Markets near intermediate bottom level: ET

Markets near intermediate bottom level

The market finished lower for a seventh successive week, with the Sensex ending 2.92% or 348 points lower, and Nifty losing 2.92% and CNX Midcap falling 4.98%. However, the statistic hides two rallies during the week that added up to 1,063 Sensex points.

BHEL was the biggest winner among Sensex stocks with an 8.7% gain. Other winners with gains between 7.5% and 2.4% included Jaiprakash Associates, ONGC, Satyam, L&T, Ranbaxy, Infosys and NTPC. ACC was the biggest loser with a 17.5% loss. Other losers were Maruti Suzuki, Grasim, Reliance Energy, Tata Steel, Tata Motors, Ambuja Cements and ICICI Bank with losses between 14.7% and 8%. Triveni Engineering was the biggest winner among non-Sensex stocks with a 23.6% gain. Other non-Sensex winners with gains between 14.3% and 5.9% were India Infoline, Orchid Chem, i-flex solutions, Renuka Sugars, Praj Inds and Gokul Refoils. Recently listed Niraj Cement was the biggest loser among non-Sensex stocks with a 58% loss. Other losers were MVL, Pyramid Saimira, Gwalior Chemicals, JSW Steel, Sejal Architectural Glass, Adlabs Films, MRPL, Rajesh Exports and Gujarat NRE Coke with losses between 27.5% and 16.9%.

INTERMEDIATE TREND: The intermediate downtrend that began on May 5, when the Sensex reversed downward after peaking at 17736, persists. But the two bouts of strong buying on Wednesday and Friday suggest an intermediate bottom is a possibility around current levels. The levels above which the downtrend will end remain 14450 for Sensex, 4325 for Nifty, and 5698 for CNX Midcap. Global indices are also in intermediate downtrends. The Dow has to cross 12400 to begin an intermediate uptrend.

LONG-TERM TREND: The indices made fresh bear market lows last week, and remain in major downtrends. This means we are still in a bear market. The market’s long-term trend will turn up if the Sensex closes above its last intermediate top of 17736, Nifty above 5300, and CNX Midcap above 7192. Global indices are also in major downtrends, but most have remained above their last intermediate bottoms. Indian and Chinese indices breached their last lows a few weeks ago, and the Dow did so more recently. Some European indices followed suit last week. The odds can shift in favour of a global bull market if the current intermediate downtrends end in higher intermediate bottoms for most indices. The Dow will enter a bull market by closing above its last intermediate top at 13200.

TRADING & INVESTING STRATEGIES : Long-term investors should wait for this intermediate downtrend to end. But some exposure can be taken as the downside risk is reduced with the Sensex having fallen almost 40% from its January high. A 25% exposure with a pessimistic 20% downside risk presents only a 5% portfolio risk. Banks, realty, construction and capital goods are still in long-term downtrends, and should be avoided. Software and pharma scrips and are not falling as heavily, and are better suited for long-term investing. The intermediate downtrend is now nine weeks old, and day-trading may work better then swing trading, as abrupt changes are occurring frequently.

GLOBAL PERSPECTIVE: All major international markets are in intermediate downtrends, and also lost further ground last week. But the March lows have not been violated yet for most markets. The Sensex has lost 12% in the 12 months that ended on Thursday, taking it to 12th spot among 40 well-known global indices. Egypt continues to head the list with a 18.7% gain. Russia and Brazil are next. The Dow has lost 16.9% and Nasdaq 15.1% over the same interval. (The author is an independent technical analyst)
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Investors Guide
India growth story hits the slow track
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Plethico Pharma is an attractive investment pick
Firstsource Solutions overweight; buy RCom
Petronet LNG hopes to ride boom in LNG capacity
Sejal Architectural likely to offer decent upside potential


Source: The Economic Times

Blog Updates from Deadpresident Blog

Weekly Technicals - July 6 2008

The markets ended with losses for the seventh week in a row as they continued to be haunted by global market cues, record crude oil prices, rising inflation and political worries.The Sensex crashed to a low of 12,822 during the week - down almost 1,000 points from its previous close. However, some bargain hunting in beaten-down financial and realty stocks helped the index cut losses towards the end of the week.

