Learn2trade and Gain BSE / NSE

Ravina Consulting
Ravina Consulting is a Management Consulting firm engaged in providing professional advise to the clients. Intelligent Investor is a Division of Ravina Consulting exclusively focused on providing research based support to enable Intelligent Investors to make wealth from the Financial markets in India. This program is designed with a view to help the Indian investor keen on making money
in the markets

Intelligent Investor –
Investment Advisory Division of Ravina Consulting.
Intelligent Investment Ideas for Indian Investors has been helping Investors for the last 2 decades having extensive knowledge about the Indian Capital markets.

The operations have started since the boom of 1984 and with our experience of more than 25 years we have perfected the art of giving the best Portfolio Management / Investment Advisory Services.

www.ingeniousinvestor.blogspot.com
Follow us – www.twitter.com/SmartInvestor

COURSE TITLE : ABCs of Stock Market Investing

OBJECTIVES
• Understanding Indian Financial Markets
• BSE – How it functions
• NSE – How it functions
• Commodities Exchange – How it functions
• Foreign Exchange - Basics
• Sectoral Indices
• Global Indices to track
• Technical Analysis
• Long term / Short term investing
• Day traders delight how to win and time the market 1
. Portfolio - Creating & tracking

PROGRAMME CONTENTS
The course has 1 modules consisting of 30 sessions each conducted online of 30 lectures / sessions followed by an assessment. Out of which 15 are theoretical in nature and 15 are practical applications.

TOOLS & TECHNIQUES :
We provide you with tools and explain the techniques to track the market and make money. We have the following investment options :
1. Long term investment – with holding of more than 12 Months
2. Short term investment – with holding of more than 1 month
3. Weekly investment – mostly BTST with holding of 1 week
4. Day trading – how to trade and make money


PARTICIPANTS' PROFILE
This program is designed for everyone who is keen to enter the Indian Stock
markets – B S E or N S E

Qualification :
A candidate wishing to undergo this program should be conversant with English and able to understand the program contents. Candidate should have basic knowledge of working on computers and is work with MS office and familiar with internet browsing.

Method of Delivery
Web-based / Online / telephone one hour for each session. The online sessions will be based on the presentations / study material sent to the candidates at
the time of registration.

Study Material
A well researched and informative set of study material is given to the students. A simple and easy to understand style of reports makes it easy even for the novices to know about the nuances of the Indian Share Market. The Study Material will be sent by hard copy / soft copy.

Bought to you by

Ingenious Investor

Equity Research Division

Ravina Consulting

No.429 Mahavir Tuscan

Near Hoodi Circle, Whitefield

Mahadevapura Post

BANGALORE 560048

For Stock Advise + Ideas

sowmya@ravinaconsulting.com

Talk / SMS 08105737966

Read - www.ingeniousinvestor.blogspot.com

Follow us - www.twitter.com/smartinvestor

Learn2trade and Gain BSE / NSE

Ingenioius Investor – Investment Advisory Division of Ravina Consulting. Intelligent Investment Ideas for Indian Investors has been helping Investors for the last 2 decades having extensive knowledge about the Indian Capital markets. Ravina Consulting is a Management Consulting firm engaged in providing professional advise to the clients. Intelligent Investor is a Division of Ravina Consulting exclusively focused on providing research based support to enable Intelligent Investors to make wealth from the Financial markets in India. This program is designed with a view to help the Indian investor keen on making money in the markets The operations have started since the boom of 1984 and with our experience of more than 25 years we have perfected the art of giving the best Portfolio Management / Investment Advisory Services. www.ingeniousinvestor.blogspot.com Follow us – www.twitter.com/SmartInvestor COURSE TITLE : Learn2trade and Earn / ABCs of Stock Market Investing OBJECTIVES • Understanding Indian Financial Markets • BSE – How it functions • NSE – How it functions • Commodities Exchange – How it functions • Foreign Exchange - Basics • Sectoral Indices • Global Indices to track • Technical Analysis • Long term / Short term investing • Day traders delight how to win and time the market 1 . Portfolio - Creating & tracking PROGRAMME CONTENTS The course has 1 modules consisting of 30 sessions each conducted online of 30 lectures / sessions followed by an assessment. Out of which 15 are theoretical in nature and 15 are practical applications. TOOLS & TECHNIQUES : We provide you with tools and explain the techniques to track the market and make money. We have the following investment options : 1. Long term investment – with holding of more than 12 Months 2. Short term investment – with holding of more than 1 month 3. Weekly investment – mostly BTST with holding of 1 week 4. Day trading – how to trade and make money PARTICIPANTS' PROFILE This program is designed for everyone who is keen to enter the Indian Stock markets – B S E or N S E Qualification : A candidate wishing to undergo this program should be conversant with English and able to understand the program contents. Candidate should have basic knowledge of working on computers and is work with MS office and familiar with internet browsing. Method of Delivery Web-based / Online / telephone one hour for each session. The online sessions will be based on the presentations / study material sent to the candidates at the time of registration. Study Material A well researched and informative set of study material is given to the students. A simple and easy to understand style of reports makes it easy even for the novices to know about the nuances of the Indian Share Market. The Study Material will be sent by hard copy / soft copy. For a Demo Class contact us now ! Ravina Consulting B-429 Mahaveer Tuscan Hoodi Circle, Whitefield Mahadevapura Post BANGALORE 560084 www.ingeniousinvestor.blogspot.com intellinvestor@gmail.com or call 08105737966

Closing Bell 17th June 2009

Closing Bell 17th June 2009

Panic set into the markets today as profit booking during the last hour of trade led the indices to fall deep into the red. The BSE-Sensex ended lower by around 430 points (2.9%), while the NSE-Nifty closed around 160 points (3.6%) down. Stocks from the mid-cap and small-cap spaces ended the day weak as well, recording losses of 4.5% and 4.3% respectively. Selling activity was witnessed in stocks across the board today. Realty, metals and oil and gas stocks were severely hit.

Other Asian markets ended the day in a sea of red as well. The European indices are currently trading weak. Rupee was trading at 47.99 against the US dollar at the time of writing.

Commodity stocks were amongst the biggest losers today, with the BSE-Metal Index and BSE-Oil and Gas Index ending lower by 6.1% and 4.4% respectively. In fact, commodity stocks across the world witnessed, or are witnessing, a negative trend given the fears that commodity prices have entered a bubble phase following China massive purchases, not for satisfying the current demand but for stock piling. Indirectly, this would suggest that once the country stops this buying binge, it would be difficult for commodities (like oil and metals) to sustain the recent advance. It may be noted that crude oil prices have already doubled in price since mid-February.

A leading business daily has reported that telecom major, Reliance Communications (RCom) is in talks with French telecom infrastructure provider Alcatel-Lucent to sign a deal worth US$ 500 m (approx Rs 25 bn). This contract would include operations and maintenance of RCom’s GSM and optical fibre cable services. The deal, which is expected to be one of the largest outsourcing deals in the Indian telecom space, will be finalised in a few weeks. The contract is expected to be executed independently by Alcatel-Lucent or by the joint venture between Alcatel-Lucent and RCom, which was formed last year. This is a positive development for the company as it will allow it to enhance its network quality and reduce operational expenditure. It may be noted that RCom will be the latest addition to such kind of out sourcing model in the Indian telecom space. Other players such as Bharti Airtel, Idea Cellular and Vodafone have signed similar contracts with various companies.

Engineering stocks ended the day on a weak note led by Bharat Electronics and Punj Lloyd. As per a leading business daily, the management of Suzlon Energy expects to end the current fiscal with a flat performance. It has attributed the same to the global meltdown. The company expects the growth to be affected as global economic slowdown has either impacted or deferred its clients’ plans. Further, the company also expects to be impacted by the fall in prices of non-renewal energy sources. The company’s current order book stands at around 1,900 MW. In addition to all this, Suzlon has been facing troubles internally on account of its huge debt to equity ratio, which is over one time. However, the company has been evaluating various options to reduce the same.

The Indian markets slipped further into the red during the previous two hours of trade on account of persistent selling witnessed across the index heavyweights. Stocks from the telecom, steel and energy sectors are leading the pack of losers, while select stocks from the power, auto and software sectors are trading firm. The overall decline to advance ratio is poised at 1.6 to 1 on the BSE.

The BSE Sensex and NSE Nifty are trading lower, down by 250 points and 120 points respectively. The BSE Midcap and the BSE Smallcap indices are also trading lower, down by 2.1% each. The rupee is trading at 47.92 to the dollar.

FMCG stocks are trading mixed. While HUL and Dabur are trading lower, Britannia Industries is trading higher. As per a leading business daily, Britannia plans to revive its marketing strategy by introducing lower priced variants of its popular biscuit brands in order to stimulate sales. It plans to sell Good Day, Bourbon and Treat brands in Rs 5 packs. The company plans to make these brands available at tea kiosks in urban, semi urban and rural areas so as to attract more customers. It may be noted that the new pricing strategy is likely to contribute large volumes particularly from rural areas as such small packs are affordable and likely to instigate high impulsive buying in customers. Britannia is a leader in the biscuits segment commanding around 39% market share in India. This is positive development for the company as it will help it grow its revenues and increase its market share.

Power stocks are trading mixed. While Tata Power and Reliance Infra are trading higher, Power Grid and NTPC are trading lower. As per a leading business daily, Power Grid is planning to enter the US markets and bid for transmission projects in the country. The company is in advanced talks with a US firm to jointly bid for transmission projects there. However, the management did not disclose the name of the US entity. It is also believed that the company is considering a partnership with Kalpataru Power Transmission for the same. It may be noted that Power Grid transmits around 45% to 50% of electricity in India. The company is targeting revenues of around Rs 80 bn in FY10, while it expects bottomline to be over Rs 18 bn during the same period. It plans to spend around Rs 550 bn during the 11th five plan period and around 75% of funding for the same has been already tied up by the company.

Although volatile, the Indian markets gained ground during the previous two hours of trade as buying activity intensified across stocks. Currently, stocks from the realty, banking and power sectors are leading the pack of gainers, while select metal and software stocks are trading weak. The overall advance to decline ratio is poised at 1.4 to 1 on the BSE.

The BSE Sensex is trading lower by around 40 points, while the NSE Nifty is trading flat currently. However, the BSE Midcap and the BSE Smallcap indices are trading higher by 0.7% each. The rupee is trading at 47.85 to the dollar.

As per a leading business daily, IDBI Bank has approached the government for infusion of capital to the tune of Rs 80 bn. For this, the bank plans to allot preferential shares to the government. The bank is also planning to raise debt of around Rs 50 bn for strengthening its capital adequacy. Further, the bank plans to come out with a follow on public offer to fund its growth plan. The bank expects its advances to grow by 20% to 25% per annum. As of March 2009, its capital adequacy ratio (CAR) was lower at 11.9%. Therefore, given its lower capitalization, the bank is in immense need improve its CAR, which is lower than minimum requirement of 12% and also for financing its growth plan. It may be noted that recently the bank had filed an application for 300 branch licenses with the central bank. The stock of IDBI Bank, along with SBI, is trading weak, while PNB is trading firm on the bourses.

