Intraday Tips and Market outlook for 10th July

US markets ended flat. (But in green)
Europe ended in green.
Asia is trading positive to flat.
Expect the Indian Markets to open in the same manner.

The support for the Sensex is 13514-13400-12600 and the resistance to the up move is at 13960
Nifty: (4081) the support for the Nifty is at 3870 and the resistance to the up move is at 4135

Day Trading Ideas :

Cairn India :
Buy above 211 for targets of 215 and 218. SL of 207
Sell below 205 for targets of 202 and 199. SL of 207

KSK Energy :
Buy above 228 for targets of 231 and 234. SL of 224
Sell below 223 for targets of 221 and 218. SL of 227

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Buy BPCL for target of Rs 512: Anand Rathi

Anand Rathi has advised traders to buy BPCL for a target of Rs 512. “Buy BPCL between Rs 462-466 with stop loss of Rs 439 for a target ofRs 512,” said the technical note.

Note: Recommendation validity period is 1 week. Stop loss is on a weekly closing price basis.

Source : Economic Times.

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Buy Maruti for target Rs.1130-1150: Religare

Religare Securities has advised traders to buy Maruti for a target of Rs 1130-1150.

“Buy Maruti between Rs 1090-1080 with stop loss of Rs 1065 for target of Rs 1130-1150,” said the technical report.

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Mahindra Holidays and Resorts IPO Allotment status

One can get Mahindra Holidays and Resorts IPO Allotment status Here (Mahindra Holidays and Resorts IPO Allotment status)

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Educomp Solution zooming up due to fund raising plan.

Educomp solution is up almost by 11% odd. The stock is zooming up as the management has approved the issue of 16,20,000 equity shares of Rs 10 each at a price of Rs 3,745 per equity share (”Issue Price”) including a premium of Rs 3,735 per equity share, aggregating to an Issue size of Rs 606.69 crores.

The Stock Look strong and one can expect it to reach 3900 levels in near terms.

Analyst View : Hold Educomp Solutions with target of Rs 3850, says Nitin Murarka of SMC Global on Zee Business. Keep stop loss of Rs 3550, he adds.

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NHPC IPO to hit the market this August.

It has earmarked an investment of Rs28,000 crore in the current XIth Five-Year Plan (2007-12) to become an over 10,000 MW company.

Acting on the government’s disinvestment plans, state-run NHPC will hit the market with its initial public offering of shares to mop up Rs1,670 crore next month.

“NHPC’s IPO will come in August; the company has already started the roadshows for the same,” power secretary H S Brahma told reporters in Delhi on Wednesday.

The company’s public offer will account for 10% of its present equity, while the government will divest a 5% stake of the 100% it currently holds.

NHPC plans to issue fresh equity of Rs1,670 crore through the IPO, and it plans to bring 167 crore shares of a face value of Rs10 each, which would be offered at a premium to be decided through the book-building process.

The company filed the draft red herring prospectus (DRHP) with the market regulator Securities and Exchange Board of India on 6 August last year.

NHPC had earlier filed the DRHP in April 2007 but it was rejected by the market regulator as the company did not have the required strength of non-official directors on its board, which it now has.

It has earmarked an investment of Rs28,000 crore in the current XIth Five-Year Plan (2007-12) to become an over 10,000 MW company from 5,200 MW now. The proceeds from the IPO will be partly utilised to finance expansions.

Source : Live Mint

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Oil India IPO in first week of September

Oil India, the nation's second-largest state-run explorer, is likely to launch an initial public offering (IPO) in the first week of September.

"We are going ahead with the IPO. Roadshows will be held in August and the offering will open for public subscription in the first week of September," a company official said.

OIL, which produces 3.5 million tonnes a year of oil, will offer 2.64 crore equity shares to public in the IPO, while the government will simultaneously sell 10 per cent of its stake in the company to state refiners.

He, however, added that the final timing of the IPO would depend on market conditions. "As of now it is slated for first week of September."

An 11 per cent fresh equity would be sold in the IPO while the government would divest 10 per cent of its stake at the IPO price.

Post-IPO and disinvestment, the government's stake in the company will decrease from 98.13 per cent to 78.5 per cent.

The official said the IPO proceeds would be used to fund capex requirement for 2009-10 and 2010-11 when it had planned Rs 2,300 crore and Rs 2,400 crore expenditure respectively.

OIL has started discussions with bankers, including HSBC Securities & Capital Markets, JM Financial, Citigroup Global Market India and Morgan Stanley India for timing of the IPO, the official said.

OIL was to launch its IPO of 11 per cent equity shares on November 10, 2008, but the reversal of fortunes on the stock markets led to the deferment of the plan.

Alongside the IPO, government is to sell 10 per cent of its current holdings in OIL to Indian Oil Corp, Hindustan Petroleum and Bharat Petroleum. IOC will get 5 per cent while HPCL and BPCL would take 2.5 per cent shares each.

Post-IPO and equity transfer, government shareholding in the company will come down to 78.43 per cent. IOC will hold 4.45 per cent equity stake in the expanded equity base while HPCL and BPCL would hold 2.23 per cent each. Public holding would be 12.66 per cent.
OIL had received all approvals for the IPO from market regulator Securities and Exchange Board of India. "The approvals are valid till September 10," the official said.
Source : Business Standard

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Intraday Tips and Market outlook for 9th July

US markets ended mixed.
Europe ended in red.
Asia has opened flat to negative.
Expect the Indian markets to also open flat to positive.

The support for the Sensex is 13400-12600 and the resistance to the up move is at 13960
Nifty: (4079) the support for the Nifty is at 3870 and the resistance to the up move is at 4135

Day Trading Ideas :

NMDC :
Buy above 333 for targets of 342 and 351. SL of 327
Sell below 325 for targets of 316 and 308. SL of 330

NTPC :
Buy above 195 for targets of 198 and 201. SL of 192
Sell below 190 for targets of 187 and 184. SL of 192

ACC :
Buy above 790 for targets of 805 and 818. SL of 777
Sell below 773 for targets of 765 and 754. SL of 777

Happy Investing !

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BSE India (Sensex 30) and NSE India (NIFTY 50). What are they ?

What is Sensex 30 and NIFTY 50 ?
I know I am acting stupid by writing such kind of post as all of you must be familiar with this but this is for my readers from other countries.

The full form of Sensex is Sensitive Index and of NIFTY is National Fifty.
Sensex is a Benchmark index of BSE and Nifty is an Index of NSE.
Sensex 30 comprises of all major companies listed on BSE based on their market cap. and liquidity.
Some of the companies at present in SENSEX 30 are Reliance Ind., Infosys ,TCS, LNT etc.
The movement in the all 30 scripts makes a movement in Sensex i.e. it leads the sensex to go up or down.
The same is in case of NIFTY it comprises to top 50 stocks listed on NSE.
Their movement will deside index movement.

Some times we see Midcaps are positive even when Sensex is trading negative, this is because Sensex is calculated on bases of 30 stocks in it. The same is for NIFTY.

Even Sensex and Nifty various other sectoral indices such as bankex for banking, PSU for PSU companies.

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Buy JP Associates with stoploss of Rs 194: Nirmal Bang

Nirmal Bang has advised traders to buy JP Associates with stoploss of Rs 194.

“Huge delivery volume was witnessed in JP Associates. Buy & hold the scrip with stoploss of Rs 194 or Rs 187 for a target of Rs 223 and Rs 232,” said the technical note.

Source : Economic Times

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