Markets For 03-03-2008

MARKETS FOR 03 MARCH 08

Sentiments are Weak ,Markets Are Likely To Test Its Very Bottom Shortly.

WELL FINANCE MINISTER DID EVERYTHING HE COULD DO TO PRESENT AN AAM ADMIS BUDGET. IT IS GOOD FOR THE FARMERS, SALARIED CLASS, LADIES, GOOD FOR UPA GOVT FOR COMING ELECTIONS SO ON & SO FORTH. BUT HOW GOOD IS IT FOR STOCK MARKET ? IF YOU THINK OF IT, IT IS ABSOLUTELY NEGETIVE FOR STOCK MARKETS AND IT HAS HIT THE CAPITAL MARKETS WITH A BIG HAMMER ON THE HEAD TO SINK & SINK. IMPOSITION OF 50 % EXTRA SHORT TERM CAPITAL GAIN TAX BY RAISING IT FROM 10% TO 15% WAS PERHAPS THE FINAL NAIL ON THE COFFIN. AT LEAST SLIGHT LOWERING OF CORPORATE TAX OR CANCELLATION OF SURCHARGE AS WAS DISCUSSED BY MANY ANALYSTS BEFORE THE BUDGET CAME TO NAUGHT & NOW OUR MARKETS WILL NO MORE NEED THE OVERNIGHT US MARKETS WEAKNESS FOR A FALL BUT WILL FALL ON ITS OWN IN COMING DAYS. BE SURE TO SEE INDICES RETESTING & PIERCING THE JAN 08 LOWS THIS MONTH. AS PER 1 YEAR DAILY EOD CHART ABOVE,NIFTY HAS MADE A PERFECT TRIANGULAR PATTERN OF RETRACEMENT 2ND WAVE OF WAVE C WITH BASE AROUND 200 DAY EMA AT 5100 LEVELS FROM WHERE NIFTY BOUNCE ON BUDGET DAY. MOST LIKELY THIS SUPPORT WILL BREAK ON MONDAY MORNING AND CLEAR THE ROAD FOR MUCH LOWER LEVELS AS ONSET OF 3RD DOWN WAVE OF WAVE C. OTHER IMPORTANT INDICATOR SLOW STOTCH HAS JUST TURNED DOWNWARDS BEFORE ENTERING THE UPPER ZONE & IF THIS SLIDES TOWARDS LOWER ZONE WHICH LOOKS MOST LIKELY, NIFTY SPOT MAY BREACH FINAL SUPPORT OF 50 WEEK EMA AROUND 5000 LEVELS TO MAKE NEW LOWS FOR 2008 AS PART OF 3RD WAVE OF WAVE C

NIFTY SPOT LIKELY SCENARIO INTRA DAY: (5223)

DOW ENDS DOWN 315 POINTS ON FRIDAY.

NASADAQ DOWN 60 POINTS .

SINGAPORE NIFTY FUTURES 5110 @ 19.30 HRS. SATURDAY.

NIFTY VIEW:

NOW TILL NIFTY SPOT CAN CLOSE ABOVE 5370 , MKT LIKELY TO TEST 5093, 5056/5030,4805.

TODAY:

Nifty Spot

NIFTY WEAK IF SUSTAINS BELOW BELOW 5190.

NIFTY OK IF SUSTAINS ABOVE 5232.

US MKTS CLOSED IN RED, ASIAN MKTS LIKELY TO FOLLOW AND SO ARE OUR MKTS. EXPECT DOWNSIDE GAP OPEN NEAR 5150 WITHIN MINUTES.

BELOW 5150 IF 5134 ALSO BREAKS THEN FURTHER WEAKNESS CAN NOT BE RULED OUT TO TEST SUPPORT @ 5093. SUBSEQUENT LEVELS MAY BE 5056/5030.

NOW IF WHENEVER 5030 IS ALSO TAKEN OUT THEN GET READY FOR 4805 SHORTLY.

TODAY IS VERY CRITICAL DAY. DUE TO WHATEVER REASONS IF MKT CAN CLOSE ABOVE 5305 THEN I WILL BET ON HITTING 5500 SHORTLY.

200 DMA IS PLACED AT 5052.

Nifty Cash Recommendations for 03 March 2008

Nifty Support At 4980-5065-5160 Resistance At 5340-5370-5400

Support At 17250-450 Resistance At 18250-500

F U T U R E S

VIJAYA BANK SEEING GOOD ACCUMULATION ACCUMULATE IN FNO OR DELIVERY FOR GOOD RETURNS BY THIS CLEARING

Recommendations for 03 March 2008

Scrip	Trigger	Price	Stop Loss	Target 1	Target 2
INDHOTEL	BUY ABOVE	127.45	126.30	128.70	130.50
	SELL BELOW	124.90	126.05	123.65	121.95
IDFC	BUY ABOVE	197.10	195.35	199.10	201.90
	SELL BELOW	193.20	194.95	191.30	188.60

STAR PERFORMANCE TODAY’S

NIFTY, NTPC, DISHMAN, KEIIND, PRAJ, RPOWER,