Good Morning Friends.
Excellent
definition of friend – A friend is a gift given to you by your own behaviour.
Oh, market was just heading for
profit booking ahead of Rajya Sabha voting tomorrow and at right time all of
sudden BSP announced that they will support the Govt. in the retail FDI
vote in the Rajya Sabha . This will give the Govt. a majority and the UPA is
set to win the vote and market recovered from a 70 point dip to 80 point up,
what a swing.
The day began with a positive gap
but succumbed to selling pressure immediately following offloading in the
Telecom, IT and the Healthcare segment. Nifty hit an intra-day low of 5838 and then
Nifty bounced back led by the interest rate sensitive stocks like Banking, Auto
and the realty stocks.
RIL, ICICI Bank, Tata Steel, Tata
Power, NTPC, Tata Motors, Maruti Suzuki, Dr Reddys Lab, SBI were among gainers
in Sensex and Nifty.
Infosys, TCS, Wipro, Sun Pharma,Coal India, HDFC Bank, M&M, Bharti Airtel, Hero MotoCorp were among losers in Sensex and Nifty.
Dr. Parthasarathy Shome has been
appointed as Adviser to Finance Minister, in the rank of Minister of State,
co-terminus with the period of office of the Finance Minister. Dr. Shome was
responsible for constituting guidelines for General Anti Avoidance Rules (GAAR)
under the Shome Panel set up by Dr Manmohan Singh. So seems Govt is seriously
looking to roll out GAAR from April 2014.
The Cabinet has deferred its decision regarding National
Investment Board (NIB). Reports stated that Cabinet also renamed it as Cabinet
Committee on Investment.
On Domestic front – RBI monetary
policy review on Dec 18 where rate cut is unlikely.
On global front Employment
Situation (Dec 7) of US will be eyed.
According
to Jan Dehn,
co-head research, Ashmore Investment Management, feels that a deal on fiscal
cliff will be reached by January. He is of the view that both the Democrats and
the Republicans have too much to lose if they don't find an agreement.
So, overall, as said this week was
full of excitement and traders enjoyed the volatility.
MARKET OUTLOOK –
Market seems in uptrend and
participant eagerly waiting for breakout of 6000, but it may not be that much
easy. The winning streak on FDI will give a lot of courage to Govt. to go ahead
quicker, maybe during the session or post session, with a lot of things, which
are still incomplete, to revive the economy back into action
So now market again will turn to
further new flow i.e. proceeding for pending bill in parliament and will look
for global cues.
In the last two decades, the last month of the year
has generated returns between 0.7% and 15.7%, which has given birth to the
December phenomenon theory. Only four times in the last 20 years -1994, 2000,
2001 and 2011 - December has generated negative returns, states a recent
Morgan Stanley report.
The INDIA VIX on NSE was down 8%
and ended at 15.24 and PCR is down 0.75.
The
rupee gained 0.75% and traded at 54.13 against previous close 54.54 as per NSE
data.
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FII DERIVATIVES STATISTICS FOR 6 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
|
34282
|
1017.94
|
37919
|
1124.72
|
385129
|
11341.41
|
-106.78
|
|
INDEX
OPTIONS
|
634171
|
18700.81
|
638637
|
18835.08
|
1425103
|
42302.53
|
-134.27
|
|
STOCK
FUTURES
|
37642
|
1089.41
|
51388
|
1553.95
|
1103479
|
32087.22
|
-464.54
|
|
STOCK
OPTIONS
|
64294
|
1805.11
|
66887
|
1872.77
|
62374
|
1753.17
|
-67.66
|
FII sold 3637 contracts worth Rs. 106.78 Cr. and
booked profit on longs.
NIFTY
OUTLOOK –
Now all is set good for time being and most of it
was already priced in though a bit doubt always remain there so this volatility
was just part of that. Now I guess traders can go for profit booking and market
may see a small correction. May be it can take place today or next week. Going
forward 6050 – 6100 is on card.
Nifty will face resistance at / in the range of
5950 & 5980 while 5785 is the SL for longs for short term trend.
So for short term view Nifty seems in the range of
5785 – 6000.
6000CE has highest OI of 78.49 against Tuesday
OI of 82.11 meant 3.6 Lac decreased in OI, so traders have booked profit on
their longs. Profit booking also seen in 6100CE while 2.54 lacs contracts added
to 6200CE.
While on short side only major addition was
seen in 6000PE where 4.29 lacs contracts added. 5500PE still has highest OI of
69.11 Lacs while 5800PE has second highest OI of 63.48 lacs.
Resistance comes to 5969 – 5990 – 6007 - 6072 and
Supports comes to 5865 - 5838 – 5800 - 5785.
Opening seems flat and under pressure as guessed
all was priced in and people can go for profit booking, secondly its Friday
too, so market remain choppy. People who have already initiated longs need not
to worry at the moment and can keep SL 5785.
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.)
Realty & Infra –
After winning FDI vote in LS and post
RS vote win Realty, Infra and all rate sensitive stock to perform excellent in
coming days.
Our y’day’s Reliance Infra call rocked
and hope you would have earned good.
Life Style Segment –
There’s news of good salary hikes
and signal of increasing life style expenses. One can keep eye on Mahindra
Holidays & Thomas Cook.
KFA –
Looks attractive post Eithad
talks and seems Eithad looks serious player and taking things serious to enter
Indian market. If it comes to brand recall then KFA has good brand recall value
among its competitors.
United Spirit –
Is giving good moves, intraday
traders can watch 2-3 days its movement and then can earn good chunk of amount
in intraday to one week swing trading.
Auto
Sector –
Post FDI approval now its turn
for beaten sectors to out perform.
Tata Motors -
TM will among those stocks who can get benefit
of it. It may move to 287-289 level in coming days and then to 302. Keep SL
262.5 and then 254.
============
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.
DB
Realty - @128 for TG 145+ SL 107
Dishman
- @118 for TG 130+ SL 107 (Has given
buy signal and may see some move in this series)
Jindal
Photo - @145 for TG 160+ Updated SL 126 (126
on closing basis)
DB
Corp – @219 TG 140+ SL 201 (1-4 Week)
SBI
call spread – 2100PE @11 SL 4, 2400CE @23 SL 10 (hold
till next instruction)
Rel
Infra – @501 Updated SL 512 Updated TG 520+
Hero
MotoCorp – @1820 SL 1800 TG 1875+ (Positional)
Nifty
6100CE - @28 (2lot) – Booked loss at 18.
============
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+
============
TODAY’S PICK ============
(Intraday
to 1-2 sessions) –
For more update – stay on blog during market
hours.
Today’s
MG Mantra –
All were priced in and now Nifty needs a small
correction before making new high of 2012. Its Friday, so short term trader can
book profit.
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.