Markets For 07/05/2009

The Five days 16th April 23rd April 30th April 7th May 13th May are the dates when the votes will be cast for the five phased election to the Indian Parliament. The reason why I have mentioned the same in my mid week review is that tomorrow is 7th of May and we have the fourth phase of elections.
On 15th April Nifty saw an up move. On 16th of April Nifty saw an equivalent down move. Both were of a magnitude of 3%. On 22nd of April Nifty saw a downmove of 1%. On the 23rd of April Nifty saw an Upmove of approx 3%. On 29th of April Nifty saw an upmove of 3%. Market was closed on 30th of April due to elections. When it reopened on 4th of May it went up by 5%. Today Nifty was down by approx 1%.It will be interesting to see whether market moves by 3% up or down tomorrow or the market has something different in store for us.
On the political front I believe the change of the guard at the center is now a formality. The recent statements of Rahul Gandhi vis a vis the Left front simply means that the Grand old party of the Indian politics has conceded defeat. What else will prompt the general secretary to reach left and Nitish kumar before elections in Bihar and Bengal?

Lighten Your Positions (Include Your CASH %age In Your Portfolio),Both On Longs & Shorts.

I expect weakness near 3820 odd level. This level will retrace the entire nifty downmove from January 8 th 2008 to October 2008. This is a level to watch for in coming days.

NIFTY (3625.05)

Resistance : 3675 / 3695 / 3740 / 3760

Support : 3605 / 3580 / 3540 / 3525

SENSEX

Resistance : 12185 / 12415 / 12570

Support : 11810 / 11670

NIFTY FUT (3631)

Resistance : 3690 / 3715 / 3735 / 3755 / 3770 / 3820

Support : 3615 / 3590 / 3545 / 3530

MKT COMMENTS

NIFTY FUT OI up 2.69% with 11% increasing volumes indicating not only unwinding of Longs plus forming of short positions too.

We Expect Nifty Fut to trade Volatile, selling will emerge on every rise.

On Thursday,Opening is Flat to Down,

Stay Short Below 3640,Sl Above 3655,Tgt 3615/3585/70/45/30,

Sustain Above 3660,Buy with Sl Below 3635,Tgt 3680/95/3720/55/85.

Hope You All Enjoyed Our Buy NIFTY Call

Brave Hearts Traders NIFTY Lovers : Buy NIFTY 3590-3610,Sl 3550,Tgt 3680/3720++

BUY

NAGARFERT Above 24-24.5

TULIP Above 610

DRREDDY Above 575,Sl 565,Tgt 585/90/95

BAJAJAUTO Above 685,Sl 675,Tgt 700/15/30+

MNM Above 530-35,Sl 520,Tgt 545/55/75

HEROHONDA Above 1205,Sl 1185,Tgt 1225/40/60+

SELL

CENTURY Below 255

ICICIBNK Below 540,Sl 545,Tgt 530/25/20+

TATACHEM Below 185,Sl 190,Tgt 180/75/70

BARODABNK Below 325,Sl 335,Tgt 315/10/05

HINDLIVER Below 235,Sl 240,Tgt 230/25/20

MARUTI Below 810,Sl 830,Tgt 790/70/50++

ITC Below 195,Sl 200,Tgt 190/85/75

SIEMENS Below 335,Sl 345,Tgt 325/15/300

FUTURES

ONGC (887.6) : Buy@ 870/80,Sl 865,Tgt 900/05/10/20+

TITAN : Buy@ 810/15,Sl 785,Tgt 820/25/30/35/40/50/60/70++ (Lot Size : 412)

Sell ACC@ 640/45,Sl 650,Tgt 635/30/25/20/15/05++ (Lot size : 752)

FUTURES STRATEGY

Buy ORINTALBNK@ 129/30 (Lot Size : 2400 ; Margin : 87100)

Sell ALLHDBNK@ 54/55 (Lot size : 4900 ; Margin : 75200)

Current Spot Ratio : 2.3 (Spot Price Of ORB / Spot Price Of ALLBK)

Target Ratio : 2.5

Sl Ratio : 2.2

Current Future Ratio 2.39

COMEX GOLD (JUN): Momentum studies are rising from mid-range, which could accelerate a move higher if resistance levels are penetrated. The market's short-term trend is negative as the close remains below the 9-day moving average. The downside closing price reversal on the daily chart is somewhat negative. It is a slightly negative indicator that the close was under the swing pivot. The near-term upside target is at 924.3. The next area of resistance is around 908.4 and 924.3, while 1st support hits today at 885.0 and below there at 877.4.

COMEX SILVER (MAY): Studies are showing positive momentum but are now in overbought territory,so some caution is warranted. A positive signal for trend short-term was given on a close over the 9-bar moving average. It is a mildly bullish indicator that the market closed over the pivot swing number. The near-term upside objective is at 1384.8. The next area of resistance is around 1358.7 and 1384.8, while 1st support hits today at 1303.3 and below there at 1273.9