Auto stocks are trading mixed. While Ashok Leyland is trading firm, M&M and Tata Motors are in the red. As per a leading business daily, M&M expects to beat Chinese manufacturers in the US market as it plans to sell the diesel version of a small two and four door pickup truck in that market. It may be noted that the company plans to launch the vehicle in the US at a time when the country's auto industry is already under severe pressure. But, the fact is that there is no real competition in the country for the compact truck in the diesel segment. Further, with M&M's competitive price tag for the vehicle and lower price of diesel, the company may find some takers in the US. Moreover, the company expects volumes to gain ground as it establishes its brand in the country.

The Indian markets have opened today's session on a volatile note as cautious sentiments are being seen among the investors. While power and telecom stocks are leading the pack of gainers, software, auto and engineering stocks are among the losers. The overall advance to decline ratio stood at 1.9 to 1 on the NSE. As regards global markets, the US markets ended in the red for a second consecutive day of the week on account of persistent worries on recession. The European markets ended mixed, while the Asian indices are currently trading in the red.

The BSE Sensex is trading lower by around 90 points. The NSE Nifty is down 30 points. Both the BSE Midcap and BSE Smallcap indices are trading marginally up. The rupee is trading at 47.84 to the dollar.

As per a leading business daily, FMCG companies, on account of slowdown witnessed in modern retail sales, are upping the ante on kirana stores. Modern trade at just 3-5% of the total national FMCG sales had grown aggressively at over 35-40% contributing to over 15-25% of sales for most consumer goods companies last year. However, sales have been almost flat since January this year, mainly due to closure of several retail outlets and halt on fresh expansions. Hence, these companies are now focusing on the traditional trade channels. HUL and Godrej Consumer Products (GCPL) have raised trade margins on some brands to traditional retailers recently. HUL offered an 8% incremental trade margin to retailers on Lux and 4% additional margin on Breeze while GCPL hiked margins by 4% on dyes. The move is also beneficial as the companies have increased their focus on the rural areas . The traditional channels are more widespread in these regions, thereby aiding FMCG sales. FMCG stocks are trading firm currently.

Auto major, Tata Motors is planning to launch a 'crossover' sports utility vehicle (SUV) platform. Currently undergoing testing at the Tata Motors European Technical Centre, the company's research and development (R&D) outfit in UK, and at the Engineering Research Centre (ERC) at Pune, the product is likely to be launched sometime in 2010. The vehicle could be based on the crossover Tata Xover that was unveiled at the 75th Geneva Auto Show in 2005. Currently, Tata Motors has the Sumo and the Safari in the UV-SUV segment. As per SIAM, overall UV-SUV sales have been going down for sometime now with sales declining by around 29% YoY in May 2009. The launch could be Tata Motors' biggest bet to arrest the falling sales in the utility vehicle space. While the company's net passenger car sales in May 2009 declined by 11 % YoY, its UV-SUV sales dropped by 49% YoY. Auto stocks are trading mixed on the bourses.

Market Voices 17th June 2009

Market Voices 17th June 2009

A massive across-the-board sell-off pushed the market to a dismal close today.

The Sensex ended 435 points or 2.91% down at 14,522.84. The Nifty closed with a loss of 161.65 points or 3.58% at 4356.15.

Weakness in Asian and European markets amid concerns over global economy prompted investors to head for the exit gate today.

Realty, metal, PSU, oil and capital goods stocks had a free fall in afternoon trade. Power, auto, bank, FMCG, pharma and telecom stocks too caved in meekly. Midcap and smallcap stocks were battered.

Tata Steel, Tata Motors, JP Associates, RComm, DLF, ONGC and Hindalco lost 5% - 7.5%. RIL, NTPC, Wipro, Ranbaxy, L&T, Grasim, ACC and BHEL lost 3% - 5%. SBI, TCS and ITC also declined sharply.
The market breadth was very weak.

Asian markets mostly ended in the red today, though a few off them closed well off their intra-day lows. European markets are all down in the red with sharp losses. With global economy likely to take a longer time to recover, investors across the globe appear to have switched to a highly cautious mode this week.

It now appears that the Indian market will find it extremely tough to extend its winning streak to a fifteenth straight week.

Syndicate Bank has informed BSE that the Bank has on June 15, 2009 raised Tier II Capital to the extent of Rs 200 crore through issue of Unsecured Non-Convertible Sub-ordinated Debt. The issue opened and closed on June 15, 2009. The bond was priced at 8.49%p.a. payable annually.

The market has come a long way from the dismal levels it had touched in early March this year.

Hopes of an economic revival and expectations from the new UPA government contributed to the market's telling rebound. However, amid fresh concerns over the pace of recovery, global markets have been finding it increasing tough to sustain momentum. So, notwithstanding some sharp rallies here and there, it is still a wait and watch game on most of bourses across the globe.

Kingfisher Airlines (Rs 56) can rise to Rs 70 over a medium term. One holding the stock can stay invested and look at buying more at dips. Long term investors can have a stop loss in place near Rs 35.

Cairn India (Rs 235) looks set for a decent upmove. The stock can be held for long term with a stop loss near Rs 180. Over a near to medium term, the stock can rise to Rs 265.

Investors looking at medium term can go in for Allahabad Bank, Syndicate Bank, UCO Bank and Indian Bank. A modest exposure can be had at current levels. One can increase stake at dips.

Bharti Airtel (Rs 820) can be retained for long term. Though the stock is likely to see some weak spells, it is expected to move past its 52-week high of Rs 990 sooner than later. Fresh buying can be considered at Rs 770 - 780 levels.

RNRL (Rs 102) remains a bit volatile today. The stock which rebounded after a weak start, has come off its high now due to profit taking at higher levels. One holding the stock with a long term view can stay invested in it and buy more at sharp falls.

Marico (Rs 71) can give modest returns over a short term. The stock can be picked up at current levels or slightly lower. Long term investors can have a stop loss at Rs 55 -58.

Dabur India (Rs 116) can be picked up for long term. One can go in for some modest quantity now and add more at declines. The stock is likely to find some resistance around Rs 120 - 125 but a strong breakout there can result in a surge to Rs 140 or even higher. For now, a stop loss can be placed near Rs 100.

Reliance Communications (Rs 333) can be bought for intra-day if the stock rises to Rs 335 and trades firm for a while. The stock has support at Rs 325 and one can place a stop loss there.

Omaxe Ltd has informed that its wholly owned subsidiary Omaxe Infrastructure & Construction Pvt Ltd, has bagged construction contracts worth Rs 128.34 crore from U P Projects Corporation Ltd (a UP Government Undertaking). Omaxe has gained 4.3% to Rs 109.50 today. On BSE, around 1.75 lakh shares have changed hands so far at the Omaxe counter today.

IRB Infrastructure Developers Ltd has emerged as the Lowest Bidder for a project from the National Highways Authority of India. The company had submitted its Bid with the National Highways Authority of India for Design, Engineering, Finance, Construction, Operation and Maintenance of Four Lanning of NH 4A from Goa / Karnataka Border Km 84.00 to Panaji - Goa Km 153.070 with total length of 65.07 Km in the State of Goa under NHDP Phase III on BOT basis.

The Project is on Grant basis with concession period of 30 years and estimated cost of the Project is Rs 800 Crores. The Company has sought a grant of Rs 186.30 Crore for the Project from NHAI.

Intra-day traders, who went long in Reliance Infra around Rs 1285 - 1290, can book some profits here. The stock is currently traded at Rs 1315, up 3.7% over its previous closing price.
Those who can afford to hold the stock for short to medium term, can do so with a proper stop loss in place.

Reliance Infrastructure (Rs 1289) can move up sharply today if it makes a decisive breakout at Rs 1296. The stock is likely to find good support at Rs 1273. A breach there can result in a fall to Rs 1258 or even lower.

Reliance Industries (up 1% at Rs 2163) has moved up on reports that the government may intervene in the legal gas distribution dispute with RNRL. The company is also expected to move the Apex court, challenging the verdict of the Bombay High Court in the said issue. One holding the index heavyweight can stay invested and pick up small quantities at sharp falls.

Power Grid Corporation (Rs 125) has moved up on strong results. Investors holding the stock can stay invested and look at buying more of it at declines. Even over a short run, the stock can give a modest return of 10 - 15%.

Market Outlook

The market is likely to open on a weak note this morning. Amid high volatility, some blue chips could surge higher and the indices too see some bright spells but the undertone is likely to remain extremely cautious today.

Sector Watch

Buying is expected to be stock specific today. Still, FMCG, pharma and consumer durables sectors could outperform the market. IT stocks are likely to remain sluggish. Bank stocks may see strong buying at lower levels.

Scrip Watch

Power Grid Corporation has posted a profit after tax of Rs 16906.10 million for the year ended March 31, 2009 as compared to Rs 14484.70 million for the year ended March 31, 2008. Total income of the company increased from Rs 50815.30 million for the year ended March 31, 2008 to Rs 70285.40 million for the year ended March 31, 2009.

Tata Motors is reportedly planning to use its Nano platform to build electric and hybrid cars and to produce more high-end models. The company is likely to target exports of its Nano model to developing countries like Brazil, China, Indonesia and Russia where the growth rate is over 10%.

Unitech is likely to see action following the company obtaining shareholders' nod to raise additional long-term funds through further issuance of securities.

Jindal Steel and Power will see action. The stock enters the Nifty fold today, replacing Reliance Petroleum following its merger with Reliance Industries.

Macro and Market Factors

The market shrugged off weak global cues and rallied higher yesterday but with U.S. markets closing weak on renewed concerns about the economy and Asian markets following suit and posting sharp losses, the mood is likely to turn highly cautious today.

FIIs and domestic mutual funds sold heavily on Monday and this is likely to hurt sentiment to an extent. Expectations from the budget and on the reforms front may result in some buying at lower levels.

--------

Brokerage Recommendations 17th June 2009

Sell Shipping Corporation with target of Rs 115, says Rajesh Jain of SMC Global Securities on CNBC Awaaz. Keep stop loss of Rs 136, he adds. The stock is at Rs 124.60, down 4.7% on the BSE.

Buy Sesa Goa at Rs 180 with target of Rs 220, says Rajesh Jain of SMC Global Securities on CNBC Awaaz. Keep stop loss of Rs 160, he adds. The stock is at Rs 187.55, down 6.6% on the BSE

Buy Gruh Finance at Rs 180 with target of Rs 230, says Hitendra Vasudev, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 166, he adds. The stock is at Rs 185.25, up 6.5% on the BSE.

Sell Wipro with target of Rs 360, says Rajesh Jain of SMC Global Securities on CNBC Awaaz. Keep stop loss of Rs 405, he adds. The stock is at Rs 378, down 4.8% on the BSE.

Hold Jaiprakash Associates with short-term target of Rs 245-250, says Rahul Mohinder, technical analyst, on CNBC TV18. Keep stop loss of Rs 200, he adds. The stock is currently trading at Rs 205, down 6.3% on the BSE.

