Tuesday, October 27, 2009

Nifty Below 4950 As said yesterday

Book Nifty Stbt in good profits

Lower opening on Cards, All eyes on RBI

Unitech, Suzlon, DLF Ltd, Jaiprakash Associates and Idea Cellular were among the major losers among the NSE-50 space and these scrips might continue to extend their losses in to today's session. The new listing, Thinksoft Global Services closed at Rs 164.30 on the Bombay Stock Exchange on Monday, up 31.44 per cent against the issue price of Rs 125.This is the best performance by far, by any IPO in the current financial year.

We are headed for a lower open this morning and things might get worsen depending on central bank stance on the interest rate. We believe that there will be no change in the interest rates, but the bank might moot raising the CRR, which might spoil the mood. Any positive surprise might fuel a rally as lot of shorts will run for cover, if this happens.

Book profits in Think Soft, as the company is clearly over valued at current levels. Also, stay away from banks as they will be under tremendous selling pressure, barring some good news from the RBI.Abhishek Ind, Crompton Greaves, IFCI, Jet Airways, Reliance Power and RNRL are some of the stocks to watch out in today's trade, ahead of the earnings tomorrow