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We can say that Indian stock market is moving in a narrow trading range and the clear direction will be emerging post the F&O expiry and budget for year 2010. The complete market is looking for a positive budget. Major buying decisions for stocks to be postponed till the completion of budget as thereafter we are going to see a prolonged holiday session. The day gone by has seen a lackluster session and some gains were seen in realty and IT stocks whereas consumer durables, health care and auto stocks were given a thumbs down approach. Indecisiveness due to Railway Budget 2010-11 led to the movement in a tight band amidst very high volatility with sharp spikes on both sides.
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The benchmark Sensex closed at 16,256, down 30 points or 0.19% and the Nifty fell by 11 points or 0.24% to 4,859. Short positions are being build in the market and implied volatility has increased marginally indicating that volatility will continue to remain high till the expiry of February F&O contract. The main levels at the Dallal street to be kept under observation is as given below
Indices | Support | Resistance |
Nifty | 4799 | 4918-4975-4993 |
Sensex | 15999 | 16576 |
Rail Budget 2010
mamta Banerjee has shown her magic and as taken the cognisance of the Prime Minister office note of not increasing the freight rates. She has given an ambitious plan of laying line to the tune of 1000 kms a year instead of present 158 Kms. Indian railways has come with a vision till year 2020 and believes in greater participation by public and civil sector. The companies which are going to get benefitted are KEC international, Bharat electriclas, BHEL, Kalindee rail, Titagarh wagons and Texmaco. However one may enter in these scrips with long term perspective. Railways plans to raise Rs 10,000-20,000 crore in FY'11 and is exempting exam fee for minority classes and is not increasing freight tariff> Moreover the work on 67 multifunctional complexes has started as per the railways minister. 80,000 new wagons are going to be introduced with 54new trains in FY11. Door-to-door service for freight movement and to set up dedicated passenger corridor is main on her agenda.
Jackpot Intraday Tips
The jackpot equity call performed even in an indecisive market and gave a profit of Rs 1750 for Rs 50000 trading.
Day Trading Techniques
The subscribers despite the day when the volatility was the order of the day, still made the gains of Rs 7800 by day trading.
F&O Tips
F&O subscribers had a field day with profit being small to the tune of Rs 17465 as a few tips did not get activated as the entry price was not reached in those stocks.
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Kudos
We take the opportunity to compliment Sachin Tendulkar for his remarkable 200 runs not out in one day cricket.
NSE Strong future
Glaxo, Siemens, JSW Steel, Orient Bank, Mcdowell-N, Titan, Hdfc Bank, Hindalco, HCL Tech & Aurobindo Pharma
National Stock Exchange Weak futures
Bajaj Hind, FSL, ICSA, EKC, Dish TV, Polaris Software, DLF, Balrampur Chini, Renuka & Suzlon
Economic Newsletter
Railway funding plan hints at tighter govt budget.
NMDC $3 bln share sale to open on March 10 .
Indian banks' exposure to Dubai World limited: RBI.
Stimulus helped economy withstand slowdown: FM.
Scuffles break out as hundreds of thousands of Greeks strike to protest at austerity measures imposed to save the economy.
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