The index finally ended with a loss of 348 points at 13,454. It has shed a whopping 22.8 per cent (3,981 points) in the last seven weeks.Among the index stocks, ACC, Maruti, Grasim and Reliance Infrastructure dropped 13-17 per cent last week. Tata Steel, Tata Motors, Ambuja Cements, ICICI Bank, Reliance Communications, ITC and Mahindra & Mahindra shed 7-12 per cent each.On the other hand, BHEL surged nearly 9 per cent. Jaiprakash Associates, ONGC, Satyam and L&T gained 5-7 per cent each.

Political concerns, inflation worries and possible action by the RBI would continue to affect the markets in the short term. The market sentiment will also be driven by the earnings season.Technically, the Sensex may drift towards its yearly support of 12,100.

However, if the index manages to sustain above the 12,750-12,800 range in the short-term, there may be a pull-back rally upto 13,900 and 15,200. The index is likely to find support around 13,050-12,930-12,800 and resistance at 13,855-13,980-14,100.The Nifty moved in a range of 315 points during the week. From a high of 4,163, the index dropped to a low of 3,848 and finally settled with a loss of 121 points at 4,016. The index tumbled over 22 per cent (1,142 points) in the last seven weeks. The Nifty shall seek support in the broad range of 3,750-3,850, below which it is likely to fall to 3,500. (via Business Standard)

India forex reservces fall
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India Strategy - July 4 2008
Indian cell services market to top US$37bn by 2012...
Long Term Picks - July 4 2008


Source: Deadpresident.blogspot.com

Venture Capital , Pvt Equity Updates

VCcircle.com

Mobile Community Website SMSGupShup Gets $10 Million From Helion & Charles River
ChrysCapital Picks Up 7% In Amtek Auto From Secondary Market
Cafe Coffee Day Holdings To Get $50M From JPMorgan: Report
Bennet, Coleman’s 2% Stake Buy In SMC Group Values The Broker At $875 Million
IFC To Invest Rs 64 Crore In Pharma Contract Manufacturer Hikal

Online Tax Filer Taxshax Gets BCCL Support
“Entrepreneurs Are The Freedom Fighters Of Tomorrow”
Guest Column: Can RIL Enforce First Right Of Refusal On RCOM-MTN Deal?
There Could Be Some Truth In Bharti-Zain Story: Experts
RCOM-MTN Moving Ahead To A New Holding Structure

IDFC Plans Holding Co; To Raise Upto $750M; Increase ESOPS
Bumi Geo Engineering Raises $9.4 Million From Dubai’s Alcazar
Anil Singhvi Chucks Finance For A Cement Role In R-ADAG
Reliance Money Plans Saudi Arabia Foray Through JV
PE-Backed SemanticSpace Makes A $40M Acquisition In The US

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IndiaPE.com

IFC to acquire shares of Modern Dairies
CUMI agrees to acquire 51% stake in FZL, SA
ICICI Venture sells JV stake to Tishman
Mallya eyes 26% stake in SpiceJet
IFC to invest $15 mn in Mumbai pharma firm

Gopinath to dilute 26% stake in Deccan Cargo
BCCL picks up stake in SMC Group
NALCO Likely To Acquire 51% Stake In Tajikistan's Talco
Clearwater invests $50 mn in power equipment park
Kingfisher, SpiceJet May Swap Shares 1:3

PE investments take a beating
UK’s Eredene Cap picks up 50% stake in Apeejay Infra-Logistics
PE firms wooing OOH media players
RCom, MTN deal likely on July 6?
RCOM plans to raise $5 bn for MTN deal


Source: VCcircle, INdiaPe.com

N-deal necessary for nation: Kakodkar

N-deal necessary for nation: Kakodkar

Making a strong pitch again for operationalising the Indo-US nuclear deal, Atomic Energy Commission Chief Anil Kakodkar today said 'history will not forgive us' if it is not clinched.