Buy Rolta with target of Rs 165, says Rajesh Jain of SMC Global Securities on CNBC Awaaz. Keep stop loss of Rs 125, he adds. The stock is currently trading at Rs 132, down 7.8% on the BSE. » S

Hold IRB Infra with stop loss of Rs 127, says Hitendra Vasudev, technical analyst, on CNBC Awaaz. It has resistance at Rs 151-161, he adds. The stock is currently trading at Rs 136, down 0.04% on the BSE.

Buy Corporation Bank with target of Rs 345, says Rajesh Jain of SMC Global Securities on CNBC Awaaz. Keep stop loss of Rs 300, he adds. The stock is currently trading at Rs 317, up 0.2% on the BSE.

Buy Jyothi Laboratories on dips with target of Rs 150 in 12 months, says Ashish Kukreja, market expert, on CNBC Awaaz. The stock is currently trading at Rs 109.25, down 6.5% on the BSE. » Send to friends

Buy Dish TV with targets of Rs 51 and then 60, says Rahul Mohinder, technical analyst, on CNBC TV18. Keep stop loss of Rs 39, he adds. The stock is currently trading at Rs 39.40, down 3.8% on the BSE.

Buy Satyam at Rs 83, says MB Singh, technical analyst, on Zee Business. Keep short-term target of Rs 115 and medium-term target of Rs 140, he adds. The stock is currently trading at Rs 80.20, down 0.4% on the BSE.

Buy Balrampur Chini with targets of Rs 116 and then 122, says Husseini Wadharia of Techno Shares on CNBC Awaaz. Keep stop loss of Rs 100, he adds. The stock is currently trading at Rs 103, down 1.4% on the BSE.

Buy Voltamp Transformers with target of Rs 900 in 12 months, says Kamlesh Kotak, market expert, on CNBC TV18. The stock is currently trading at Rs 768, down 2% on the BSE.

Buy Voltas at Rs 123 with stop loss of Rs 118, says Simi Bhaumik, technical analyst, on Zee Business. Keep short-term target of Rs 131 and medium-term target of Rs 144, she adds. The stock is currently trading at Rs 125, down 1.5% on the BSE.

Buy YES Bank with targets of Rs 152 and then 161, says Husseini Wadharia of Techno Shares on CNBC Awaaz. Keep stop loss of Rs 129, he adds. The stock is currently trading at Rs 133.50, down 1.8% on the BSE.

Hold Cairn India with target of Rs 320, says MB Singh, technical analyst, on Zee Business. Keep stop loss below Rs 200, he adds. The stock is currently trading at Rs 234.30, down 2.8% on the BSE.

Buy SBI at Rs 1700 with stop loss of Rs 1670, says Simi Bhaumik, technical analyst, on Zee Business. Keep short-term target of Rs 1765 and medium-term target of Rs 1820, she adds. The stock is currently trading at Rs 1678.05, down 2.1% on the BSE.

Buy Jet Airways at Rs 230 with target of Rs 360, says Prakash Gaba, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 265, up 1.1% on the BSE.

Buy GMR Infra on dips and hold for long term, says Ashish Kapur of Invest Shoppe on NDTV Profit. Fundamentally, it is a strong stock, he adds. The stock is currently trading at Rs 149.50, down 1.3% on the BSE.

Buy Allahabad Bank at Rs 70 with target of Rs 102, says Prakash Gaba, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 79.65, down 1.7% on the BSE.

Hold Ispat Industries with stop loss below Rs 20, says Simi Bhaumik, technical analyst, on Zee Business. It has resistance at Rs 30 crossing which it can go high, she adds. The stock is currently trading at Rs 25 on the BSE.

Hold NTPC with target of Rs 280, says Kiran Jadhav, technical analyst, on NDTV Profit. Keep stop loss of Rs 208, he adds. The stock is currently trading at Rs 223.25, down 0.5% on the BSE.

Buy Unitech at Rs 91-93 with stop loss of Rs 84, says MB Singh, technical analyst, on Zee Business. Keep short-term stop loss of Rs 108 and medium-term target of Rs 130, he adds. The stock is currently trading at Rs 90.15, up 1.4% on the BSE.

Hold Power Grid which has resistance at Rs 124, says Salil Sharma, technical analyst, on CNBC Awaaz. New investors should buy only if it crosses Rs 125, he adds. The stock is currently trading at Rs 124.25, up 1.4% on the BSE.

Hold Satyam which will cross Rs 100 in 3-6 months, says Sheshadri Bhartan, market expert, on CNBC Awaaz. The stock is currently trading at Rs 82.65, up 2.6% on the BSE.

Invest in tea and sugar stocks, says Mehraboon Irani of Centrum Broking on CNBC Awaaz. These are safe stocks and will give good returns, he adds.

Book profits in IVRCL Infra and buy again on declines, says Ashish Maheshwari of Global Capital Market on CNBC Awaaz. The stock is currently trading at Rs 334.95, up 3.1% on the BSE.

Hold Everest Kanto with stop loss of Rs 199, says Pradeep Surekha, technical analyst, on Zee Business. If Nifty sustains above 4400 level then this stock will give good returns, he adds. The stock is currently trading at Rs 206.50, down 1.5% on the BSE.

Buy Great Offshore at Rs 390-410 with target of Rs 550, says MB Singh, technical analyst, on Zee Business. Keep stop loss of Rs 345, he adds. The stock is currently trading at Rs 399.65, up 1.% on the BSE.

Buy Hindustan Unilever with target of Rs 283 in swing trade, says Anu Jain, technical analyst, on CNBC TV18. Keep stop loss of Rs 259, she adds. The stock is currently trading at Rs 260.10, down 1.1% on the BSE.

Hold IFCI with targets of Rs 66 and then 85, says MB Singh, technical analyst, on Zee Business. Keep stop loss of Rs 44, he adds. The stock is currently trading at Rs 54.75, down 1.1% on the BSE.

Buy Tech Mahindra which is in a good uptrend now, says Rajat Bose, technical analyst, on CNBC Awaaz. Keep short-term target of Rs 860-880 and long-term target of Rs 1000, he adds. The stock is currently trading at Rs 783.10, down 1% on the BSE.

The market is driven purely by liquidity and the bias remains positive, says Devesh Kumar of Centrum Broking on CNBC TV18. He believes that the Sensex can go up to 16000 ahead of the budget.

Hold Reliance Infrastructure which has resistance at Rs 1290 crossing which it can go to Rs 1360, says Salil Sharma, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 1308, up 3.1% on the BSE.

Hold Satyam which has resistance at Rs 82 crossing which it can go to Rs 110, says Salil Sharma, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 82.70, up 2.7% on the BSE.

Buy Balrampur Chini with intra-day target of Rs 115, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 103, he adds. The stock is currently trading at Rs 105.50, up 1% on the BSE.

Buy Andhra Petrochemicals at Rs 11-12, says Pradeep Surekha, technical analyst, on Zee Business. It can give 50% returns in one year, he adds. The stock is currently trading at Rs 15.45, up 4.8% on the BSE.

Buy Essar Oil with intra-day target of Rs 180, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 165, he adds. The stock is currently trading at Rs 166.50, up 5.2% on the BSE.

Buy Satyam at current levels, says Rajat Bose, technical analyst, on CNBC Awaaz. If it crosses Rs 90 then it will show good upmove, he adds. The stock is currently trading at Rs 80.55, up 5% on the BSE.

Buy Hindalco with target of Rs 120, says Anu Jain, technical analyst, on CNBC TV18. Keep stop loss of Rs 96.50, she adds. The stock is currently trading at Rs 99, up 3.3% on the BSE.

Sell BPCL with intra-day target of Rs 435, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 452, he adds. The stock is currently trading at Rs 447.20, up 3.9% on the BSE.

Sell DLF if it breaks Rs 345, says Rahul Mohinder, technical analyst, on CNBC TV18. Keep target of Rs 310-315, he adds. The stock is currently trading at Rs 353.30, up 0.3% on the BSE.

Buy Henkel India with intra-day target of Rs 25, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 20.50, he adds. The stock is currently trading at Rs 20.90, up 6.6% on the BSE.


Buy Satyam at Rs 80.55 with target of Rs 85, says Simi Bhaumik, technical analyst, on Zee Business. Keep stop loss of Rs 77, she adds. The stock is at Rs 80.55, up 5% on the BSE.

Buy IFCI at Rs 55.35 with target of Rs 59, says Simi Bhaumik, technical analyst, on Zee Business. Keep stop loss of Rs 53.70, she adds. The stock is at Rs 55.35, up 7.3% on the BSE.

Brokerage recommendations 10th June 2009

Buy Firstsource with target of Rs 44-46 in six months, says SP Tulsian, investment advisor, on CNBC TV18. The stock is at Rs 29.80, up 11.6% on the BSE.

Buy Biocon with near-term target of Rs 325, says Akshita Deshmukh, technical analyst, on CNBC TV18. The stock is at Rs 213.95, down 1.2% on the BSE.

Hold BHEL for long term for gains of 20-25%, says Gaurang Shah of Geojit BNP Paribas on Zee Business. The stock is at Rs 2352.80, up 4.6% on the BSE.

The market closed on a happy note today, with the Nifty closing more than 100 points above its previous close for the second day in the running. Sensex shut shop at 15469, up 342 points (provisional) and Nifty at 4656, up 105 points (provisional) from the previous close. CNX Midcap index was up 2% and BSE Smallcap index was up 0.5%. The market breadth was negative with advances at 587 against declines of 681 on the NSE.

Buy Yes Bank with near-term target of Rs 150-155, says Akshita Deshmukh, technical analyst, on CNBC TV18. The stock is currently trading at Rs 133.25, up 2.6% on the BSE.

Buy Tata Motors with target of Rs 400-430, says Simi Bhaumik, technical analyst, on Zee Business. Keep stop loss below Rs 340, she adds. The stock is currently trading at Rs 362.90, down 1.5% on the BSE.

Hold IFCI with target of Rs 65, says Neera Jain, technical analyst, on NDTV Profit. Keep stop loss below Rs 50, she adds. The stock is currently trading at Rs 51.90, down 2.6% on the BSE.

Buy Prism Cement on dips at Rs 39-43 with target of Rs 53-58, says Hitendra Vasudev, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 44.35, up 12.6% on the BSE.

The market is trading steady while Asian and European markets continue to trade positive. Sensex is trading at 15453, up 326 points from its previous close, and Nifty is at 4651, up 100 points. CNX Midcap index is up 1.5% and BSE Smallcap index is down 0.1%. The market breadth is now negative with advances at 578 against declines of 689 on the NSE.

Hold Era Infra with target of Rs 127 where book partial profits, says Hitendra Vasudev, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 112, he adds. The stock is currently trading at Rs 116.50, up 5.7% on the BSE.

Buy Rolta with target of Rs 165, says Mitesh Thakkar, technical analyst, on CNBC TV18. The stock is currently trading at Rs 143.80, up 1.1% on the BSE.

Hold Amtek Auto with target of Rs 156-162, says Hitendra Vasudev, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 138, he adds. The stock is currently trading at Rs 146, up 4.7% on the BSE.

