Markets For 05/02/2009

Daily Market Outlook:

Nifty: (2803) The market is stuck in a range and till there is a clear breakdown or breakout the direction will not be clear, Nifty range is 2750-2850, if it breaks 2750 then 2650-2600 is possible and on the upside above 2850 the rally could go to 3000-3100.

We advised to taking fresh long position till breakout occurs in nifty with level of 2850 or below 2740. Nifty Range is 2680-2870 and if nifty breaks then range are 3100-3150 is possible but we are not sure that these levels will sustain long.

Nifty support at 2705 and Resistance at 2840-2900

BSE Sensex: (9202) Our analysis Says,that be cautious about new bottom on the lower side also possible in Sensex 7200 and in nifty 1850-2000.The Support for the Sensex is 9030-8940 and the Resistance to the up move is at 9410

MKT COMMENTS

NIFTY FUT OI flat with 25% decreasing volumes indicating forming of shorts for STBT.

We expect NIFTY FUT to trade volatile.

NIFTY (2803.05)

Support : 2775 / 2745 / 2705

Resistance : 2810 / 2840-45 / 2865-70 / 2900 / 2955

SENSEX (9201.85)

Support : 9130 / 9060 / 9030 / 8940

Resistance : 9235 / 9305 / 9410

NIFTY FUT (2781.35)

Support : 2750 / 2720 / 2660

Resistance : 2795 / 2825 / 2830 / 2865

BANK NIFTY (4231.95)

Support : 4170 / 4110

Resistance : 4260 / 4320 / 4410

On Thursday, Opening is Flat to Positive,

Stay Short Below 2800,Sl Above 2820,Tgt 2775-2745-2715,

Sustain Above 2820,Buy with Sl Below 2800,Tgt 2840-2855-2870.

Buy MARUTI,Sl 580,Tgt 610-25

Buy INFOSYS Above 1275,Tgt 1300-1320+++,Sl 1250

Buy Punnjlloyd Above 88

Buy ACC Above 530,Tgt 540-545-560,Sl 525

Buy BHEL Above 1360,Tgt 1370-1385-1390,Sl 1345

Buy STER Above 280,Tgt 290-300-305,Sl 275

Sell TCS Below 500,Tgt 490-480-460,Sl 510

Sell SBI Below 1095,Tgt 1080-1065-1025,Sl 1105

Sell NTPC Below @ 175,Tgt 173-170-165,Sl 180

Sell IBREAL Below 91,Tgt 86-83,Sl 95

Sell CENTURY TEXT Below 160

FEB FUTURES

Buy BINDALAGRO (13.25),Tgt 13.6/14.5/15.4 , Sl 11.25

Buy HOTELLEELA @18/18.2,Sl 17.8,Tgt 18.5/18.65/18.9/19.1/19.5/20.8 (Lot Size 3750)

SBI (1097) : Buy Above 1080,Tgt 1100/1110,Sl 1065

TISCO (179.15) : Buy @ 174/76,Tgt 180/185,Sl 170

STERLITE (279) : Buy @ 274/77,Tgt 285/290,Sl 265

Sell Aban @ 435-30,Tgt 425/420/415/410/410/405/400/395,Sl 445 (Lot Size 50)

COMMODITY

GOLD (APRIL): On intraday basis, Spot Gold prices have immediate support at $892/$882 whereas resistance is seen at $912/$924. Spot Silver prices shall find support at $12.10/$11.75 whereas resistance is seen at $12.60/$12.90.

MCX April Gold has Support at 13865/13740 whereas Resistance is seen at 14050/14175 levels.

Advised to Sell Gold when it breaks down below 14080 for target 14000/13950

Gold edged lower, extending the previous two session's losses, as the dollar firmed a touch and a brighter tone to equities took the heat out of safe haven buying. The euro eased to 1.2862 ahead of the ECB's rate decision on Thursday, when it is widely expected to take a break in its rate cutting cycle though it may take action again in March. The dollar barely changed against a basket of currencies on Wednesday before jobs data in the United States and interest rate decisions by central banks in Europe. Investors awaited the U.S. ADP employment report for January, due later , as a pointer ahead of Friday's key jobs data, which could offer direction to the dollar and set the tone for precious metals as the two move in opposite directions.

Technical Trend

Support : 14025 / 13890 / 13815

Pivot : 14100

Resistance : 14235 / 14305 / 14445

SILVER (March): MCX March Silver shall find support at 19380/19250 whereas resistance is seen at 19755/19980 levels.

Technical Trend

Support : 19645 / 19425 / 19300

Pivot : 19770

Resistance : 19985 / 20115 / 20330

COPPER (FEB): U.S. copper futures hurdled back above $1.50 a lb on Tuesday as a weaker dollar and an unexpected jump in pending home sales in December drove the bullish sentiment. Copper for March delivery jumped 8 cents to close at $1.5150 a lb on COMEX. The index of U.S. pending home re-sales climbed 6.3 percent in December, the first jump since August. China, the world’s biggest copper user, started investing a second part of a 4 trillion yuan ($586 billion) stimulus plan and that China's economy could start to recover in the first half of the year fueled the buying. The US Senate was due to begin a series of votes on a near-$900 billion stimulus plan in tax cuts and new spending that President Barack Obama says will help fight the worst economic crisis since the Great Depression. Though, Copper LME stocks resumed their uptrend after a rare decline yesterday, rising by 4,100 tones to touch a new high since November 2003 at 495,300 tones.

Technical Trend

Support : 164.15 / 161.45 / 159.65

Pivot : 165.90

Resistance : 168.55 / 170.35 / 173.05

CRUDE (FEB): Crude Oil remained steady above $40 a barrel, supported by the possibility that OPEC may deepen supply cuts in an attempt to boost prices. OPEC will discuss a further supply cut of about 1 million barrels per day when it meets on March 15, if oil prices remain low, an OPEC source told Reuters on Tuesday. Further Nigeria’s senior oil workers' union has threatened an indefinite strike starting next Monday unless the government takes urgent steps to improve security. Crude inventories are expected up by 2.8 million barrels in U.S. crude stocks, a 1.3 million barrel drawdown in distillate stocks and a 600,000 barrel build in gasoline supply.

Advised to Sell when it breaks down below 2020 for target 1980/???

Technical Trend

Support : 1990.35 / 1951.65 / 1922.35

Pivot : 2019.65

Resistance : 2058.35 / 2087.65 / 2126.35

NICKEL (Feb):Technical Trend

Support : 564.45 / 553.15 / 544.85

Pivot : 572.75

Resistance : 584.05 / 592.35 / 603.65

LEAD (FEB): Trading range 55 to 60, wait for either side break out, thereafter it will show real power.

Technical Trend

Support : 56.95 / 55.15 / 54.05

Pivot : 58.05

Resistance : 59.8 / 60.9 / 62.65

ZINC (Feb) Zinc was again active, closing at $1,160, up $47, as investment buying overshadowed another rise in stocks. Inventories gained 1,225 tones to 346,500 tones, a new high since February 2006.

Technical Trend

Support : 56.25 / 55.25 / 54.45

Pivot : 57.15

Resistance : 58.15 / 58.95 / 60