Kakodkar's strong statement came on a day when Left parties said they would vote against the UPA government in Parliament in case of a confidence motion if it took the next step to operationalise the deal.

"Here is a chance ... without compromising on our principles, we can bridge energy security for the future," Kakodkar said in a public lecture on 'Evolving Indian nuclear programme: Rationale and perspectives', organised by the Indian Academy of Sciences.

Without mentioning the deal but giving enough indications that he exactly meant that, he said, "If we don't do now, history will not forgive us". He termed it (the deal) one of the most promising and viable way of bridging energy security for the future.Later, responding to reporters` queries on time-line for approaching the IAEA for a safeguards agreement and if the deal can be wrapped up year-end, Kakodkar said, "Sooner the better.

But everything is not in my hands, now? But things are not in my hands".Earlier, he declined to comment on the raging political debate over the nuclear deal when an audience member posed a question. "That's part of politics; I don't get into politics.
--------------------------
'History won't forgive if N-deal is not inked'
Seek vote of confidence: BJP
Fuel, metal prices to blame: FinMin
Weekly Review: Sensex at 15-mth low
Jim Rogers bets big on oil price surge
How to tackle interest rate hikes


Source: UTVi.com, Rediff.com

Stock, MF analysis from BusinessLine

Prime Focus: Buy
With a strong presence in the niche area of post-production services for films, a unique cross-border business model and a good pipeline of film projects, Prime Focus is a preferred pick within the media sector. A substantial correction in ... More

TCS: Buy..More

Marico Industries: Buy...More

Crompton Greaves: Buy....More

Dishman Pharma: Buy...More

NEW FUND OFFER
Fund Update
Bharti AXA Investment Managers has launched a ‘Liquid’ Fund. The minimum investment is Rs 5,000 for the retail plan and Rs 1 crore for the institution plan. The NFO closes on July 14.Bharti AXA ... More


MUTUAL FUNDS
IDFC Imperial Equity: Hold...More

ICICI Pru Dynamic: Invest
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TECHNICAL ANALYSIS
Query Corner
I hold shares of Reliance Capital. Please let me know the future prospects of this stock. Himanshu ShahReliance Capital (Rs 993): In our previous review of Reliance Capital in March, ... More

Sensex long-term outlook review
We had expected the four-year long bull-phase to terminate in the first quarter of 2008 in our long-term outlook at the beginning of this year. Our outermost target for the Sensex for 2008 was at 13700. Now that this level has been ... More

Index Outlook
It was week of high drama on the Indian bourses. The markets initially appeared to be plunging in to a bottomless pit. But the 700-points recovery on Wednesday brought the spring back to the step of the drooping bulls only to see their hopes ... More

DERIVATIVES MARKETS
Nifty future may move in 3800-4300 range..More

LIFE INSURANCE
Combining gainfully
SIP + Insurance products More



Source: www.Businessline.in. We thank (will be grateful to) the owners of the above articles/sites/sources/Govts for allowing/referring this. We are just providing the link/information of business updates from the leading sources for the benefit of readers. Viewers are strictly advised to take own decision in Stock buying and make verification about the information. Blog is not responsible for any faulty information .

Kingfisher buying SpiceJet??? : UTVi.com

Kingfisher buying SpiceJet?

Mumbai: Vijay Mallya's Kingfisher Airlines is close to acquiring a controlling stake in another low-cost carrier SpiceJet.The deal will value SpiceJet around $300 million dollars. It is likely to be a cash-and- share swap deal.

Mallya is likely to acquire 26% stake in SpiceJet, and make an open offer for an additional 20% stake. He is also likely to retain Spice as the low-cost carrier of Kingfisher Airlines.If the deal goes through, Mallya, through Kingfisher Airlines, Deccan and Spice, will control 40% marketshare beating Jet (along with Sahara), which has a marketshare of 33%.

