Morning Bells (26 Dec 12)

Good Morning Friends.

Agar hame SAFAFLATA chahiye ho to fir BAHANE bhool jaiye… aur agar hamare pas BAHANE bahut he to fir SAFALATA bhool jaiye.

Despite opening with a positive gap, the market failed to build on its early gains and turned choppy as investors were making adjustments ahead of December expiry on Thursday. Some selling was witnessed in the Metals, Oil & Gas and the Consumer Durables stocks which saw the main indices close flat.

Among the major gainers were, the Telecom, realty, IT and the Healthcare stocks. TCS, Infosys, Wipro, NTPC, Bharti Airtel, Sun Pharma, BHEL, Tata Steel,  Bajaj Auto and Tata Motors were among gainers while RIL, ONGC, HDFC Bank, ICICI Bank, M&M, Hindalco, SBI, Maruti Suzuki, Hero MotoCorp, BHEL, Jindal Steel, HDFC Bank and L&T were among losers in Sensex and Nifty.

Stocks which hit 52 week high during the week were, Hinduja Vent, Madras Cements, JK Lakshmi Cement, Sagar Cements and Shree Digvijay.

Stocks which hit 52 week low during the week were, Himachal Futur, Samtel India, Zuari Global, Raasi Refrac and Geodesic.

So nothing much to say before expiry as volume could be low and big investors may remain sideline ahead of festive season.

From being the worst performing market globally in 2011, Indian equities turned the corner registering a 25 percent return year to date and surprisingly the Indian markets climbed the wall of worry both the global and the domestic, to rank the 3rd best-performing market globally and the best performing market in Asia in 2012.

The Reserve Bank y’day said it will pump in Rs 8,000 crore in the market on December 28 by buying government securities to ease the liquidity situation. RBI decided to conduct Open Market Operations (OMOs) by purchasing government securities for an aggregate amount of Rs 8,000 crore on December 28, 2012," RBI said in a statement. It could give strength to market.

MARKET OUTLOOK –

We are just 2 days left for expiry, but I guess there wouldn’t be much volume ahead of Christmas holidays. So if it expiry goes flat then there could be high chances for some good move in the beginning of Jan Series.

Levels to be watched closely 5835 & 5785, both has good support while resistance seems 5950-5980

The INDIA VIX on NSE was down 0.96% and ended at 14.49 against 14.63 and FNO PCR is 0.94.

The rupee rose 0.2% and ended at 54.95 than its previous close of 55.06/07.

S&P 500 (US) ended at 1430.15 down 13.54.

FII DERIVATIVES STATISTICS FOR 24 Dec 2012
	BUY		SELL		OPEN INTEREST AT THE END OF THE DAY		Difference
	No. of contracts	Amt in Crores	No. of contracts	Amt in Crores	No. of contracts	Amt in Crores
INDEX FUTURES	97045	2867.73	91480	2689.45	483303	14069.63	178.28
INDEX OPTIONS	326318	9560.71	317886	9326.65	1652359	48446.57	234.06
STOCK FUTURES	249633	7470.37	225078	7151.70	1214041	36059.80	318.67
STOCK OPTIONS	35740	1038.24	39306	1136.34	83102	2335.88	-98.10

FII bought 5565 contracts worth Rs. 178.28 Cr. and OI increased by 4,57,316 contracts.

6000CE has highest OI of 1.17 Crore with unwinding of 8 Lacs contracts while 5900PE has highest OI of 90.63 Lacs with addition of 4.82 Lacs contracts.

NIFTY OUTLOOK –

Nifty is in range of 5785-5835-5990-6040. Fire work or new upmove we can be seen in New series.

Resistance comes to 5870 - 5885 – 5900 - 5950 and Supports comes to 5843 – 5830 – 5815 - 5783.

Opening seems flat to positive but after opening session could be choppy.

STOCK OUTLOOK -

(Stock outlook needs to watch stock movement carefully and then one can bet after having a look, I tried to put related info which will help you in taking positions.)

GMR – GMR Highways commissions two project before time. The two new projects are expected to generate revenue in the range of Rs. 75 to 80 lakhs per day for the former and Rs. 18 to 20 lakhs per day for the latter. With the commencement of these two projects, the Group has now a portfolio of eight operating highways. 

Auto –

Maruti –

Maruti Suzuki India  said it has started spadework to set up its second facility in Gujarat with acquisition of another 600 acres, in addition to its existing plan to invest Rs 4,000 crore for setting up a plant in the state.

              

============ OPEN CALLS ============

# Please remember when I make special remark with any position then one should need to take care of that else you can make loss instead of profit.

# Be with strict SL and don’t hesitate to book profit if Nifty doesn’t shows strength.

Dishman - @118 for TG 130+ SL 107

DB Corp – @219 TG 240+ SL 201 (1-4 Week)

============ INVESTMENT BASKET ============

(Stock in this section is with view of 3 months to 1 year)

Mahindra Holiday – @334 TG 375+

Satyam Computer – @103 TG 130+

============ HOT SHOT ============

Keep eye on following stocks, if Nifty shows strength then these stock can give you reasonable return in very short term –

FMCG – HUL & Tata Global

Pharma – United Phosphorus, Strides Acrolab

Cement Sector – may again show strength.

Today’s MG Mantra –

Due to some personal engagements there’s some time issue, hope you will bear this time with me.

Have a Profitable day – MG

Disclaimer –

1. I have shared my view as per my limited knowledge; please use your own skills to make a wise decision before execution of trade or consult your financial advisor.

2. Those that don’t have patience and are not willing to book loss also in cases don’t enter this market.