Hold Spicejet with target of Rs 35-37, says Simi Bhaumik, technical analyst, on Zee Business. The stock is currently trading at Rs 21.90, down 1.6% on the BSE.

Buy Bhushan Steel with near-term target of Rs 975, says Akshita Deshmukh, technical analyst, on CNBC TV18. The stock is currently trading at Rs 821.15, down 1.7 on the BSE.

Hold Bajaj Hindustan and buy more on sharp dips, says Rakesh Kumar of Marwari P-Securities on NDTV Profit. It will give good returns in six months, he adds. The stock is currently trading at Rs 199.60, up 1.5% on the BSE.

The market continues to look positive, in the steps of good global cues. The Asian and European markets continue to trade strong. Sensex is trading at 15523, up 400 points from its previous close, and Nifty is at 4672, up 121 points. CNX Midcap index is up 2% and BSE Smallcap index is up 1.1%. The market breadth is positive with advances at 713 against declines of 548 on the NSE.

Hold NTPC and exit when it reaches Rs 218-222, says Pradeep Surekha, technical analyst, on Zee Business. Keep stop loss of Rs 205-207, he adds. The stock is currently trading at Rs 218.95, up 2.8% on the BSE.

Buy Kotak Mahindra Bank with near-term target of Rs 780-785, says Akshita Deshmukh, technical analyst, on CNBC TV18. The stock is currently trading at Rs 721, up 5.6% on the BSE.

Hold GMR Infra with target of Rs 200, says Simi Bhaumik, technical analyst, on Zee Business. Keep stop loss below Rs 150, she adds. The stock is currently trading at Rs 165, down 0.5% on the BSE.

Buy ICICI Bank with stop loss below Rs 650, says Neera Jain, technical analyst, on NDTV Profit. The stock is currently trading at Rs 755, up 2.6% on the BSE.

Buy Unitech at Rs 92-95 with stop loss of Rs 75, says MB Singh, technical analyst, on Zee Business. Keep short-term target of Rs 115 and mid-term target of Rs 150, he adds. The stock is currently trading at Rs 90.65, up 2.3% on the BSE.

Hold Sintex Industries with target of Rs 275-280, says Rajesh Agarwal, market expert, on CNBC Awaaz. The stock is currently trading at Rs 245, up 7.6% on the BSE.

Hold Prism Cement with target of Rs 55, says Prakash Gaba, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 36-37, he adds. The stock is currently trading at Rs 44.85, up 13.8% on the BSE.

Hold Infosys and book partial profits at Rs 1850, says Neera Jain, technical analyst, on NDTV Profit. Keep stop loss below Rs 1650, he adds. The stock is currently trading at Rs 1810.30, up 0.8% on the BSE.

The momentum in the market continues to be strong and it is headed higher, says Hitesh Agarwal of Angel Broking, on CNBC Awaaz. Buy PNB and HDFC Bank even at current levels for an upside of 15-20%, he adds.

Buy IDBI Bank with a target of Rs 120 where one can book profits, says Mitesh Thakkar, technical analyst, on CNBC TV18. The stock is currently trading at Rs 104, down 0.8% on the BSE.

Buy Adlabs Films only if it crosses Rs 450 for 10-12% returns, says Pradeep Surekha, technical analyst, on Zee Business. Keep stop loss of Rs 426, he adds. Or buy when it comes down to Rs 375 and keep stop loss of Rs 360, he adds. The stock is currently trading at Rs 419.05, down 1.6% on the BSE.

Buy Ashok Leyland with stop loss below Rs 30, says Neera Jain, technical analyst, on NDTV Profit. The stock is currently trading at Rs 33.80, up 1.5% on the BSE.

Buy Suzlon Energy at Rs 125-130 with stop loss of Rs 108, says MB Singh, technical analyst, on Zee Business. Keep short-term target of Rs 160 and mid-term target of Rs 170, he adds. The stock is currently trading at Rs 124.45, down 1% on the BSE.

The market at noon is looking cheerful and holding on to the gains of the morning. Sensex is trading at 15513, up 384 points from its previous close, and Nifty is at 4663, up 112 points. CNX Midcap index is up 1.6% and BSE Smallcap index is up 0.9%. The market breadth is positive with advances at 757 against declines of 483 on the NSE.

Buy DLF with target of Rs 460, says Salil Sharma, technical analyst, on CNBC Awaaz The stock is currently trading at Rs 398.50, down 1% on the BSE.

Hold Tech Mahindra with short-term target of Rs 892, says Rajat Bose, technical analyst, on CNBC Awaaz. It has resistance at Rs 836-849 crossing which it can go up to Rs 1000 and above in the long-term, he adds. The stock is currently trading at Rs 820.20, up 10.2% on the BSE.

Hold Satyam which will show an upside of 20-25%, says Mehraboon Irani of Centrum Broking on CNBC Awaaz. The stock is currently trading at Rs 73.50, up 10% on the BSE.

Buy IFCI only if it crosses Rs 56.50 for target of Rs 62, says Salil Sharma, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 52.85, down 0.8% on the BSE.

Hold Essar Oil with target of Rs 230-250, says MB Singh, technical analyst, on Zee Business. Buy more when it comes to Rs 160, he adds. The stock is currently trading at Rs 176.90, up 1.9% on the BSE.

Buy Wipro with a target of Rs 460-470, says Hemant Thukral, technical analyst, on CNBC TV18. The stock is currently trading at Rs 435, up 2.7% on the BSE.

Hold DLF which has support at Rs 340, says Pradeep Surekha, technical analyst, on Zee Business. It has resistance at Rs 450 crossing which it can go up to Rs 520, he adds. The stock is currently trading at Rs 413, up 2.6% on the BSE.

An hour into opening, the market is moving from strength to strength. The Asian markets are trading positive. Sensex is trading at 15550, up 423 points from its previous close, and Nifty is at 4685, up 134 points. CNX Midcap index is up 2.8% and BSE Smallcap index is up 3%. The market breadth is positive with advances at 1023 against declines of 193 on the NSE.

Buy Rolta India with target of Rs 154, says Salil Sharma, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 148.70, up 4.5% on the BSE.

Buy Reliance Infrastructure with a target of Rs 1400-1800, says Rajat Bose, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 1235.70, up 7.5% on the BSE.

Buy HCL Technologies with target of Rs 218-220, says Ashwani Gujral, technical analyst, on CNBC TV18. Keep stop loss of Rs 180, he adds. The stock is currently trading at Rs 202.30, up 4.1% on the BSE.

Buy Sesa Goa with a target of Rs 200, says Mitesh Thakkar, technical analyst, on CNBC TV18. The stock is currently trading at Rs 183.50, up 4.7% on the BSE.

Buy L&T with a target of Rs 1950, says Rajat Bose, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 1662, up 5.6% on the BSE.

Buy RNRL around Rs 70 with a target of Rs 100-105 in 6 months, says MB Singh, technical analyst, on Zee Business. The stock is currently trading at Rs 92.25, up 3.3% on the BSE.

Buy HDFC at Rs 2359 with a target of Rs 2425, says Simi Bhaumik, technical analyst, on Zee Business. Keep a stop loss of Rs 2330, she adds.

Chances of more downside than upside for the market, says Pankaj Pandey of ICICI Securities, on NDTV Profit. Market is likely to be rangebound for the next 3-4 days, he adds.

The market may see a strong opening today, says DD Sharma of Anand Rathi Securities on CNBC Awaaz. He expects to see buying in IT stocks and profit booking in realty stocks.

Buy Hindalco at Rs 91 with a target of Rs 95, says Simi Bhaumik, technical analyst, on Zee Business. Keep a stop loss of Rs 89.50, she adds.

Buy HDIL at Rs 284 with a target of Rs 295, says Simi Bhaumik, technical analyst, on Zee Business. Keep a stop loss of Rs 275, she adds.

Market Voices 10th June 2009

Market Voices 10th June 2009

The bulls proved unstoppable for the second successive day as strong global markets kept their mood upbeat right through the session today.
Stocks cutting across sectors rallied higher today. However, realty stocks attracted profit taking in afternoon trade and settled well off their highs.

The Sensex stormed past 15,500 in morning trade and hit a high of 15,580.81 around mid afternoon. The barometer ended the session at 15,469.81 (provisional) with a big gain of 342.81 points or 2.27%.
The Nifty closed at 4656.35, up 105.40 points or 2.32%. It rose to a high of 4688.95 today.

Ranbaxy, RComm, Tata Power, Reliance Infra, ACC, HDFC Bank, M&M, BHEL and L&T gained 4% - 7%. Hindalco, Grasim, HUL, ONGC, NTPC, Bharti Airtel, ITC, ICICI Bank, Maruti, RIL and Sterlite also ended on a firm note. Siemens, Cairn, HCL Tech, Axis Bank, ABB, Nalco, Ambuja Cements, PNB, SAIL, Cipla, Reliance Capital, RPL and RPower ended with sharp gains.

The Sensex is set to end on a high note today. While strong Asian markets set up the platform for a buoyant start, a firm trend in European markets is aiding the bulls in afternoon trade. Expectations from the forthcoming budget and hopes of a global economic recovery are the other factors that have contributed to the surge today.

Spicejet (cmp Rs22) can be retained with a stop loss near Rs 16. The stock can rise to Rs 30 where it is likely to face some stiff resistance. One can sell the stock there and buy back at lower levels. A breakout there can result in a surge to Rs 35 or further up.

Thomas Cook Group Plc has announced that the bankruptcy filing by Arcandor, which owns a majority stake in Thomas Cook, will have no impact on customers and is not expected to result in any adverse effect on any of the contractual arrangements. The company said that it's financing arrangements are completely independent from Arcandors financing and are not affected by today's development.

Thomas Cook also confirmed that it has not had any takeover approach and is not in any discussions in relation to the acquisition of the Arcandor stake or in relation to a potential offer for the company.

NTPC is a good stock to own. Though the stock is likely to see some correction, its long term prospects remain quite bright. One can buy the stock at sharp declines. Short term traders can book profits at rallies and re-enter later at falls.

Fresh exposure in IVRCL Infra, GTL Infrastructure, Gammon Infrastructure and PBA Infrastructure can be considered at 15 - 20% down from their current levels. One can hold these stocks for long term. More quantities can be added in a staggered way at declines.

LIC Housing Finance (cmp Rs 542) has come a long way from a low of Rs 151 it had touched in early December 2008. Strong results and expectations of higher revenues in forthcoming quarters are driving up the stock. One holding the stock can stay invested and look to buy more at sharp falls from here.

Cement stocks Ambuja Cements, Ultratech and ACC can be picked up in a staggered way at declines. India Cements and Madras Cements also look good for medium to long term.

Indian Bank, IOB and Canara Bank can give fairly strong returns over a short to medium run. One can also go in for Bank of India and BOB at declines. Among low priced ones, Syndicate Bank, Dena Bank and UCO Bank look good.

One holding BHEL (Rs 2284) can stay invested with a stop loss near Rs 2000 for now. The stock has next major support at Rs 1725 levels.
Fresh buying in the stock can be considered at sharp declines from current levels.