It will also give Mallya the position to dominate fares in the marketplace. Currently, because of the low cost airline fares, Kingfisher and Jet are forced to sell tickets below cost.SpiceJet is a fairly well run, lean operation with the smallest loss in the industry.

Experts say it will give Kingfisher the right product in the low cost space. And, of course, access to trained manpower.What may not work too well for the two airlines is the fact that they operate different fleets. Spice flies Boeing while Kingfisher is an Airbus customer. So, there are no clear synergies in operations. Analysts say if the two airlines continue to function separately, it will not pose a big challenge for Mallya.

If the deal does fructify, it could change the aviation landscape in the country and make the airline industry more viable



Source: www. UTVi.com . We thank (will be grateful to) the owners of the above articles/sites/sources/Govts for allowing/referring this. We are just providing the link/information of business updates from the leading sources for the benefit of readers. Viewers are strictly advised to take own decision in Stock buying and make verification about the information. Blog is not responsible for any faulty information .

Sensex ends 360 pts up as bulls return to the ring: Sify

Sensex ends 360 pts up as bulls return to the ring

Save for a brief while this morning and for a few minutes before noon, the market remained in the positive territory today thanks to some strong buying in blue chip stocks.
Despite high oil prices and hardening interest rates, the market opened on a positive note today. Capital goods, realty and power stocks surged higher on strong buying support. Stocks from other sectors too joined the rally. However, ahead of release of inflation data, the market turned a bit shaky and gave up almost all its gains in late morning trade.

The crucial meeting of the Left parties that had the withdrawal of support to the ruling coalition as a main agenda had a role to play in forcing the investors on to a defensive mood around noon.
However, neither the Left meet nor the surge in inflation (inflation rate rose to 11.63% in the 12 months to June 21, 2008, above the previous week's annual rise of 11.42%) could halt the market which started gaining ground in the positive territory this afternoon. Even as the Left meeting was on, leaders from the Samajwadi Party met the Prime Minister and expressed their support for the Indo-US civilian nuclear deal.

So strong and sustained were the buying enquiries at the blue chip counters that the benchmark BSE index Sensex gained in strength and vaulted to a high of 13,509.74 today.

The BSE barometer, which had tumbled to a low of 13,027.79 in morning trde, ended the day at 13,454 with a thumping gain of 359.89 points or 2.75%. The Nifty, which swung in a range of around 137 points - it hit a low of 3896.40 and a high of 4033.50 today - closed with a gain of 90.25 points or 2.3% at 4016.

Realty stock DLF, which had tumbled sharply yesterday after a heady rise in the previous session, bounced back into the reckoning once again. With a host of other realty stocks too surging higher on sustained buying support, the Realty barometer shot up by 7.8% today.
Capital goods, power, bank and oil stocks also finished on a positive note. While the Capital Goods index ended stronger by 6.79%, the Power and Bankex ended up by 6.1% and 3.08% respectively. The consumer durables barometer, BSE CD, moved up by 3.15%.

Select PSU, auto and IT stocks posted impressive gains. Pharma and metal stocks ended on a subdued note. Thanks to frenzied buying, several stocks from midcap and smallcap segments too advanced to higher levels and signed off on a high note.

Reliance Communications flared up by 12.5% and ended as the top gainer in the Sensex. Jaiprakash Associates closed with a big gain of 10.65%. DLF ended 8.6% up at Rs 414.65.
BHEL notched up a gain of 7.45%. Reliance Infrastructure climbed up 7.25%. Larsen & Toubro jumped 6.55% to Rs 2379.85. HDFC posted a gain of 6.2%. Ranbaxy Laboratories and ICICI Bank moved up by 4.75% and 4.7% respectively.
More @ Sensex ends 360 pts up as bulls return to the ring



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Inflation rate gallops to 11.63 per cent
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Prakash Industries inks Rs 485-cr deal
Two-thirds of IPO stocks battered
Suzlon to invest Rs 4,000 cr in TN
Greenply to invest Rs 370 cr



