Daily Report August 3rd, 2006 Thursday

*Nifty (3182) SUPPORT-3161-3140-3108 RESISTANCE-3212-3268-3305 Nifty range
3161-3277 now bulls stop loss is changed from 3084 to 3105 on closing basis
for a target of 3381 by this month end. Now Nifty is near a major breakout
so any close above 3212 jus try and run u r profits by increasing u r stop
loss to a desirable levels as that would give more profits as a clear trend
will emerge. TOP 5GAINERS=HCLTECH-TATAMOTORS-PNB-TATASTEEL-JETAIRWAYS
TOP5LOSER=GAIL-SUNPHARMA-GLAXO-NATIONALUM-MARUTI. P/E=17.86 p/b=4.34 adv=38
dec=12 NSE adv: 625 dec: 261 -vol-rs.5100crs*

*Sensex (10876) SUPPORT- 10807-10725-10640 RESISTANCE-10959-11050-11174
Sensex jus near a breakout and there was improvement in volumes and advance
decline ratio very positive and METALS-AUTO where major gainers. Sensex can
gain 250-300 points if we break 10959 levels and on the downside 10807 would
be a very strong support for intraday we need good volumes for a breakout. *

*8dma=10630 13dma=10462 21dma=10570 34dma=10452 55dma=10330
OPEN=10747
HIGH=10730 LOW=10891 BSE adv: 1533 dec: 879 -vol-rs.2665crs *

*Fiis seller rs.46crs and Mutual funds seller rs.115crs on Tuesday, Fiis
buyer rs.309crs in August month and buyer rs.13056Crs in 2006, mutual fund
seller rs.115crs in August month. F&O DATA Fiis sell rs.37crs in nifty
future and sell rs.29crs in stock future on 2nd August and provisional Fiis
buy in cash rs.36crs source NSE website*

* *
*Day That Ended:** Markets opened flat and gained in the late trade with
METALS-AUTO-CEMENT-CAPITALGOODS being big gainers and there was news that
price hike in Cement Company and that is a big booster for CEMENT companies.
And with results season getting over many research houses have modified
there rating of companies which is visible and there is more clarity on the
growth now there is a report on TATASTEEL which said there profit margin has
increased due to cost cut. International markets U.S has closed positive
EURO markets gained big ASIAN markets has opened very strong Crude$75.91.*

*Outlook for Thursday:
**Bullish outlook with likely breakout METALS-CEMENT
looking very good and with global markets being positive we can see gains
which can be big. Many stocks are near breakout and can give 12-17% returns
in a month or two
BHARATFORGE-BHARTISHIPYARD-IVRCL-GACEM-GRASIM-KOTAKBANK-EIDPARRY and long
term investors can buy GDL-NELCO-GSPL-HINDOIL. *

* *

*ABB: Buy target rs.2850-2900 short term 2-3months.*

*VSNL: Breakout above rs.377 can target rs.425-440 but one should use SL.*

* *
*Counter view: Many times investor miss out how to run profit when a visible
trend is seen accumulation and distribution take a long time a breakout and
a breakdown take jus few days or weeks. If u see the graph of BHEL one would
understand this better 6weeks it was around 2400 levels and in one week we
saw a fall to 1900 levels and now the rise back to rs.2400 could happen in
1-2 weeks. But it can be said easily but no gain can be had without pain and
equity' investing has its own inbuilt risk and when one takes a risk he
should also try to maximize his returns and how can one do this effective.
Markets has two basic **fundamentals and liquidity **and when both are at
its best u have a trend which is upside and when any one of this misses then
u have a trend which is downside. Visible is fundamentals and invisible is
liquidity it can be fast to come to fast go so only there is a saying trend
is u r friend so when u see one jus go with the trend with a tight stops and
when u see a congestion jus exit.*

*NEWS:*
*http://www.capitalmarket.com* * HCL
Technologies up on signing collaborative pact with academia. NTPC has
aggressive capacity addition plan. It has revised its capacity addition plan
to 21,000 Mw plus from 17,000 Mw for the 11th plan period (2007-12). NTPC
has planned a multi-pronged growth strategy to become a 46,000-Mw plus
company by 2012 and a 66,000-Mw one by 2017. The strategy includes capacity
addition through greenfield projects, expansion of existing stations, joint
ventures, takeover of state electricity board (SEBs) stations, significant
addition of hydro capacity, and forays into non-conventional and nuclear
power generation. It has planned a capex of Rs 11,325 crore in FY 2007.
Dishman Pharma reported a 97% growth in Q1 June 2006 net profit to Rs
18.55crore compared to Rs
9.40 crore in Q1 June 2005. Net sales during the period jumped 35% to Rs
82.23 crore from Rs 61.04 crore. *

*http://www.businessstandard.com* * German
software major SAP today announced that it will invest $1 billion (about Rs
4,600 crore) in **India over a five-year period to tap the growing market
for its products in the country. The company has already invested $500
million in the country. Bharti in Rs 450 cr outsourcing deal with IBM. The
government collected over 40% more revenue from taxes at Rs 44,463 crore
during the first quarter of FY07 as against Rs 31,668 during the
corresponding period of FY06. Kinetic Motor is planning to export its
recently-launched Blaze range of motoscooters to Japan.*

*http://www.financialexpress.com **Indian Oil Corporation (IOC) is readying
an investment of $2 billion in **Nigeria** for setting up a 6 million tonne
per annum refinery in the **Edo** state. In lieu of this commitment, the
state-run oil refiner would negotiate a long-term crude oil supply contract
with the Nigerian government, preferably for 12-15 years. Despite a soaring
oil price fuelling infalationary fears, India Inc seems to be positive on
the second quarter earnings ending September this year as they see strong
demand to drive topline and bottomline growth. The Bank of Japan may
raise interest
rates <http://www.financialexpress.com/fe_full_story.php?content_id=136103>for
a second time this year if the economy keeps expanding steadily, said
Atsushi Mizuno, a member of the central bank's policy board.***

*http://www.thehindubusinessline.com **Panacea Biotec Ltd on Wednesday said
it has received pre-qualification accreditation from the World Health
Organisation (WHO) for the supply of recombinant Hepatitis B vaccine to UN
agencies. **Shipping cos post lower net profit in Q1 **With changing trade
routes, freight rates may harden, especially in the tanker segment Dry bulk
segment is also seen firming up as US steel and cement imports surge due to
re-building activity Oil prices, interest rates could be dampener to an
extent across all segments. ***

*http://economictimes.indiatimes.com **The Cabinet Committee of Economic
Affairs (CCEA) is expected to take up ONGC Videsh's (OVL) proposal on
Thursday to put in a final bid to buy out Omimex de Colombia, a Delaware-USA
listed company which has operations in Columbia. ***

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Disclaimer: trade in stock market is high risk& high return and I do not
accept any financial and/or legal responsibility arising the use of the
information this is no offer to buy/sell jus my views to share.