Central Bank of India is reportedly planning to raise Upper Tier II (Series III) capital to the tune of Rs 500 crore.

The stock is trading near its 52-week high of Rs 83.

Though a further rise looks very likely, some profit taking is not ruled out in coming sessions.

One can pick up the stock at sharp declines.

HCL Technologies (cmp Rs 202) can move up by another 10 - 15% in the short run if the current momentum at the counter sustains for sometime.
The stock has support at Rs 167 - 172 where one can have a stop loss for now. Long term investors can hold the stock with a stop loss further lower at Rs 140 levels.

Vishal Information Technologies Ltd has informed BSE that a meeting of the Board of Directors of the Company will be held on June 16, 2009, to recommend issue of Bonus Shares out of Premium Account, which will be issued subject to approval of Shareholders. Buoyed by the announcement, the Vishal Information Technologies stock spurted to Rs 65 this morning. At Rs 63, the stock is up by around 5.25% now.

Tata Tea (up 3.85% at Rs 845) has rallied to a new 52-week high this morning ahead of announcement of results. The company had reported a sharp 10% jump in its net profit for the quarter ended 31 December 2009. The stock had plunged to a 52-week low of Rs 430 in late November last year.

Market Outlook

The market is expected to open on a steady to firm note this morning. Some volatility is not ruled out during the first hour. As the session progresses, a bit of profit taking is expected.

Sector Watch

Technology stocks are likely to remain in focus once again. Bank stocks are likely to find support at lower levels. Metals may surge higher while oil stocks are likely to find the going somewhat tough.

Scrip Watch

HDFC will be in focus following an announcement from the company that a committee of directors of the corporation has approved a proposal for a combined offering of secured redeemable non-convertible debentures (NCDs) of up to Rs 40 billion along with warrants.

Tata Motors is likely to see action following the sale of 11 million shares of Tata Steel, or 1.5% of the Tata Steel equity, to promoter company Tata Sons for Rs 4568 million.

Dr Reddy's Laboratories has received approval from the US Food and Drug Administration to sell its Omeprazole Mg drug used for the treatment of heartburn. The company has announced that the first shipment of the product would start in the early part of the Q2 September 2009 quarter.

Macro and Market Factors

It was a flat close for the Dow Jones Industrial average yesterday after a highly choppy ride. However, with technology stocks trading firm, the Nasdaq ended with a fairly sharp gain. Asian markets are trading firm today and this is likely to keep the mood positive on the Indian bourses this morning.

The government is likely to ask private sector and foreign banks to step up disbursals to industry, after having directed state-run banks to do the same to help increase the flow of credit in the economy and boost liquidity in the market.

For any upmove to sustain, institutional investors will have to stay tuned to the market.

Closing Bell 3rd June 2009

Closing Bell 3rd June 2009

After falling into the red during the afternoon session, persistent buying activity during the second half of trade led the indices to end the day on a flat note. The BSE-Sensex ended the day lower by around 5 points, while the NSE-Nifty closed higher by about 5 points. Stocks from the mid-cap and small-cap spaces continued their upsurge as they ended the day with gains of around 1.5% and 2.1% respectively. While buying activity was witnessed in stocks from the FMCG, consumer durables and healthcare spaces, stocks from the banking and IT space ended the day on a negative note.

Most of the other Asian markets ended the day on a positive note. The European indices are currently trading in the red. Rupee was trading at 46.97 against the US dollar at the time of writing.

Aluminium stocks ended the day on a firm note led by Hindalco and Nalco. As per a leading business daily, the government is likely to impose a 10% safeguard duty on the imports of key aluminium products that are used in the automobile and machinery sector. It may be noted that of late, the aluminium industry has been under pressure due to cheaper imports from China, South Korea, Oman and Iran. This move by the government can be viewed as a step to support the domestic aluminium producers.

Cement stocks ended the day on a firm note led by Ambuja Cements and ACC. The month of May 2009, was a strong one for the cement industry as it recorded high volumes sales on account of higher demand. A leading business daily reported that Ambuja Cements increased its shipments by around 8.3% YoY, while that of Grasim Industries and UltraTech Cements grew by around 20% YoY each. As for Shree Cement, the company has recorded an increase of 32% YoY during the month. However, this is mainly on account of new capacity additions. It may be noted that the period before the monsoon season is usually the peak season for the construction sector.

In a recent meeting between the Finance Minister and exporters, issues and possible measures to tackle the falling exports were discussed. A leading business daily reported that the exporters have asked for an exemption from fringe benefit tax as well as faster refunds of service tax. In addition, they have also called for an interest rate of 7% for exports-related credit. In addition to all this, they proposed a Rs 50 bn fund which would allow them to market their products in emerging overseas markets like East Europe, Latin America or Africa. It may be noted that exports have been falling continuously for the past seven months on account of the falling demand from markets such as the US and Europe.

Profit booking at higher levels led the indices to move into the negative region during the previous two hours of trade. However, the overall advance to decline ratio continues to remain in favour of the former at 2.2 to 1 on the BSE. Currently, stocks from the IT and banking spaces are leading the pack of losers, while stocks from the consumer durables, FMCG and healthcare sectors are trading firm.

Two-wheeler stocks are currently trading mixed with Bajaj Auto trading firm, while Hero Honda and TVS Motor are trading in the red. In a move to safeguard itself from declining domestic volumes growth in addition to boosting sales, Bajaj Auto is looking to expand its business in markets such as Africa and Europe. As per a leading business daily, the company is looking at exploring these regions for marketing and selling its motorcycles particularly models such as the Boxer, CT 100 and Pulsar. While the company did witness a fall in volumes sales (even in export markets) during the month of May 2009, it may be noted that during FY09, nearly 29% of its total unit sales (including other two-wheelers and three-wheelers) comprised of motorbikes sold in the export markets. In fact, exports (as a whole) witnessed a 25% YoY growth in over all volumes over the previous year.

FMCG stocks are trading firm led by Dabur, Marico and HUL. As per a leading business daily, FMCG companies continued to witness high volume growth in the key products like detergents, soaps, biscuits and toothpastes. The industry volumes have grown by 20% YoY during the month of April and May 2009, mainly attributed to lower raw material costs and excise benefits that companies passed on to the customers. The growth was witnessed both, in the urban and rural areas. In fact, the industry expects volume growth of around 30% YoY for the entire FY10 led by strong demand in the rural areas. Further higher brand promotions and new launches (variants and price points) by the company are also expected to drive growth.

The Indian markets continued to trade in the positive territory on account of sustained buying activity witnessed during the previous two hours of trade. Stocks from the auto, telecom and aluminium sectors are leading the pack of gainers, while select stocks from the banking, software and energy sector are trading weak. The overall advance to decline ratio is poised at 4.2 to 1 on the BSE.

Pharma stocks are trading mixed. While Dishman Pharma and Ranbaxy are trading higher, Wockhardt is trading lower. As per a leading business daily, Dishman Pharma is likely to start its operations in China by August-September of 2009. The company is setting up a facility at Shanghai which will produce quaternary salts and medicine intermediates for international clients. It may be noted that Dishman Pharma is a leading player in the contract research and manufacturing services (CRAMS) space. It has invested around US$ 10 m in the Chinese facility. The management expects the facility to generate revenues of around US$ 10 m in first year of operation and US$ 20 m to US$ 25 m annually thereafter. While the company imports around 20% of active pharmaceutical ingredients (API) from China, the new facility in Shanghai is likely to reduce the cost of raw materials for it. Also, it plans to invest around Rs 1 bn in FY10 in order to boost the capacities at the Shanghai facility and the oncology facility at Ahmedabad.

Steel stocks are trading mixed. While Tata Steel and JSW Steel are trading higher, SAIL is trading lower. As per a leading business daily, India’s largest steel producer, SAIL managed to grow its domestic sales by 12% in May 2009 as compared to same period last year. It sold around 1 m tonnes (MT) during the period, which is the highest ever monthly sale recorded by it. It may be noted that the saleable steel production grew by 5% to 1.1 MT during the same period. SAIL’s domestic sales in the first two months of the current fiscal now stand at around 1.9 MT. The management of the company has planned a target of selling around 13 MT of steel in FY10. As per reports, demand for steel is likely to fall across the world except for India where it will likely grow by 6% to 7%.

BSE / NSE Shares analysis 3rd June 2009

BSE / NSE Shares analysis 3rd June 2009

Despite a heady start and subsequent firm display, the market slipped on profit taking and ended on a flat note today. Asian markets mostly ended higher. European markets opened weak and U.S. index futures edged lower, rendering the mood a bit cautious on the Indian bourses in afternoon trade.

The Sensex, which breached the 15,000 mark for the first time in 9 months, failed to retain gains and ended in negative territory today. The barometer provisionally settled at 14,845.56, down 29.35 points or 0.2%. It rose to a high of 15,046.43 in morning trade but fell to 14,733.59 around mid afternoon. The Nifty closed at 4520.90, down 4.35 points. It touched a high of 4574.90 and a low of 4478.60 today.

Consumer durables, FMCG, pharma and metal stocks had a good outing today. Bank, oil and IT stocks declined. Select realty, auto, capital goods and power stocks surged higher.

Hindalco, ITC, Grasim, ACC, RComm, JP Associates, Sun Pharma, Tata Motors, HUL, Tata Steel, Maruti, Sterlite and Ranbaxy ended with sharp gains. Mahindra & Mahindra, SBI, Infosys, ICICI Bank, RIL and HDFC Bank closed lower. Suzlon Energy flared up by over 14%.

Power Grid, Cipla, Ambuja Cements, Unitech, Tata Comm, PNB, Nalco, Siemens and RPower moved up sharply. Cairn India, HCL Tech, SAIL, ABB, BPCL, RPL, Hero Honda and GAIL closed with sharp losses.

Cranes Software (Rs 62) can be tried at Rs 50 - 53 levels for long term. Though a sharp fall from current levels looks unlikely, a modest decline is not ruled out in the near run. Long term investors can hold the stock with a stop loss near Rs 40.

Tech Mahindra (up 18.75% at Rs 663.50) is on a roll today. The stock, which had slipped to Rs 203.70 in late January this year, had hit a high of Rs 865 in early June 2008. The stock can well re-test that high over the next 3 - 6 months. One can stay invested in the stock and look at buying more in small quantities at declines.

Jaihind Projects Ltd has informed BSE that the Company in consortium has been awarded order of Rs 230.81 crore from Gujarat State Petronet Ltd for E.P.C. Project for Darod - Jafrabad Gas Pipeline Project - Section A. Earlier in the day, the company had bagged an order worth Rs 14.84 crore from Gujarat State Petronet Ltd for Laying of Olpad-Utran Gas Pipeline Project. The stock is up 5% at Rs 85.90 now.

European markets have opened on a weak note today with bank stocks drifting down sharply. U.S. index futures too are down in the red now. Back home, profit taking has wiped off early gains and a few heavyweights are seen struggling for support at present. Markets the world over are awaiting some key economic data from the U.S. today.

