The Strategist

Strategies for the day

Date             Company View          Strategies       Action                             Risk            Reward
27-10-2009 ITC          BULLISH  BUY CALL   BUY 265 CA @ 3.40     1575             3150
OCT. EXPIRY
SL: 2.00 TGT: 6.00
Graphic Snapshot
Trading Laws:
• A Trader not observing STOP LOSS cannot survive for long.
• Never re-schedule your stop loss, square up first and then take a fresh view.
• Book small losses by buying / selling near support / resistance, and look for big gains, this will maximize the gains.

Daily Trading Calls

Free Trading Tips

UNITED SPIRITS (MCDOWELL_N)

Execution Price Range                      Stop Loss                   Target

Buy Between Rs 1020 to 1040         1010                           1069

DLF

Execution Price Range                     Stop Loss                        Target

Sell Between Rs 425 to 431           433                                    418

RANBAXY

Execution Price Range                      Stop Loss                       Target

Buy Between Rs 372 to 379                371                              384

USD/INR DAILY

Forex Market

Dollar continued to trade in uptrend trend with november contract closing near high at 46.73 levels from a flat opening of Rs.46.58/USD.Some important events both on the domestic front as well as internationally are expected to guide the prices of USDINR for today.Firstly it will be the monetary policy of India which will be in focus where RBI will come up with REPO, Reverse REPO and CRR statements.We expect RBI to keep them un‐changed, however the statement from RBI governor will assume its significance. We expect a hawkish statement from RBI governor indicating the time frame where the Central Bank might look forward to increase the interest rates. In other news RBI survey of Professional Forecasters suggested a downward revision in the growth outlook for 2009‐2010 from 6.5% to 6%. In the international currency markets, the dollar index strengthened and touched 76 levels after speculation that U.S lawmakers will phase out a tax credit for the Home buyers and Bank of America will sell shares to pay back its government’s bailout. Overall we expect a gap up opening for USDINR with 47.15 levels acting as a crucial resistance.

Market Summary

Market Summary


 It was a volatile and weak day of trade for our market today and traders are jittery ahead of the RBI's credit policy tomorrow. This is also F&O expiry week so experts expect some choppiness. The market closed in the negative today with buying in IT and auto stocks and selling in realty and banking stocks. Sensex shut shop at 16740, down 70 points and Nifty at 4970, down 26 points from the previous close. CNX Midcap index was down 1.61% and BSE Smallcap index was down 1.31%. The market breadth was negative with advances at 389 against declines of 891 on the NSE. Top Nifty gainers included Cipla, Ranbaxy and Tata Steel while losers wereUnitech, DLF and Suzlon.