Morning Call from ET,Deadpresident Blog etc

• Top 5 picks of the day

• Mid-term picks of the day

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Tata Motors net zooms 110%, with rising input costs analysts still sound caution


Heard on the Street


Punters leave Balaji high and dry after QIP

Shares of Balaji Industries were among the big losers on Monday, shedding over 4% to close at Rs 264.65. The company had made a qualified institutional placement (QIP) on Friday at Rs 239.30 per share. Interestingly, the stock price had flared up on heavy volumes in the run-up to the QIP. The stock climbed from Rs 244 to Rs 275 in three trading sessions. Wonder why punters were so excited about the QIP, considering that almost all such placements in the past few months were done at a discount to market price. Having accomplished their task of propping up the stock price

, the opportunistic bulls now appear to making an exit.

Bears and bulls get ready to cross swords

Market conditions don’t appear to be favourable to bears, yet. But the Old Fox is a firm believer in the theory that big gains can be made only through big risks. He is very bearish on the telecom sector, and is steadily building up short positions in Bharti Airtel, Idea Cellular and Reliance Communications. In addition, he is also said to have gone short on Unitech, Suzlon and Punj Lloyd, among others. At the same time, bulls too are not finding the going any easier. The Rar(e)ing Bull is said to be refraining from big trading bets, and making token purchases in the stocks

he is bullish on from a long-term perspective. He is said to have accumulated a small chunk of Sterlite shares in the past couple of sessions.

A new caste system in the broking industry

Equity research is gradually becoming a key ‘differentiator’ in the broking industry. Several brokerages have begun promoting research as an exclusive product to investors. The more innovative ones (brokers) have started preparing reports targeting specific classes of investors. High volume institutional clients and affluent investors get on-the-fly direct email reports (on daily market developments) from analysts while small retail clients are often mailed reports that are a day or couple of days’ old. A leading brokerage — with strong presence in both the retail and institutional space — is learnt to be telling prospective retail customers that it provides the same research to both its institutional and retail clients. What it has not clarified is whether it will be providing the same research simultaneously to both sets of investors.

(Contributed by Santosh Nair & Shailesh Menon)


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Pantaloon Retail

GSPL

Bharat Forge

Mahindra and Mahindra Financial Services

Idea Cellular

ING Vysya

JSW Steel Limited

Dr Reddy's Labs Ltd

Atul Ltd

Power Sector

IDFC, HCC, BHEL, Asian Paints, Birla Corporation, JSW Steel

Adhunik Metaliks, Biocon, Garware Offshore, Infoedge, Rolta, Yes Bank

Reliance Industries

Zee Entertainment Enterprises /

Zee News

Source: Economictimes, Deadpresident Blog

Morning Calls

Top 5 picks I Mid-term picks

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Crucial support at 4,950

MICRO TECHNICALS

YES BANK
Current Price: Rs 256.5
Target Price: NA

The stock established a high of Rs 262 last week and it looks likely to test that soon. Volumes remain excellent. The problem could be over-extension since it’s moved up almost vertically in the past three weeks. Also it is impossible to set a target. Keep a trailing stop at Rs 249 and go long. Move the stop up 5 units for every 5 unit move.

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HIND UNILEVER
Current Price: Rs 280.5
Target Price: Rs 295

The stock hit strong resistance at Rs 295 and corrected down to a good support at Rs 270. It has started moving up again on slightly improved volumes. The pattern suggests range-trading will occur between Rs 270-295. Keep a stop at Rs 275 and go long. Start booking profits above Rs 293.

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JUBILANT ORGANOSYS
Current Price: Rs 237.5
Target Price: Rs 250

The stock has seen massive volume expansion coinciding with a rise from a bottom around Rs 210. If the volume pattern is maintained it will certainly test Rs 250 levels intra-day, though there is a strong resistance there. Keep a stop at Rs 232 and go long. Cover at Rs 250.