GMR Infrastructure (Rs 168) can rise to Rs 200 over a short run. Long term investors can hold the stock with a stoop loss near Rs 130. One can take some modest exposure in the counter now and go in for more at declines.

After recent strong gains, Mahindra & Mahindra is facing some pressure on profit taking. The stock is down by 4.2% at Rs 695 and a further fall from here is not ruled out. One looking at long term can stay invested and add more quantities at sharp dips. Fresh buying can be considered at Rs 600 - 610 levels.

Asian markets ended on a firm note today amid hopes of a global economic recovery. Strong economic data from U.S. and Australia aided sentiment in the region today. Indian markets are off their highs and are up just marginally at present.

Infrastructure firm MARG has signed an MoU with BSNL, India's leading telecommunication company, to provide world class telecommunication facilities in the upcoming mega infrastructure project, MARG Swarnabhoomi. As part of the MoU, BSNL will provide complete telecom solutions, including voice, data, WiFi hotspots, video and audio conferencing facility, broadband, leased lines and wireless services at MARG Swarnabhoomi.

One can buy ITC (Rs 202) for short to medium term. The stock can rise to Rs 220 - 225 where it is likely to face some stiff resistance. Short term traders can book some profits there and re-enter again at declines.

Balrampur Chini (Rs 95) looks set for a rise to around Rs 105 - 110. Investors with a reasonably good appetite for risk can try this stock now with a stop loss at Rs 85 - 87. Bajaj Hindustan, Renuka Sugars and Dwarikesh Sugars can also be tried at slight declines.

One looking for some sharp gains over a medium term can try Syndicate Bank (Rs 84) at current levels or slightly lower. The stock, which hit a new high at Rs 86 today, can move on to Rs 110 or even higher over a medium run. A stop loss can be placed near Rs 65.

Nucleus Software Limited has announced that it has further strengthened its six-year long relationship with United Finance Company SAOG (UFC), the largest finance company of Oman. Nucleus' FinnOne will now power UFC with its Lead Management System and Customer Service Module, to be implemented across 7 branches of the company. Buoyed up by the announcement, the Nucleus Software stock has jumped 6.5% to Rs 100 this morning.

Market Outlook

The market is likely to open on a positive note this morning. Though profit taking may cap gains, the undertone is likely to remain fairly bullish. A few volatile spells are not ruled out.

Sector Watch

Cement stocks are likely to remain in focus with most of the cement manufacturers reporting fairly strong shipment figures for May 2009. Steel, capital goods and infrastructure stocks are likely to attract attention.

Buying is expected to remain stock specific in information technology, FMCG and pharma sectors.

Scrip Watch

Hindustan Petroleum Corporation Limited has posted a net profit of Rs 51040.40 million for the quarter ended March 31, 2009 as compared to Rs 3845.10 million for the quarter ended March 31, 2008. Total Income has decreased from Rs 317794.90 million for the quarter ended March 31, 2008 to Rs 255804.60 million for the quarter ended March 31, 2009. The HPCL counter is likely to see some buying today.

SAIL may surge higher following an announcement from the company that its domestic sales increased by 12% to about a million tons for May over the year-ago period.

BHEL is likely to see action following the company successfully commissioning two grid-interactive solar power plants of 100 KWP each in Lakshadweep. With this, BHEL has commissioned a total of eleven solar power plants in the Lakshadweep islands, adding over 1 MW of solar power to the power generating capacity of the coral islands in the Arabian Sea.

McLeod Russel, DCM Shriram and Nalco will be announcing their quarterly results today.

Macro and Market Factors

The Wall Street ended on a positive note despite a choppy ride yesterday. Better than expected pending homes sales data buoyed up sentiment there. Asian markets are also trading firm after initial weakness.

With economy showing signs of improving and expectations from the newly formed government increasing by the day, investors are likely to stay invested and look at falls as opportunities to increase exposure.

Brokerage recommendations 3rd June 2009

Brokerage recommendations 3rd June 2009

Buy ICICI Bank on any correction around Rs 650 for excellent long-term returns, says Prasad Kushe, technical analyst, on NDTV Profit. It has a target of Rs 5000-8000 in 5-7 years, he adds. The stock is currently trading at Rs 717, down 2.1% on the BSE.

Buy Reliance Communications with a target of Rs 430 and keep a stop loss of Rs 280, says Amarjeet Singh, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 332, up 4% on the BSE.

Buy Essar Oil with a target of Rs 185-225-240 and keep a stop loss of Rs 145, says Prasad Kushe, technical analyst, on NDTV Profit. The stock is currently trading at Rs 181, up 8.4% on the BSE.

Buy JP Hydro with a target of Rs 93 and keep a stop loss of Rs 64, says Amarjeet Singh, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 73, up 0.2% on the BSE.

Hold Alok Industries with a target of Rs 28-38-55, says Prasad Kushe, technical analyst, on NDTV Profit. The stock is currently trading at Rs 27, up 14% on the BSE.

Buy JP Associates with a target of Rs 380 and keep a stop loss of Rs 207, says Amarjeet Singh, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 225, up 4% on the BSE.

Buy Sobha Developers with a target of Rs 250-290 and keep a stop loss of Rs 195, says Jatindra Sharma, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 224, up 10% on the BSE.

Buy FDC with a target of Rs 82-83 and keep a stop loss of Rs 38, says Amarjeet Singh, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 46, up 3.2% on the BSE.

Buy Max India with a target of Rs 230, says Jatindra Sharma, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 204, up 4.2% on the BSE.

The market is now in a euphoric state and people need to book 10% profits every day, says Ashwani Gujral, technical analyst, on CNBC TV18. People should reduce their exposure as a dip could come any time now, he adds.

The market ends flat amid choppy trade and weak global cues. Midcaps and smallcaps outperform. Sensex closed at 14845, down 29 points (provisional) and Nifty is at 4520, down 4 points (provisional) from the previous close. CNX Midcap index was up 1.37% and BSE Smallcap index was up 1.99%. The market breadth was positive with advances at 888 against declines of 383 on the NSE.

Buy Aban Offshore with a target of Rs 1140 after which it can go to Rs 1450 and keep a stop loss of Rs 900, says Jatindra Sharma, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 1110, up 15% on the BSE.

All bull markets normally see a correction so if there is a pause in this rally it would be healthy, says Prasad Kushe, technical analyst, on NDTV Profit. Sensex could correct to 14000 and Nifty to 4400-4300 where fresh buying would emerge, he says. Then the rally could go up again to 16150 on the Sensex and 4650 on the Nifty, he adds.

Buy REC International with a target of Rs 165 and stop loss of Rs 139, says Husseini Wadharia of Techno Shares, on CNBC Awaaz. The stock is currently trading at Rs 148, up 2.3% on the BSE.

Buy Chambal Fertilisers with a short-term target of Rs 76-80 and keep a stop loss of Rs 64, says Simi Bhaumik, technical analyst, on Zee Business. The stock is currently trading at Rs 67, down 2.3% on the BSE.

Buy GNFC with a target of Rs 112 and stop loss of Rs 94, says Husseini Wadharia of Techno Shares, on CNBC Awaaz. The stock is currently trading at Rs 99, up 1.3% on the BSE.

Buy Bartronics with a short-term target of Rs 168, medium-term target of Rs 175 and keep a stop loss of Rs 138, says Simi Bhaumik, technical analyst, on Zee Business. The stock is currently trading at Rs 158, up 1.7% on the BSE.

Buy Cipla with a target of Rs 245 and stop loss of Rs 217, says Husseini Wadharia of Techno Shares, on CNBC Awaaz. The stock is currently trading at Rs 229, up 3% on the BSE.

Buy TTML with a target of Rs 40-46 and keep a stop loss of Rs 32, says Simi Bhaumik, technical analyst, on Zee Business. The stock is currently trading at Rs 35, down 0.8% on the BSE.

Buy Tata Steel with support at 340, target of Rs 525-580 and stop loss of Rs 385, says Mandar Jamsandekar, technical analyst, on NDTV Profit. The stock is currently trading at Rs 482, up 1.8% on the BSE. » Send to friends

1:48 PM - Buy Tata Steel with a target of Rs 550 and stop loss of Rs 450, says MB Singh, technical analyst, on Zee Business. The stock is currently trading at Rs 482, up 1.8% on the BSE.

Buy RPL on dips with a target of Rs 150 after which it will see fresh upside and keep a stop loss of Rs 130, says Simi Bhaumik, technical analyst, on Zee Business. The stock is currently trading at Rs 142, down 0.8% on the BSE.

Buy DLF with support at 380, target of Rs 422-555-580 and stop loss of Rs 320, says Mandar Jamsandekar, technical analyst, on NDTV Profit. The stock is currently trading at Rs 412, up 2% on the BSE.

Buy GMR Infra with a target of Rs 190-250 and stop loss of Rs 115, says MB Singh, technical analyst, on Zee Business. The stock is currently trading at Rs 175, up 1.3% on the BSE.

The market has run ahead of itself and is a liquidity driven rally, says Aditya Samant of ING Financial Planning, on NDTV Profit. The current rally could end in sideways consolidation which would be healthier for the market, he adds.

Buy ICICI Bank with support at 650-700, target of Rs 760-792 and stop loss of Rs 640, says Mandar Jamsandekar, technical analyst, on NDTV Profit. The stock is currently trading at Rs 735, up 0.48% on the BSE.

Buy Rolta with a target of Rs 190-200 and stop loss of Rs 120, says MB Singh, technical analyst, on Zee Business. The stock is currently trading at Rs 144, down 0.6% on the BSE.

Buy Ashok Leyland with support at 32-28, target of Rs 44 and stop loss of Rs 30, says Mandar Jamsandekar, technical analyst, on NDTV Profit. The stock is currently trading at Rs 37, up 1.8% on the BSE.

Buy Satyam around Rs 60 with a target of Rs 100-115 and stop loss of Rs 52, says MB Singh, technical analyst, on Zee Business. The stock is currently trading at Rs 67, up 6.8% on the BSE.

Buy Godrej Consumer with a target of Rs 211 in the long term, says Hitesh Agarwal of Angel Broking on CNBC TV18. The stock is currently trading at Rs 183, up 1.13% on the BSE.

BHEL has bagged order worth Rs 375 crore from Oman, reports CNBC TV18. The stock is currently trading at Rs 2134, up 1.27% on the BSE.

Buy Everest Kanto around Rs 200 with a short-term target of Rs 250, medium-term target of Rs 300 and stop loss of Rs 180, says MB Singh, technical analyst, on Zee Business. The stock is currently trading at Rs 215, up 5.7% on the BSE.

he market continues to look good and trade higher. Sensex is trading at 15001, up 127 points and Nifty is at 4561, up 36 points from the previous close. CNX Midcap index is up 2.10% and BSE Smallcap index is up 3.06%. The market breadth is positive with advances at 1062 against declines of 193 on the NSE.

Buy Mindtree with a target of Rs 540 and keep a stop loss of Rs 370, says Neera Jain of crnindia.com, on CNBC Awaaz. The stock is currently trading at Rs 462, up 3.5% on the BSE.

