Buying and buying……

The markets witnessed un-precedent up move beyond expectations. The markets sensed the possible hassle free govt. formation at the centre and the foreign investments are now unabated. The stocks have become dirt cheap for them and the growth story is intact despite the poor IIP numbers contracted by 2.3% but the silver lining is that the power generation up by 6.3% and mining up by 0.4%. They are not deterred by the short-term month on month contracted numbers but focusing on overall long-term opportunity stored in as POTENTIAL.

The Asian markets are flat with negative bias. The US closed slightly in green but the NASDAQ was down by 1%. The Tata Steel plans to restructure the loan by prepayment; plans to raise 3000 crore through NCDs and plans for efficient use of Corus capacities in these turbulent times, layoffs could cross 10,000. The independent auditors will look into the books of telecos.
The RIL will repay nearly 15000 crores surplus cash flow due to the merger of RPL can save huge amount on interest. DLF wants to sell 10%, plans o raise 3850 crores through QIP route.

The Nifty is in Bull grip with yesterday move so long it trades above 3573-71 level. The immediate support for today’s trade is at 3640 level but the up side resistance is also close at 3720 level again at 3736-41 level. So a more consolidation moves on the cards.

The RIL is strong above 1894 but the resistance at 1963 and at 1981. The bull move has the potential to take it to 2040 to 2057 level.

The Rel infra has resistance at 803-06 level and become weak below 77169 level. The ICICI has resistance at 559-61 level and the second one at 576 level and the support exists at 542-44 level. The Relcap may test 583-86 level but become weak below 548 level.