The markets displayed the much needed strength despite the global pressures. The Nifty could hold above the 2886 level and the bottom support has not violated yet.
The bottom building process for the Nifty and for the important stocks like ONGC, ICICI, RELCAP, BHARTI, RCOM,HDFC HDFC Bank and may other. Now the strength was weakened due to RIL underperformance. Unless RIL trades above 1493 the Nifty could head no where. The markets are hoping to get support from RBI for rate cuts and stimulus package from GOI.
The Railway package can influence today before the interim budget on Monday.
The Nifty is strong above 2915 and weak below 2893, RIL is good above 1391 weak below 1381, ONGC is good above 706 and weak below 694, Infosys is weak below 1304 and weak below 1289, ICICI is weak below 411 and good above 421-23, Relcap is good above 426 and weak below 416 level.
Friday, February 13, 2009
Thursday, February 12, 2009
The Asian drag….
The Asian markets are in no good mood to move up can spread their shadow on our markets. The Nifty is good above 2915 level and has resistance above 2950 level.
The RIL may face resistance at 1405-08 level and will become weak below 1383 level to touch a low at 1341-43 level. The ONGC one of the leading counters of Nifty has suddenly got support with the 1200 cr IT case facing resistance at 720 level will become weak below 693 level will touch 671-73 level. The immediate support levels will hold as the markets are enjoying the Bulls support.
The two days consequent bear hammering on Relinfra right from the 593-96 level brought it down to 527 level could recover to 542 level. The scrip shall not trade below 511-14. The markets may re-rate RIL and the fertilizer companies with the gas supply.
Yesterday star performers like ICICI and Relcap may continue to get Bulls support. The ICICI is good above 421 levels but it has resistance at 447-46 level. The Relcap has resistance at 432-35 region but is good above 411.
The beaten down stocks made good recovery, be it ZEE, EDUCOM or MC-DOWELL. Yesterday ZEE lost nearly all the gain made in the previous session.
The RIL may face resistance at 1405-08 level and will become weak below 1383 level to touch a low at 1341-43 level. The ONGC one of the leading counters of Nifty has suddenly got support with the 1200 cr IT case facing resistance at 720 level will become weak below 693 level will touch 671-73 level. The immediate support levels will hold as the markets are enjoying the Bulls support.
The two days consequent bear hammering on Relinfra right from the 593-96 level brought it down to 527 level could recover to 542 level. The scrip shall not trade below 511-14. The markets may re-rate RIL and the fertilizer companies with the gas supply.
Yesterday star performers like ICICI and Relcap may continue to get Bulls support. The ICICI is good above 421 levels but it has resistance at 447-46 level. The Relcap has resistance at 432-35 region but is good above 411.
The beaten down stocks made good recovery, be it ZEE, EDUCOM or MC-DOWELL. Yesterday ZEE lost nearly all the gain made in the previous session.
Wednesday, February 11, 2009
The holding is ……….
The Nifty is fighting against all odds to stay afloat above 2900 level despite of the global pressures, enthused Bears are pulling down but managing to close above 2918 is a good sign to out-perform in future.
The day was saved by the Banking giants along with the telecom leaders as the FDI norms eased. The strength in the market to cross the 2955 level was at cross roads for sure as the heavy weights like LT, Bharti, NTPC, HDFC, HDFC bank, RIL and ONGC are fully saturated for now but the momentum in ICICI and Relcap with support from the reality gainst saved the day. Now it looks difficult for the Nifty to trade above 2955 level unless RIL trades above 1405 and ONGC above 720.
The news flow was lean to support the long waited but initiated bull move to take a momentum journey to scale above 3050 level. The Obama package has value but the most needed immediate triggers for the market lies in US consumer spending and rescuing the banks from the ill-liquid assets. At home the Govt interim budget shall focus on the Govt. spending on infra-structure/allocation and providing liquidity in the system.
The day was saved by the Banking giants along with the telecom leaders as the FDI norms eased. The strength in the market to cross the 2955 level was at cross roads for sure as the heavy weights like LT, Bharti, NTPC, HDFC, HDFC bank, RIL and ONGC are fully saturated for now but the momentum in ICICI and Relcap with support from the reality gainst saved the day. Now it looks difficult for the Nifty to trade above 2955 level unless RIL trades above 1405 and ONGC above 720.
The news flow was lean to support the long waited but initiated bull move to take a momentum journey to scale above 3050 level. The Obama package has value but the most needed immediate triggers for the market lies in US consumer spending and rescuing the banks from the ill-liquid assets. At home the Govt interim budget shall focus on the Govt. spending on infra-structure/allocation and providing liquidity in the system.
Monday, February 09, 2009
The best to cross…..
The Friday rally in US markets shall trigger rally in our markets as well. The Asian markets are also taking cues from the US trading in green with 1-2% gains. The opening can be in green but the afternoon holding on higher levels will determine the upward movement of the Nifty.
The Nifty has shown its first signs of revival to move upwards were shown in the last Friday on 30th Jan but failed to hold on the gains to gain momentum due to tiredness in buying interest as no global cues supported. The Nifty made a high of 2881 on 30th Jan either crossed or the closing was made below the low of 2750 level. The whole week was maintained between these 150 points.