Buy CESC with a target of Rs 448 in 12 months, says Hitesh Agarwal of Angel Broking on CNBC TV18. The stock is currently trading at Rs 367, down 0.8% on the BSE.

There is a large liquidity push in emerging markets and a weak $ is keeping markets higher, says Amisha Vora of Prabhudas Liladhar on NDTV Profit. Market could see some profit booking after recent rally, she adds. Expect Sensex to breach 21000 on the upside by December 2010, she says.

Trying to make situation conducive for companies like FACT to improve production, says fertilizer secretary Atul Chaturvedi on CNBC TV18. Fertiliser subsidy to come down by Rs 60,000 crore this fiscal, he says. To save Rs 2500-3000 crore in FY10 on gas availability, he adds. Targetting re-opening of 4 plants, he says.

The momentum in the market to continue and take Nifty to 4700-4800, says Ambareesh Baliga of Karvy Stock Broking, on CNBC Awaaz. Not comfortable with valuations at current levels, he advises booking profits.

Buy Tata Tea with a target of Rs 790 and keep a stop loss of Rs 680, says Neera Jain of crnindia.com, on CNBC Awaaz. The stock is currently trading at Rs 767, up 6.3% on the BSE.

Buy Sasken Communications with a target of Rs 130, says Prakash Gaba, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 122, up 5% on the BSE.

Buy Hindustan Zinc with a target of Rs 710 and keep a stop loss of Rs 560, says Neera Jain of crnindia.com, on CNBC Awaaz. The stock is currently trading at Rs 663, up 2.42% on the BSE.

Sell Power Grid with a target of Rs 110 and keep a stop loss of Rs 122, says Hemen Kapadia, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 120, up 0.8% on the BSE.

Buy Balrampur Chini with a target of Rs 110 and keep a stop loss of Rs 80, says Neera Jain of crnindia.com, on CNBC Awaaz. The stock is currently trading at Rs 94, up 1.02% on the BSE.

Buy Bajaj Holding with a target of Rs 500 and stop loss of Rs 440, says Anil Singhvi, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 495, up 9% on the BSE.

Buy Syndicate Bank with a target of Rs 100 and stop loss of Rs 76, says Ashwani Gujral, technical analyst, on CNBC TV18. The stock is currently trading at Rs 83, up 2% on the BSE.

Market has run ahead of its fundamentals, says Ajay Srivastava of Dimensions Consulting, on CNBC TV18. He advises booking profits in IT and banking sectors.

Brokerage Recommendations 2 June 2009

Buy Adlabs on dips with a target of Rs 450-500 in 10-12 months, says Ashish Kukreja, market expert, on CNBC Awaaz. The stock is currently trading at Rs 388, down 1% on the BSE.

Sell DLF with a target of Rs 397 and keep a stop loss of Rs 427, says Hemen Kapadia, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 404, down 2.4% on the BSE.

Hold Aban Offshore with a target of Rs 970 then it could go to Rs 1200-1300 and keep a stop loss of Rs 825, says Nitin Murarka of SMC Global Securities on Zee Business. The stock is currently trading at Rs 955, up 2.3% on the BSE.

Sell Power Grid with a target of Rs 110 and keep a stop loss of Rs 122, says Hemen Kapadia, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 119, down 0.21% on the BSE.

Nifty has resistance at 4600-4680 and maintain a stop loss below 4570, says Rajat Bose, technical analyst, on CNBC TV18.

Sell SBI with a target of Rs 1795 and keep a stop loss of Rs 1855, says Hemen Kapadia, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 1901, up 1.1% on the BSE.

Hold DLF with a target of Rs 515-520 where one can exit, says Akshita Deshmukh, technical analyst, on Zee Business. The stock is currently trading at Rs 407, down 1.7% on the BSE.

Hold SAIL with a target of Rs 220-240 and keep a stop loss of Rs 150, says Nitin Murarka of SMC Global Securities on Zee Business. The stock is currently trading at Rs 178, up 1.84% on the BSE.

Hold Unitech with a target of Rs 115-120 where one can exit, says Akshita Deshmukh, technical analyst, on Zee Business. The stock is currently trading at Rs 89, down 2.6% on the BSE.

Hold Praj Industries with a target of Rs 140-145 and keep a stop loss of Rs 105, says Nitin Murarka of SMC Global Securities on Zee Business. The stock is currently trading at Rs 114, down 4% on the BSE.

Hold JK Cements with a target of Rs 125 and keep a stop loss of Rs 110, says Prasad Kushe, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 112, up 6% on the BSE.

Hold IRB Infra with a target of Rs 180-190 and keep a stop loss of Rs 135, says Nitin Murarka of SMC Global Securities on Zee Business. The stock is currently trading at Rs 140, down 6% on the BSE.

Hold JP Associates with a target of Rs 229 and then it could go to Rs 280 where one can exit, says Prasad Kushe, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 215, down 2.3% on the BSE.

Hold Neyveli Lignite with a target of Rs 160 where one can book 50% profits and keep a stop loss of Rs 125, says Nitin Murarka of SMC Global Securities on Zee Business. The stock is currently trading at Rs 138, down 3.9% on the BSE.

Hold Suzlon with a target of Rs 125 and keep a stop loss of Rs 90, says Neera Jain of crnindia.com on NDTV Profit. The stock is currently trading at Rs 110, down 1.7% on the BSE.

Buy NTPC with a target of Rs 240-250 and keep a stop loss of Rs 210, says Nitin Murarka of SMC Global Securities on Zee Business. The stock is currently trading at Rs 222, down 2.4% on the BSE.

Hold Bharti Airtel with a target of Rs 1000-1200 and keep a stop loss of Rs 750, says Prasad Kushe, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 799, down 0.7% on the BSE.

Buy BHEL, Reliance Capital and Suzlon and hold in portfolio for good long-term gains, says Gajendra Nagpal of Unicon Finance on NDTV Profit.

The Asian markets closed muted while European markets have opened in the negative. After a gap up start today our market is taking a pause. Sensex is trading at 14615, down 224 points and Nifty is at 4455, down 74 points from the previous close. CNX Midcap index is down 0.72% and BSE Smallcap index is down 0.43%. The market breadth is negative with advances at 455 against declines of 812 on the NSE.

Hold Ambuja Cements with a target of Rs 120, says Rajesh Jain of SMC Global Securities on CNBC Awaaz. The stock is currently trading at Rs 100, up 2.2% on the BSE.

Buy BHEL with a target of Rs 2770 where one can exit and keep a stop loss of Rs 1900, says Prasad Kushe, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 2119, down 0.3% on the BSE.

Hold Voltas with a target of Rs 140, says Rajesh Jain of SMC Global Securities on CNBC Awaaz. The stock is currently trading at Rs 125, up 4.9% on the BSE.

The market had run up too fast and was getting ahead of fundamentals, says Gajendra Nagpal of Unicon Finance, on NDTV Profit. A correction in the market is welcome and post this correction the market will be on a firmer footing, he feels.

Hold Unitech with a target of Rs 116 where one can exit, says Prasad Kushe, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 92, up 0.5% on the BSE.

Hold Tata Motors with a target of Rs 360 where one can exit and keep a stop loss of Rs 325, says Nitin Murarka of SMC Global Securities on Zee Business. The stock is currently trading at Rs 346, up 2.4% on the BSE.

Buy ENIL with a target of Rs 240 and then it could see a fresh upmove and keep a stop loss of Rs 190, says Prasad Kushe, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 230, up 3% on the BSE.

Buy Balaji Telefims around Rs 98 with a short-term target of Rs 120, medium-term target of Rs 140 and stop loss of Rs 90, says Nitin Murarka of SMC Global Securities on Zee Business. The stock is currently trading at Rs 70, up 6.2% on the BSE.

Buy Reliance Communications with a target of Rs 350 and keep a stop loss of Rs 300, says Rajesh Jain of SMC Global Securities on CNBC Awaaz. The stock is currently trading at Rs 315, down 1.7% on the BSE.

Buy Ambuja Cement around Rs 98 with a short-term target of Rs 120, medium-term target of Rs 140 and stop loss of Rs 90, says Nitin Murarka of SMC Global Securities on Zee Business. The stock is currently trading at Rs 100, up 2.5% on the BSE.

Buy Bombay Dyeing with a target of Rs 385 and keep a stop loss of Rs 345, says Rajesh Jain of SMC Global Securities on CNBC Awaaz. The stock is currently trading at Rs 362, down 1.6% on the BSE.

Buy Maharashtra Seamless around Rs 265 with a short-term target of Rs 295, medium-term target of Rs 330 and stop loss of Rs 240, says Nitin Murarka of SMC Global Securities on Zee Business. The stock is currently trading at Rs 252, down 4.7% on the BSE.

Buy Strides Arcolab with a target of Rs 155 and keep a stop loss of Rs 135, says Rajesh Jain of SMC Global Securities on CNBC Awaaz. The stock is currently trading at Rs 131, down 5.6% on the BSE. » Send to friends

10:43 AM - Sell Unitech as it will see profit booking around Rs 95 and then it could go down to Rs 87, says Rajat Bose, technical analyst, on CNBC TV18. The stock is currently trading at Rs 93, up 0.9% on the BSE.

Buy Mahindra & Mahindra with a target of Rs 820, says Ashwani Gujral, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 733, up 3.3% on the BSE.

Buy Moser Baer with a target of Rs 125 and keep a stop loss of Rs 93, says Rajesh Jain of SMC Global Securities on CNBC Awaaz. The stock is currently trading at Rs 101, up 0.4% on the BSE.

Buy Voltas with a target of Rs 135, says Rajat Bose, technical analyst, on CNBC TV18. The stock is currently trading at Rs 125, up 6.18% on the BSE.

Buy Rolta with a target of Rs 155 and keep a stop loss of Rs 120, says Rajesh Jain of SMC Global Securities on CNBC Awaaz. The stock is currently trading at Rs 133, up 2.1% on the BSE.

Buy Opto Circuits with a target of Rs 200 and stop loss of Rs 175, says a technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 186, up 5.1% on the BSE.

BSE / NSE Shares analysis 2nd June 2009

BSE / NSE Shares analysis

It was a buoyant start for the market this morning with strong global cues buoying up sentiment and lifting stock prices up sharply. Due to heavy profit taking across the board, the Sensex plunged sharply into the red in afternoon trade.

Tata Steel shot up by nearly 11% today. Tata Motors, HDFC, Sterlite, SBI, ICICI Bank, M&M, Grasim and L&T also ended on a firm note. ACC, Ranbaxy, Reliance Infra, Tata Power, DLF, HDFC Bank, Wipro, NTPC, JP Associates and ONGC declined sharply.

Siemens, Axis Bank, Suzlon Energy, Idea, PNB, RPower, Nalco and Tata Comm ended with sharp losses. HCL Tech, SAIL, ABB, Cairn India, Cipla, Ambuja Cements and Hero Honda closed with notable gains.

As midcap and smallcap stocks bounced back after a weak spell, the market breadth turned positive in afternoon trade.