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CRANES SOFTWARE
Current Price: Rs 41.5
Target Price: Rs 48

The stock has seen strong institutional interest and bulk deals between Rs 38-41, leading to strong volume expansion. It has the potential to land somewhere between Rs 48-50, given the volume pattern. Keep a stop at Rs 39.5 and go long. Book profits above Rs 47.5.

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SHREE RENUKA SUGARS
Current Price: Rs 214.45
Target Price: Rs 225

Sugar remains in a secular bull-run. Renuka Sugars has climbed over 300 per cent in the past 12 months, from Rs 50 levels. It saw another price breakout coupled to strong volumes last week. The new target would be around Rs 225. Keep a stop at Rs 207 and go long.

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Other Stories:

Intermarket review 26-OCT-09 The term Intermarket was coined by John Murphy in 1990.

Analysts' corner 26-OCT-09 Adani Power (APL) is an interesting case of private sector entrepreneurship, capitalising on India’s persistent power deficits and exploiting high medium-term merchant tariffs which should reduce the payback of projects, and also having lower execution time cycles by using Chinese equipments.

Healthy demand outlook 26-OCT-09 A revival in the US financial services sector and better cost management would help TCS sustain profitable growth.

Stiff pricing 26-OCT-09 While an under-penetrated market and robust business plans should help DEN Networks grow faster, competitive pressures are likely to intensify.

Volume plays 26-OCT-09 India’s largest two-wheeler makers had a sparkling September quarter

Src: Economictimes.Indiatimes, Business-Standard

Srisai's Instinct Stock Calls

Srisai's Instinct Stock Calls

This(Srisai's Instinct Stock Calls) will be a New Initiative of this blog to Publish Blog Author's Own Investment/Trading Calls for Short-Medium Term perspective. But All these Calls are not given on Purely Technical perspective. Most of these Calls are given by Blog Author from His past Investment/Trading experiences. So Do not expect More depth in Calls. Author has tried his best to give some calls for the benefit of Investors/Traders from his experience and from some media/web/news based call. So author request all the investors/traders to take/try these Calls as RISK CALLS. And Keep Strict Stop Loss Own (or) Keep Resi,Supp levels As Stop Loss for their Trading(or) Trade/Invest @ your Own Financial Risk. All type of Comments are Welcome about this New Initiative. Dont Forget to Keep Stop Loss and Again Author Remembering you that he is giving calls only from his past trading experience...


Date: 26.10.2009

Nifty Future: cmp 5007

NFut little weak below 5063 levels... Upside only above 5063-5087 levels.... So keep watch on this... Downside supports are at 4970-4957-4930 levels.



Reliance Industries: cmp 2046

RIL stocks down 4% on Friday as Hardy Oil abondons KG-D9 block process.
But In my point of view Market has Over-reacted on this announcement... From the Media sources, I came to know some facts.... RIL Exploration Success Ratio is ( 60%) Bigger than Global Success Ratio of 40%... So No need to worry about this Abandon. And KG D9 Block as not as much important as KG-D6 block...
So If RIL falls below 2000, Use that lows as Buying opportunity for short term..

Supports are at 1970-1927-1906 levels...




BajajHindustan: cmp 233

Year high nearly comoing around 240 levels.... So if it breaks that levels with Huge volumes, then it could move 252-265 levels soon... Supports at 227-215 levels....



Polaris: cmp 170

Polaris is trying very hard to cross levels 173-175 in last two sessions... and also not going below of Rs 165 levels.... So decision is yours whether to short/go Long...

Supp: 165-160 levels. Resi: 173-175 levels.



EssDee Aluminium: cmp 373

I have tried this stock continuously while crossing 375-385 levels... some thing there in that range...That is stock struggles in that range... So risk traders watch this stock and make SHORT/LONG with Strict Own Stoploss... Supports may be 348-355 levels...


Amtek Auto : cmp 189

Stock has corrected nearly 20-25 % in last few sessions.... Buy this at further correction in Small/Medium quantities.... Stock's 50 simple moving avg is at 185 levels... S try this stock in small qty with own stop loss... Other supports are: 177-172 levels....



Again Says Keep Strict Given StopLoss/Own StopLoss in All Trades.....



Srisai