morning thoughts..

The October series ended on a weak note with the indices giving off major gains and saw a steep correction after continual rally and uptrend of previous months.
We had been continuously advising caution at stiff resistance zones of 17500 on sensex front and 5200 on nifty front and the indices reacted as expected.
Technically the paramaters indicates no strength on technicals but it can be said all is not over and we are likely to see a rebound and bounce sooner.
The indices and stocks has seen a good correction after a steep rise and now is likely to consolidate in this zones before they move up further.
Structurally the indices needs to spend some time in the lower regions and may see some more downsides in coming sessions , but this could be a vital opportunity to buy and accumulate good selected stocks and out of money call options.
Also the rising pcr and macd on nifty charts indicates that the indices have moved into an oversold zones , but can remain in such for few more trading sessions and would bounce sooner then later.
On the lower side major support exists at 4710 and 4615 levels on nifty front with intermediate supports at 4680 levels , and 15450 on sensex front which is likely to play major cushion for bear attack and downslides.
From a trading point of view , I would refrain from huge shorting and try to buy dips on supports and exit at resistance zones and would look for a breakout for going long on rallies.
The supports for the nifty is at 4690 levels and resistance at 4850 levels.
The supports for the sensex is at 15500 levels and resistance at 16300 levels.
Astrologically Saturn, the planet of discipline, is a slow moving planet which stays an average of two and a half years in each sign of the zodiac. On October 29, Saturn moves from Virgo into Libra impacting many areas of our lives, especially our relationships and love life. And for the next three years our focus and energy is towards peace, fairness, and a well balanced life.
Saturn's task in Libra is to create harmonious relationships, and break up relationships that are no longer useful or positive .One will become acutely aware of any relationship which is unfair and will seek to balance the scales of equality and have peace and harmony in life.
Saturn in Libra's has a duty to re establish harmony and balance. Venus, the ruler of Libra, is also in Libra. This emphasizes Saturn's purpose in Libra of establishing healthy partnerships and especially romantic relationships, and as Saturn moves through Libra, it may become common to hear about divorces and breakups as it uncovers unhealthy patterns that have been ignored. Libra’s themes of fairness, diplomacy, civility, peace and relationship will get lots of attention and whether one is married, seriously committed or single, it is time to take relationships more seriously than one have for awhile.



Friday’s calls sent via sms and messenger

Positional nifty – booked full profits at 4855 , long from 4785

Dii Unitech – booked full profits at 86 , long from 83.20

Punter Jayshree tea – booked full loss at 305 , sl triggered , long from 316

Idfc – buy at cmp 151 sl 149.50 targets 155 , went 154

Idfc 155 ca – buy at cmp 5.65 sl 5.20 targets 8 , went 6.60

Sesa goa – buy at cmp 314 sl 312 targets 320 , hit sl

Bharti airtel 300 pa – buy at cmp 13.50 sl 12 targets 16.50 , went 24