morning thoughts..
The new year welcomes bull with an extension of trading hours and ended the day on a high note with a positive market breadth.
Technically there has been no compromise in the basic trend of the markets and the undertone still remains bullish and strong , however as the markets move up ,it stretches itself into a reaction zone.
Amidst the volatility and upmove the nifty has made a crucial and important levels of 5150 as a major and strong support zone and the markets are assumed to be up as long as 5150 is held.
Year 2009 has been a landmark year where the index and stock specific has given returns in tunes of over 100% with many stocks proving to be mutibaggers and tenbaggers.
Now 2010 welcomes bull and to be precise ‘ ferocious bull” , and many stocks are on the verge of a fresh breakout and will prove to be real tenbaggers in the year.
So one needs to be on the right stock to gain right.
From a trading point of view , one should still buy dips and adopt a quick exit strategy , and be cautious at higher levels , as the markets inches higher , it set itselfs for a reaction.
However a bull market is not bothered about valuations and over stretched zones , so it can continue with the pattern , so one must refrain from huge shorts as it can lead to bear trap.
The supports for the nifty is at 5150 levels and resistance at 5325 levels.
The supports for the sensex is at 17200 levels and resistance at 17800 levels.
Stocks to watch
Hind zinc , nahar industrial , escorts looks good
Yesterday’s calls sent via sms and messenger
Nifty – buy at cmp 5225 sl 5207 targets 5260 , went 5247
Essar oil – buy at cmp 142 sl 140.50 targets 145 , went 144.80
Gmdc – buy at cmp 152 sl 150 targets 155 , went 154.50
Suzlon 90 ca – buy at cmp 5.80 sl 5.25 targets 7.50 , went 6.25
Btst Rolta – buy at cmp 199 sl 197 targets 205 – holding
Secret Mascot Triveni eng – buy at cmp 110 sl x targets x – holding
Punter Punj lyod – buy at 207 sl x targets x – holding
Dii Essar oil – buy at cmp 142.50 sl x targets x – holding
Jackpot Hcc – buy at cmp 147 sl x targets x – holding
Fii Idfc – buy at cmp 155 sl x targets x – holding
Wednesday’s Fii Ranbaxy – booked full profits at 522 , long from 515
Wednesday’s Jackpot Suzlon – booked full profits at 91.20 , long from 89
Wednesday’s Punter Praj inds – booked full profits at 107 , long from 103
Thursday’s Fii Tata motors – booked full profits at 815 , long from 790
Thursday’s Dii Lic – booked full profits at 818 , long from 805
Thursday’s Fii Rolta – booked full profits at 199 , long from 192.50
Thursday’s Dii Ifci – booked full profits at 57 , long from 53
