Morning Bells (19 July 13)

Good Morning Friends.

“Do not expect the circumstances to be always in your favour, because this world has not been created for you alone!”

The week has been intensely volatile on varied cues both domestic and international and I am expecting volatility to perk up today as its already weekly closing day and secondly today is the day of industry heavyweight Reliance Industries.

Y’day better-than-expected quarterly earnings led by Axis Bank, HDFC Bank and Kotak bank swung the mood.

Gainers –

Hindustan Unilever, Asian Paints, Ambuja Cements, NTPC, ITC, Tata Power, ACC and Reliance Industries were among the top gainers.

Losers -

Tata Steel, Bank of Baroda, Axis Bank, Ranbaxy, HDFC Bank, Cairn India, NMDC and IndusInd Bank lost out in trade Y’day.

Sectoral –

It was great day, not a single sector on the Bombay Stock Exchange ended in the red.

Domestic Front –

Global Front –

=====================  MARKET OUTLOOK  =====================

So finally market reacted of the measures taken by Govt. so if today also market continues its upward journey then chances would be high to touch previous high or for new high but here big dollar question is whether those levels are sustainable ? will it sustain the gains?

My view is – all depends on how Govt. executes number of initiatives it has recently announced. On upside one can expect 6230 and on downside many believes that it wont breach 5900 in short term. Break of 6230 would be a great surprise in the absence of initiative or any big trigger.

Apart from corporate earnings, Reserve Bank of India's monetary policy and monsoon session of parliament will provide the next big trigger for the market.

The INDIA VIX on NSE was down by 5.63% and ended at 18.27 against previous close of 19.36.

FNO PCR was 1.20 against previous close 1.13.

Indian Rupee – Rupee declined by 33 paisa and was trading at 59.67 against its previous close of 59.34.

S&P 500 (US) was trading at 1688.29 up 7.38 than its previous close at the time of writing M Bells.

Buzz Q1 Nos –

19 July – RIL, HDFC, Bajaj Auto, Hexaware

22 July – L&T

23 July – Century,

24 July – Yes Bank, Ambuja Cement, Cairn, Central Bank, HeroMoto, Indiabulls Real Estate, Uniphos

=======================  NIFTY OUTLOOK  ========================

Now for immediate short term market enter into 5900-6150 range. Today will confirm the trend, as earlier we had discussed that 2 successive close above 5935 will take Nifty to 6050/6100.

Opening – Market is set to start on positive note, however second part seems highly volatile ahead of heavyweight Q1 no.s and weekly closing day.

========================  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.)

Rcom –

Reliance Communications gained over 2.5% to close at Rs. 147 after the company launched a new 3G data offer at 2G data prices.

RIL –

Analysts on an average expect RIL to post  profit of anything between Rs 5,500- 6,000 crore on revenues of Rs 92,000 crore. The firm had posted Rs 44730 crore profit on revenues of Rs 918750 crore in the year-ago period.

FMCG -

Now talks in the market about whether FMCG sector will lose its shine or not? FMCG stocks which kept the index up even though the Bank Nifty was down by about 4.5-5 percent. So, having held on to these levels for that period of time some experts feel that its very doubtful that they would surrender the stock price levels so easily.

==================== 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 even small profit if Nifty doesn’t shows strength.

TRACK Today –

L&T – Buy above 988.5 TG 1007/1015 SL 984

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

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

============ PL Sheet (started from Jan 2013) ============

(If someone find any error in PL, please draw our attention)

MG Blog Fronm Jan 13 to June 13 (Total 58,800)

July 13 = +800

Billionaire Club from Jan 13 to June 13 (Total 1,25,600)

July 13 = +6500 – 4400 = +1100

Today’s MG Mantra –

Just watch and take clue from market online as its very uncertain how participant are going to react.

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.

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