Last week Indian Stock Market were bearish due to weak global cues and lower then expected results from Infosys led the fall on the last day of the week. Sensex closed at 18675.18 and Nifty at 5676.05 closing lower around 1.3% over the previous week.
Going forward, its expected that market will trade in a range of 5600-5850 till the earning season and before the winter session of the Indian parliament scheduled to start from early November 2012. Now its important to note that if the measures taken by the Indian cabinet taken on the reforms are passed by the parliament, lot of structural changes may happen which may let the Indian rupee (INR) to appreciate sharply and Indian stock markets may rally higher. In such a situation we might see new to in indices. However its important to note that role of opposition has been infringing and producing hurdles in the normal conduct of affairs of Parliament. Hence that's the only concern worrisome. Results of companies like Reliance, ITC, TCS etc., and inflation data on 15th October, 2012 has to be watched very keenly. Hence one should buy on every dip and add on every major fall. Stocks like GSK CONSUMER, RALLIS, BATA, TRENT, DELTA CORP, EXIDE, ETC
Nifty has given a smart bullish rally of almost 11.50% (from 5215 to 5835) in a time span of just one month. Now Nifty is likely to move in a range of 5600 and 5850 in the short term.
If Nifty is able to sustain above 5850(of course, which will be if some positive signals are received from domestic front regarding political and economic stability) upward rally might continue till 5940 in the short term however if Nifty breaches below 5610 would indicate the end of the current rally and in that case Nifty might test to 5450 also (of course, which will be if some negative signals are received from domestic front regarding political and economic stability). Hence all long positions of a trader should be guarded with strict stop-loss of 5600.
FOR THIS WEEK:
No trading Zone is 5610-5730.
Go long in Indices above 5730 with a stop-loss of 5610 for the target of 5790-5850.
Go short in Indices below 5610 with a stop-loss of 5730 for the target of 5530-5450.
STOCKS TO BUY IN DELIVERY FOR PERIOD OF 45-60 DAYS:
1. UNITED BANK OF INDIA(67.80): Buy for the target of 72-76-82++++ without any stop-loss. Add on dips.
2. DIVIS LAB(1139.85): Buy for the target of 1180-1220-1300+++ without any stop-loss. Add on dips.
3. SAINT GOBAIN(38.80): Buy for the target of 44-48-52-58++++without any stop-loss. Add on dips. Note there is de-listing buzz once again. Hence buy buy buy+++++++++(Must Buy)
4. THOMAS COOK(60.85): Buy for the target of 66-72-80-90-100-110 without any stop-loss. Add on dips.Note there is de-listing buzz once again. Hence buy buy buy+++++++++(Must Buy)
5. GLAXOCON(2999.90): Buy for the target of 3080-3140-3220-3350-3480-3550-3600+++++ without any stop-loss. Add on dips. ( Safe buy for conservative investors). Next year target is 5200+++++. Must buy.
Safe Harbor Statement:
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.
Going forward, its expected that market will trade in a range of 5600-5850 till the earning season and before the winter session of the Indian parliament scheduled to start from early November 2012. Now its important to note that if the measures taken by the Indian cabinet taken on the reforms are passed by the parliament, lot of structural changes may happen which may let the Indian rupee (INR) to appreciate sharply and Indian stock markets may rally higher. In such a situation we might see new to in indices. However its important to note that role of opposition has been infringing and producing hurdles in the normal conduct of affairs of Parliament. Hence that's the only concern worrisome. Results of companies like Reliance, ITC, TCS etc., and inflation data on 15th October, 2012 has to be watched very keenly. Hence one should buy on every dip and add on every major fall. Stocks like GSK CONSUMER, RALLIS, BATA, TRENT, DELTA CORP, EXIDE, ETC
Nifty has given a smart bullish rally of almost 11.50% (from 5215 to 5835) in a time span of just one month. Now Nifty is likely to move in a range of 5600 and 5850 in the short term.
If Nifty is able to sustain above 5850(of course, which will be if some positive signals are received from domestic front regarding political and economic stability) upward rally might continue till 5940 in the short term however if Nifty breaches below 5610 would indicate the end of the current rally and in that case Nifty might test to 5450 also (of course, which will be if some negative signals are received from domestic front regarding political and economic stability). Hence all long positions of a trader should be guarded with strict stop-loss of 5600.
FOR THIS WEEK:
No trading Zone is 5610-5730.
Go long in Indices above 5730 with a stop-loss of 5610 for the target of 5790-5850.
Go short in Indices below 5610 with a stop-loss of 5730 for the target of 5530-5450.
STOCKS TO BUY IN DELIVERY FOR PERIOD OF 45-60 DAYS:
1. UNITED BANK OF INDIA(67.80): Buy for the target of 72-76-82++++ without any stop-loss. Add on dips.
2. DIVIS LAB(1139.85): Buy for the target of 1180-1220-1300+++ without any stop-loss. Add on dips.
3. SAINT GOBAIN(38.80): Buy for the target of 44-48-52-58++++without any stop-loss. Add on dips. Note there is de-listing buzz once again. Hence buy buy buy+++++++++(Must Buy)
4. THOMAS COOK(60.85): Buy for the target of 66-72-80-90-100-110 without any stop-loss. Add on dips.Note there is de-listing buzz once again. Hence buy buy buy+++++++++(Must Buy)
5. GLAXOCON(2999.90): Buy for the target of 3080-3140-3220-3350-3480-3550-3600+++++ without any stop-loss. Add on dips. ( Safe buy for conservative investors). Next year target is 5200+++++. Must buy.
Safe Harbor Statement:
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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