Friday, November 20, 2009

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Indian stock markets are likely to be under pressure on Friday for the second day in a row following a sea of red in global equity markets over night. Expect the benchmark index or the Sensex to shed another 100 points in today's session.

Metals stocks are likely to be hit very hard following a rise in the dollar and we predict this sector to react sharply in the event of a crash in the markets. Stay away from counters liek Sesa Goa, Sterlite Ind and Tata Steel for the time being. Realty stocks might take another round of beating after topping the losers list yesterday.

We advice investors to hold on to quality stocks and also book partial profits. We are likely to see a lower open probably by 30 points on the Nifty and we might see the market trading in a band there after. NDTV is the stock that is looking good at RS 134 levels after selling stake to U.S based Scripps network in NDTV Life Style.

We have seen some speculative moves in stocks like BPL, Raj Oil and Resurgere mines. We advice caution on these stocks. Investors who have entered these stocks at lower levels should get rid them on every raise from here on. Sugar companies look like a good 'short' at current levels after the Govt decision to raise the Sugarcane prices offered to the farmers. GVK Power and GMR Infra might offer some decent returns for bears, who would like to be on the short si