Now once again the Nifty made a reattempt to close above 2835 level. The strengths were drawn from the heavy weights like RIL, ONGC, NTPC, HUL and Infosys along with renewed buying interest in metal pack and the bottom support to IT and Banking sector pushed the Nifty upward.
The bullishness in the RIL came to a resistance level unless it closes above 1375 level. The banking sector build decent bottom building can trigger a rally of 10-15% from the current levels. The ADRs rally though gives some relief to techs but the US policies dampen the interest in these counters.
The Nifty has the potential to touch 2930 level has bottom support at 2780 level and is good for Bull so long it trades above 2813-15 level. The RIL can cross 1375 has bottom support and good above 1321 level. The ICICI can touch 418 level and good above 406. The Infosys has resistance at 1315-20 region and support at 1236-42 regions. The metals especially the ferrous sector has bright future as the infrastructure spending especially in sea ports and airports will get further boost.
The Nifty has shown its first signs of revival to move upwards were shown in the last Friday on 30th Jan but failed to hold on the gains to gain momentum due to tiredness in buying interest as no global cues supported. The Nifty made a high of 2881 on 30th Jan either crossed or the closing was made below the low of 2750 level. The whole week was maintained between these 150 points.
Now once again the Nifty made a reattempt to close above 2835 level. The strengths were drawn from the heavy weights like RIL, ONGC, NTPC, HUL and Infosys along with renewed buying interest in metal pack and the bottom support to IT and Banking sector pushed the Nifty upward.
The bullishness in the RIL came to a resistance level unless it closes above 1375 level. The banking sector build decent bottom building can trigger a rally of 10-15% from the current levels. The ADRs rally though gives some relief to techs but the US policies dampen the interest in these counters.
The Nifty has the potential to touch 2930 level has bottom support at 2780 level and is good for Bull so long it trades above 2813-15 level. The RIL can cross 1375 has bottom support and good above 1321 level. The ICICI can touch 418 level and good above 406. The Infosys has resistance at 1315-20 region and support at 1236-42 regions. The metals especially the ferrous sector has bright future as the infrastructure spending especially in sea ports and airports will get further boost.
Sunday, February 08, 2009
The hope beneath …..
The markets are expecting some miracle to save from the grave situation. The fast deterioration of the confidence at the future is the main concern. This is more worrying in India than in US. The world has accepted the fact that the US is in recession that to in deep but the un conventional accenting facts that are fast emerging is that the future of the emerging markets are also becoming bleak.
The Indian authorities are confident that the growth rate is at 7% but the fall in the commodities and the real estate sector is hurting the investment proposals. The auto sector is reeling under demand contraction is a classic example of slow down in economy. When there is slow down in goods vehicles is that there is less produce to transport and no demand to export or import.
The no industry not impacted by the demand slow down but the positive signs of price movement can be felt in the same transport sector- the rise in the prices of GE Shipping, SCI, Maruti, Hero Honda and the slight up ward movement in the commodity sectors- ACC, Grasim, Ultra tech, Sail, and in Tata steel are the early signs of knowlegible HNI-people/sources entering to garner the large chunk at deep discount.
The pure technicals show that the markets are at no where movement but the violence is deep during the intraday isnot a good sign for an early Bull move. The bears are determined to short at every rise is helpful to scale new highs in a Bull market is a detrimental force while the markets are finding secured bottom to build an up move. But the fact of the life is that these forces strengthen if the markets can stand against the storm.
The Nifty could build a bottom at 2665-85 level in the early part between 21st -27th Jan and then at 2750-2780 level between 28th to 6th Feb-09. During this process the Nifty did not make any trail to cross the 2880 level on closing basis. Incase Nifty can close above the important resistance level due to the positive global cues then it could easily touch the 3050 level.
The Indian authorities are confident that the growth rate is at 7% but the fall in the commodities and the real estate sector is hurting the investment proposals. The auto sector is reeling under demand contraction is a classic example of slow down in economy. When there is slow down in goods vehicles is that there is less produce to transport and no demand to export or import.
The no industry not impacted by the demand slow down but the positive signs of price movement can be felt in the same transport sector- the rise in the prices of GE Shipping, SCI, Maruti, Hero Honda and the slight up ward movement in the commodity sectors- ACC, Grasim, Ultra tech, Sail, and in Tata steel are the early signs of knowlegible HNI-people/sources entering to garner the large chunk at deep discount.
The pure technicals show that the markets are at no where movement but the violence is deep during the intraday isnot a good sign for an early Bull move. The bears are determined to short at every rise is helpful to scale new highs in a Bull market is a detrimental force while the markets are finding secured bottom to build an up move. But the fact of the life is that these forces strengthen if the markets can stand against the storm.
The Nifty could build a bottom at 2665-85 level in the early part between 21st -27th Jan and then at 2750-2780 level between 28th to 6th Feb-09. During this process the Nifty did not make any trail to cross the 2880 level on closing basis. Incase Nifty can close above the important resistance level due to the positive global cues then it could easily touch the 3050 level.
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