Market Outlook:
Nifty View- S&P CNX Nifty is finding strong support around 5200 levels and if we can hold that level then rally till 5315-5350 can be a possibility and Range for the day can be 5190-5315. Nifty in last 4trading days has been making lower high and lower lows, sustaining 5200 on closing basis is very important as Global crisis very hour news flow changes and with weekend ahead stock specific Mid-cap can give good returns. ALBANK, INDIANHOTEL, ZYLOG, GSPL, BERGERPAINT, TECHMAH, BEML, REC, PFC and PTC are looking good for short term sharp rally. Petrol price hike would have positive impact on Oil marketing companies like BPCL, HPCL & IOC but already positive is priced in, till Diesel and LPG price hike won't come stock rally is a chance to exit. Indian Services PMI shrinks to lowest in 30 months, slumped to 49.1 in October. Result update QoQ basis sales growth has been +1.74% while Net profit has dropped -5.62% for 1166Companies update available.
Sensex- Sensex likely to trade in a range 17200-17750, so till this range holds being stock specific would be better as host of events would put pressure on markets. Normally market Gap up/down and closes so today if the Gap levels is closed then 18250 in Sensex becomes possible in next few weeks.
Technical Calls:
GSPL-Rs.102, Stock has taken strong support around 200DMA & 100DMA Rs.99 and has bounced back and stock looks very strong to target Rs.113-116 in short term. Stock is in long term consolidation where stock can even target all time high Rs.128 in next 6-8months so investor can accumulate slowly for good long term gains.
INDIANHOTEL-71 Stock after making panic low of Rs.66 has consolidated and good volumes are seen in last 7trading session and now stock has given Price-volume Break-out from a triangle where 8-12% return in next 1-2months can be possible with Rs.67 as strong support.
Technical View: PTC-PFC-REC- Price-Volume Break-out 3stocks which benefit out of reforms to SEB( State electricity Board) PTC-74 Looks very good to target Rs.85-88 around levels, PFC-164 which has given Inv.Head & shoulder Break-out looks good to target Rs.182-187 levels and REC-194 Looks good for Rs.220-229 as Target By End December. Trade with suitable stop loss as Global scenario changes every hour.
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