Source: http://sify.com/finance. We thank (will be grateful to) the owners of the above articles/sites/sources/Govts for allowing/referring this. We are just providing the link/information of business updates from the leading sources for the benefit of readers. Viewers are strictly advised to take own decision in Stock buying and make verification about the information. Blog is not responsible for any faulty information

Sensex loses 500 pts, ends below 13k mark

Sensex loses 500 pts, ends below 13k mark

After losing nearly one thousand points in just two sessions, the Sensex had another disastrous outing today as weak global markets, political uncertainties and other negative factors such as high crude oil prices, inflation and hardening interest rates sent prices of several front line stocks crashing to new 52-week lows.


The BSE barometer, which had touched a historic high of 21,206.77 in intra-day trades on 10 January 2008, plunged to a low of 12,904.09 in late afternoon trade today. It finally settled at 12,961.88 with a massive loss of 499.92 points or 3.71%. The Nifty, which dropped down to 3878.20, ended with a loss of 143.80 points or 3.56% at 3896.75.

Realty stocks came down with a thud once again. Mirroring heavy selling in these stocks, the BSE Realty index tumbled by 7.21% today. The Bankex fell 5.62% and the Metal index lost 5.4%.
The Auto, CD and Power indices declined by 4.91%, 4.28% and 4.24% respectively. BSE Oil & Gas, Teck, CG and PSU indices lost 3% - 4%. The IT index eased by 1.74% while the Healthcare and FMCG indices slipped by 2.17% and 2.83% respectively.

NTPC, the lone gainer from the Sensex, moved up by a little over a per cent to Rs 153.20. From the Nifty pack, besides NTPC, HCL Technologies (2.85%) and Tata Communications (2.05%) closed on a positive note today.

Reliance Infrastructure and Reliance Communications went down by around 10.5% to Rs 688 and Rs 392 respectively. Mahindra & Mahindra lost 9.25%. Maruti Suzuki eased by over 8%.


More Info @ Sensex loses 500 pts, ends below 13k mark

Source: www.SIfy.com/finance

BSE announces circuit breakers for July-Sept quarter

BSE announces circuit breakers for July-Sept quarter

The BSE on a quarterly basis implements the index based market wide circuit breaker system. The system is applicable at three stages of the index movement either way i.e. at 10%, 15% and 20%

The BSE on a quarterly basis implements the index based market wide circuit breaker system. The system is applicable at three stages of the index movement either way i.e. at 10%, 15% and 20%. This circuit breaker brings a trading halt in all equity and equity derivative markets nationwide.

The market wide circuit breakers would be triggered by movement of either SENSEX or the NSE S&P CNX Nifty whichever is breached earlier.

In case of a 10% movement of either of these indices, there would be a 1-hour market halt if the movement takes place before 1 p.m. In case the movement takes place at or after 1 p.m. but before 2.30 p.m. there will be a trading halt for ½ hour. In case the movement takes place at or after 2.30 p.m. there will be no trading halt at the 10% level and the market will continue trading.

In case of a 15% movement of either index, there will be a 2-hour market halt if the movement takes place before 1 p.m. If the 15% trigger is reached on or after 1 p.m. but before 2 p.m., there will be a 1 hour halt. If the 15% trigger is reached on or after 2 p.m. the trading will halt for the remainder of the day.

In case of a 20% movement of the index, the trading will be halted for the remainder of the day.

The percentages are calculated on the closing index value of the quarter. These percentages are translated into absolute points of index variations (rounded off to the nearest 25 points in case of SENSEX). At the end of each quarter, these absolute points of index variations are revised and made applicable for the next quarter.

On June 30, 2008, the last trading day of the quarter, SENSEX closed at 13,461.60 points. The absolute points of SENSEX variation (over the previous day’s closing SENSEX) which would trigger market wide circuit breaker for any day in the quarter between 1st July 2008 and 30th September 2008 would be as under:

Percentage (+/-) Equivalent Points (+/-)
0.10 1350
0.15 2025
0.20 2700



Source: www.Indiainfoline.com