Daily Report September 12th Tuesday

Nifty (3366) SUPPORT-3345-3314-3284 RESISTANCE-3390-3418-3458 Nifty breaking 3310 would hit margin funding account and that can lead to panic 3260 till, if there is no excess leveraged position markets would be safe and can close positive also. Any rise till 3420 is corrective only and we need to spend some time at 3310-3380 levels before markets move up. TOP 5GAINERS=HEROHONDA-JETAIRWAYS TOP5LOSER=VSNL-SUZLON-REL-NATIONALUM-TATAMOTOR. P/E=19.29 p/b=4.41 adv=48 dec=2 NSE adv: 98 dec: 836 -vol-rs.7187crs

Sensex (11550) SUPPORT-11498-11385-11275 RESISTANCE-11662-11758-11890 Sensex corrected and the correction was deep and it closed the 2gaps and now we can have a bounce back till 11700 levels first before any action in markets and the markets correction would eliminate many weak bulls and only serious players would be there. The corrective levels given were 11400-11600 almost we are near that now.
8dma=11819 13dma=11746 21dma=11620 34dma=11316 55dma=10988 OPEN=11959 HIGH=11971 LOW=11505 BSE adv: 551 dec: 1971 -vol-rs.3316crs
Fiis seller rs.48crs and Mutual funds buyer rs.192on Friday, Fiis buyer rs.1491crs in Sep month and buyer rs.18880Crs in 2006, mutual fund buyer rs.88crs in Sep month. F&O DATA Fiis sell rs.585crs in nifty future and sell rs.115crs in stock future on 11th September and provisional Fiis buy in cash rs.19crs source NSE website

Day That Ended: The market opened on a weak note and continued to move downwards to end almost at days low and the correction was more than 3% METALS had a 5% fall supported by all sectors, with high volumes & decline ratio in top 500 stock worst at 10:1. international markets U.S markets closed positive with minor gains Indian ADRs except for SATYAM all in negative with trend here EURO weak ASIAN markets slight positive Crude $65.72.

Outlook for Tuesday: PHARMA-TECH-TEXTILES (COTTONYARN-BRANDED GARMENTS)-OILMARKETING-PAPER-AUTOCOMPONENT& COMPANIES using crude & by product from crude as raw material would be good sector pick in the ongoing correction. Markets always cleans the excess and many debate would go for the reasons for the correction my simple reason excess F&O & margin funding had been built by weak bulls and markets normally gives a shakeout and one more day of correction would wipe them out & and this happens regular basis but people tend to do the same mistake again & again.

TOP PICKS: GAMMON-(350-365)-AUROPHARMA-(600-615)-BEML(880-910)-BHARTIATRL-(390-400)-WOCKHARDPHARMA-(370-380)-TVSMOT-(100-107) these are indicative prices where one can add these stock but all divide risk 25-30 good fundamentals stock & avoid credit purchase (margin funding & F&O).

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Disclaimer: These recommendations are based on the theory of technical analysis and personal observations. This does not claim for profit. I am not responsible for any losses made by traders. It is only the outlook of the market with reference to its previous performance. You are advised to take your position with your sense and judgment. I am trying to consider the fundamental validity of stocks as far as possible, but demand and supply affects it with vision variations.