAY HIT 105-110++ LEVELS SOON.
Safe Harbor
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.Nothing in this article is, or should be construed as, investment advice.
Disclaimer:
This is neither an offer nor a solicitation to purchase or sell securities. The information and views contained on this blog are believed to be reliable, but no responsibility (or liability) is accepted for errors of fact or opinion. Writers and contributors may be trading in, or have positions in the securities mentioned in their articles. Neither I (Vikas Srivastava) nor any of the contributors accepts any liability arising out of use of the above information/article. Reproduction in whole or in part without written permission is prohibited.
Kindly keep checking the blog after 12 PM daily as there will be stock ideas and updates after 11.00am to get the HOT PICK
MARKET REMAINED IN A NARROW RANGE OF CONSOLIDATION FOR THE 3RD DAY. NIFTY ENDED DOWN AT 5885.70 AND SENSEX AT 19591.18. THIS CONSOLIDATION MIGHT CONTINUE FOR NEXT 5-8 TRADING SESSIONS AND THERE AFTER WHEN THE Q4 NUMBERS START DROPPING IN THEN THE MARKET WILL TAKE FRESH CUES & DIRECTION. THE RANGE FOR THE CONSOLIDATION SHALL BE 5750-5950.
CATCHUP RALLY IN THE BROADER MARKET SHALL HEAD THE MARKET TO 6200-6300 LEVELS AND THEN AFTER 4-5 MONTHS MARKETS SHALL GO BEYOND 6300.HOWEVER THIS IS PREEMPTIVE RALLY. MARKET IS ANTICIPATING THAT CRUDE OIL PRICES WILL CORRECT AND INFLATION WILL COME DOWN. HENCE ITS A PREEMPTIVE CALL THAT CRUDE OIL & OTHER COMMODITY PRICES WILL NOT SURVIVE AT THESE LEVELS AND SPECULATIVE MOVES SHALL NOT SURVIVE FOR LONG TIME, THERE WILL BE PULL BACK. INFLATION IS CONSIDERED TO BE PEAKED OUT AND THERE WILL BE SLOW DOWN IN THE RATE BY NEXT 5-6 MONTHS. AS THE STOCK MARKET ANTICIPATES THE 6 MONTHS EVENTS/MOVES THERE IS STRONG MOMENTUM BEING BUILT MAKING THE SENTIMENT UNDERTONE BULLISH. ITS CLEARLY VISIBLE THAT SMALL-CAP & MID-CAP INDEX IS OUT PERFORMING THE LARGE CAP INDEX & STOCKS, SHOWING THE PREPARATION FOR A BLOW-OFF RALLY IN DAYS TO COME IN LARGE CAPS. NIFTY MAY HIT 6200-6300 ON ANY GOOD NEWS IN Q4 EARNING NUMBERS AND OIL COOLING DOWN.
ITS GOOD TIME TO MAKE MID-CAP PORTFOLIO TO GET THE OUT PERFORMANCE AS THE LARGE CAP ARE IN CONSOLIDATION MODE. HENCE ANY CORRECTION TO 5700-5650 SHOULD BE USED TO BUY MID-CAP STOCKS. I.T AND BANKING SECTOR SHOULD BE AVOIDED FOR FRESH ALLOCATION IN LARGE CAP AS THERE IS ALREADY FAIR VALUATIONS IN THESE STOCKS LIKE SBI, ICICIBANK, HDFCBANK, LIC HOUSING FIN, ETC..
ARGUMENTS IN FAVOR OF MARKET MOMENTUM:
1. FIIs are the net buyers in cash market for last 3-4 trading sessions continuously.
2. Strong market breadth, shows wider market participation.
3. Low global Volatility showing returning confidence in equity and settlement of geo-political crisis.
ARGUMENTS AGAINST THE MARKET MOMENTUM:
1.Stock Futures have seen start of adding open interest (OI), which is dangerous for the markets as the series will become heavy and could trigger correction any time, giving away the momentum in the stocks and index.
2. High commodity prices may hurt the sentiment once again if they continue to sustain for longer period than expected. Any bad Global news, geo-political unrest might cause more hike in crude oil prices which may leave the FIIs to re-assess the situation on Indian front.
3. DIIs remain the Net sellers is also a cause of worry. There could be some correction trigger, may be domestic or global, which might pull back the index to 5600 levels, giving an opportunity for re-entry for those who were left overs.
TODAY CAUTION SHOULD BE TAKEN FOR INTRA-DAY TRADES AS AT THE END OF THE WEEK THERE COULD BE SELLING PRESSURE WHICH MIGHT LEAD NIFTY TO 5800 LEVELS. HOWEVER IF NIFTY SUSTAINS THE 5900 LEVEL AT THE END OF THE DAY, THERE MAY BE SOME INDEX RALLY TO 5950-5980 LEVELS ANY TIME DURING THE NEXT WEEK.
SHIPYARD AND FERTILIZER STOCKS LOOK GOOD TO ACCUMULATE. FOLLOWING STOCKS ARE WORTH LOOKING FOR DELIVERY BUY FOR NEXT 30-60 DAYS.
1. ABG SHIPYARD(400.10): STOCK MAY HIT 430-480 LEVELS.
2. BHARTI(357.00): STOCK MAY HIT 380-410 LEVELS SOON.
3. ZUARI IND(671.95): STOCK MAY HIT 720-780.
4. IVRCL (94.50): STOCK MAY HIT 105-110++ LEVELS SOON.
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.Nothing in this article is, or should be construed as, investment advice.
Disclaimer:
This is neither an offer nor a solicitation to purchase or sell securities. The information and views contained on this blog are believed to be reliable, but no responsibility (or liability) is accepted for errors of fact or opinion. Writers and contributors may be trading in, or have positions in the securities mentioned in their articles. Neither I (Vikas Srivastava) nor any of the contributors accepts any liability arising out of use of the above information/article. Reproduction in whole or in part without written permission is prohibited.
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