One can accumulate low priced bank stocks UCO Bank, Vijaya Bank, Syndicate Bank and Dena Bank for long term. Among other bank stocks, Federal Bank, Bank of India, BOB and Canara Bank look good. One can go in for these stocks at declines.

Rolta India (Rs 145) has come a long way from a dismal low of Rs 40.70 it had touched on March 12 this year. The stock can rise to Rs 170 - 180 where it is likely to face some strong resistance. One can exit the counter there and re-enter later at dips. For now, medium and long term investors can place a stop loss at Rs 110 - 115.

Bajaj Hindustan has announced that it has repurchased (buy-back) FCCBs aggregating to face value of US$ 17.928 million, for cash at a discount. After purchase and cancellation of FCCBs of face value US$ 17.928 million, the total outstanding FCCBs stands at 101.572 million.
The stock is up 4.3% at Rs 156 now. One looking at long term can stay invested at the counter.

JP Associates (cmp Rs 212) is likely to face strong resistance at Rs 225- 230 levels. One looking at short term can exit the counter at those levels and re-enter later at sharp declines. The stock has good support at Rs 140 - 145 and long term investors can hold the stock with a stop loss there.

Voltas (Rs 126) is near a crucial resistance level. The stock can move on to Rs 135 but will have to make a decisive breakout there to move up further. On the downside, it has support at 90 levels and long term investors can have a stop loss there.

Power Grid Corporation, Areva, PFC and Suzlon Energy can be picked up at declines in a staggered way if one is looking at long term. There may be a few weak spells for these stocks over the next few weeks, but their long term prospects remain fairly bright.

Bharti Airtel (Rs 800) can be retained for long term. One can consider fresh buying in the stock at Rs 730 - 740 levels. The stock is likely to face some resistance at Rs 850 and strong breakout there can result in a surge to Rs 975 or even higher.

LIC Housing Finance Ltd has informed the Board of Directors of the Company at its meeting held yesterday, had approved further issue of 1,00,00,000 equity shares of Rs 10/- each through placement with Qualified Institutional Investors (QIP). A separate item in respect of the same will be included in the Notice of 20th Annual General Meeting to be held on July 21, 2009 for approval of the Members.

One willing to wait long term can pick up bank and capital goods stocks at sharp declines. Infrastructure stocks can also give good returns. One can try GMR Infra, IVRCL Infrastructure, Gammon India and PBA Infrastructure at dips.


Though economic indicators suggest a recovery is on its way, some institutions and high net worth operators may choose to book profits and this could result in a big correction of sorts.

Realty stocks are likely to face some pressure. With the banks not willing to reduce interest rates any significantly, demand for homes may not pick up sharply in the near term. There may be a surge in demand, but then, it is not going to be sharp. And, not all realtors are likely to see a pick up in demand. Hence, one would do well to stay cautious and remain extremely selective with regard to fresh exposure.

Market Outlook

The Sensex is likely to breach the magical 15,000 mark this morning with strong global cues pointing to a positive start. There may be some profit taking later on, but the undertone is likely to remain quite firm today. Some volatility is not ruled out.

Sectors to Watch

The sharp rise in crude oil prices is likely to result in some weakness in the oil space today. Automobile stocks may also find the going somewhat tough amid worries of a possible hike in fuel prices. Cement stocks will take direction from May shipment figures.

Technology, metal and capital goods stocks are likely to attract attention. Bank and realty stocks may move up but are likely to face stiff resistance at higher levels. Buying is expected to be stock specific in FMCG and pharma sectors.

Scrip Watch

HDIL, which moved up by over 8% in the previous session, is likely to remain in focus following the company entering in to a joint venture with Mumbai Metropolitan Region Development Authority for development of 525 acre of land under Rental housing scheme at Virar. As per the arrangement, HDIL will develop approximately 13 million square feet for rental space and hand it over to MMRDA free of cost and remaining approximately 39 million of square feet space will be available to the Company for free sale.

State Bank of India has announced that it has been allotted 437,400 shares in Nepal SBI (a Nepal based joint venture bank in which SBI has a shareholding of 50%) in a divestment of stake by Agricultural Development Bank, Nepal conducted through a competitive bid process. The total shareholding of State Bark of India in Nepal SBI will reach 55%, after transfer of these shares to SBI, with due necessary regulatory approvals/clearances.

Orbit Corporation Ltd has informed BSE that a meeting of the Board of Directors of the Company will be held on June 03, 2009, to consider proposal for fund raising through Qualified Institutions Placement to Qualified Institutional Buyers.

PSU oil marketing major Hindustan Petroleum Corporation Limited will announced its quarterly results today.

Macro and Market Factors

The strong close on Wall Street on the back of some better-than-expected economic data and the firm trend on the Asian bourses will keep the bulls pretty busy at the Indian ring this morning.

However, for any sharp upmove to sustain, institutional investors will have to stay tuned, and more importantly, keep picking up blue chips.

Closing bell 2nd June 2009

Closing bell 2nd June 2009

Buying at lower levels during the second half of today’s trading session led the markets to recover their losses and end the day on a flat note. The BSE-Sensex ended higher by around 30 points, while the NSE-Nifty closed lower by about 5 points. Stocks from the mid-cap and small-cap spaces ended the day on a positive note, recording gains of 0.8% and 0.9% respectively. Buying activity was witnessed in stocks from the metal, consumer durables and automobile spaces, while stocks from realty and power space led the pack of losers.

Other Asian markets ended the day on a mixed note. The European indices are currently trading mixed as well. Rupee was trading at 47.1 against the US dollar at the time of writing.

Two-wheeler stocks ended the day on a firm note led by Bajaj Auto and Hero Honda. Two-wheeler major, Bajaj Auto announced its sales volumes for the month of May 2009. The company reported an 8% YoY drop in overall motorcycle volumes as compared to the same period last year. In fact Bajaj Auto’s exports, which grew by nearly 25% YoY for FY09, witnessed a 3% YoY drop in volumes during the month of May. The overall decline in volumes is a surprising development if one compares it to Hero Honda’s 22% YoY growth in volumes for the month of May. A reason for such disparity may be due to the former’s focus on the already saturated urban areas.

Telecom stocks ended the day on a weak note led by Idea and Bharti Airtel. As per data released by the TRAI, the number of mobile subscribers in India crossed the 400 m mark during the month of April 2009. During the month, there were nearly 11.9 m additions. However, this figure is lower than the previous month’s figure of 15.6 m. While this may indicate a slowdown in mobile subscriber additions, it may be noted that March, being the last month of the fiscal, the telecom operators tend to become a bit aggressive on their marketing activities. In addition, the additions also seem to have slowed down on account of withdrawal of special plans and deals. As such, on whether the Indian telecom market is facing a slowdown can be actually witnessed in the coming months. It may be noted that the department of telecom has set a target of 500 m subscribers by 2010.

Improved production levels have raised India’s infrastructure sector output by 4.3% YoY for the month of April as compared to the same month last year. Growth in production levels in core sectors such as cement, finished steel, coal and electricity, was 2.7% in the same month last year and 5.9% in the year before. However, crude oil production remained in the negative as it fell by 3.1% YoY. Last year it recorded a growth of 1%. It may be noted that the infrastructure sector accounts for nearly 27% of India's industrial output.

The Indian markets continued to trade in the red on account of sustained selling activity witnessed during the previous two hours of trade. Currently, stocks from the cement, power and realty sectors are leading the pack of losers, while select stocks from the metal, software and auto sectors are trading firm. The overall advance to decline ratio is poised at 1.2 to 1 on the BSE.

The BSE-Sensex and the NSE-Nifty are trading weak, down by around 130 points and 45 points respectively. However, the BSE-Midcap and BSE-Smallcap indices are trading higher by around 0.2% and 0.4% respectively. The rupee is trading at 47.17 to the dollar.

Pharma stocks are trading mixed. While Sun Pharma and Ranbaxy are trading lower, Lupin and Wockhardt are trading higher. Sun Pharma announced its FY09 results recently. Net sales grew by 27% YoY led by the domestic formulations and export bulk businesses during the fiscal. Operating margins contracted by 2.6% YoY to 43.6% on account of rise in staff costs and other expenditure (as percentage of sales). Net profits grew by 22% YoY, lower than the topline growth on account of the contraction in operating margins and higher depreciation charges and tax expenses during the fiscal. The Board recommended a dividend of Rs 13.75 per share for FY09. Sun Pharma and its subsidiary Caraco together have ANDAs (abbreviated new drug application) approvals for 71 products. It filed a total of 37 ANDAs in FY09. Thus, ANDAs representing 108 products are awaiting USFDA approval, including 7 tentative approvals.

Real Estate stocks are trading mixed. While DLF and HCC are trading lower, IVRCL Infra is trading higher. As per a leading business daily, promoters of DLF are planning to buy out DE Shaw’s stake in the group firm DLF Assets (DAL). D E Shaw had invested around US$ 400 m in DAL through convertible preference shares in 2007. It may be noted that DAL is a primary buyer of properties constructed by DLF. DE Shaw had a call option on the investments due in May, which has been exercised by it. The promoters sold around 9.9% stake in DLF in order to raise US$ 760 m to pay off DE Shaw and retire some debt. As per the reports, with the real estate markets reviving, DE Shaw may stay invested so as to avail higher valuations on its investments while on the other hand promoters are likely to pay back DE Shaw and buyout the stake.

The Indian markets slipped into the red during the previous two hours of trade as profit booking was witnessed at higher levels among the index heavyweights. Currently, stocks from the banking, power and energy sectors are leading the pack of losers, while select auto and software stocks are trading firm. The overall advance to decline ratio is poised at 1.1 to 1 on the BSE.

The BSE-Sensex and the NSE-Nifty are trading weak, down by around 110 points and 50 points respectively. The BSE-Midcap and BSE-Smallcap are also trading weak, lower by around 0.4% and 0.3% respectively. The rupee is trading at 47.17 to the dollar.

As per a leading business daily, Ashok Leyland plans to develop compressed natural gas (CNG) based heavy vehicles. It may be noted that the company has pioneered the use of CNG technology and it currently supplies CNG buses to various Indian cities. Fuel costs comprise a considerably higher portion of transportation costs as basic fuel prices like petrol and diesel have zoomed during the last decade. Further, the use of CNG fuel lowers fuel costs per kilometer as compared to diesel. Given the assurance of CNG fuel as Reliance’s KG basin has started to pump out natural gas, the supply of gas will not be an issue. The stock of Ashok Leyland is trading firm along with Tata Motors.

Banking stocks are trading weak led by HDFC Bank, Axis Bank and SBI. Axis Bank plans to raise Rs 30 bn through the issue of a debt instrument in the domestic and overseas markets. As such, the instrument would comprise Rs 5 bn of Tier I capital, while the rest will comprise of Tier II capital. The bank plans to utilise these funds for its future growth in the loan book and to expand its branch network. The bank plans to add 200 branches during FY10, which is considerably higher compared to 165 it added during FY09. It may be noted that during FY09 the bank’s advances grew by 37% YoY and capital adequacy ratio stood comfortably at 13.7%.