Market Report 1Feb 2008

Markets saw a dip in the first half and a good recovery in the later half, The Recovery was mainly due to the fresh positions being created in the index stocks and frontliners that led the recovery to cvr almost 500 points and in the end ending almost flat..

The sensex is going no where , as coming week should decide the fresh path , All the triggers came and gone , Result season is over, FED meet is over , RBI meet is over. Still the market seems to be in no mood to have its one way direction .

The rangebound movement seems to be a bit monotenous..and FNO expiry was the culprit behind the volatility that was being witnessed in the last 2-3 days.

THe absence of any fresh trigger has put a thought that we likely to see a pre budget rally
from this point of time . The range of nifty is between 5000 and 5600..
any closing below 5000 could give us new lowa may be 4500 on nifty..

abv 5600 we may see fresh highs..

US markets seems to be reacting a bit lately from from the FEd rate cut . The rate cut newz of 50 bps made a little effect and DOW ended in green with gaining 200 points .
IT seems like Asian markets have alredy its party over.. and is in no mood to show further strength.

Indina markets likely to positive openeing and a fresh day fresh series we may see some positions build up in frontlineres.
We suggest to stay in cash and keep away from FNO segment , Cash buying could be done and
fundamental stocks should be bought at these levels.
IT stocks looks safest bet from these levels as they dont have much downside , they are alredy trading lows from their PE lvls ..so can be accumulated for mid term horizon..




Keep an eye on air deccan here where merger got approvel with 7:3 swap ration ..

JP assoc our multibagger is a buy in all dips.. its bidding for noida airport..

Unitech in talks with two foreign telecom companies for mobile services..


Videocon Industries is venturing into business of building and operating ports; bids for container terminal at Kerala port. ..
Punjab government appoints Power Finance Corporation to help bid out a 2,000MW project using ultra mega power project model..

HDFC cuts home loan rates by 25bps..

GMR Industries plans to raise Rs2.5bn through rights issue..

Rajesh Exports bags Rs4,630mn export order of gold jewellery from Excel Goldsmiths..

Madras Cement approved proposal of buy back its own shares with a maximum price of Rs4,200 a share..

Short selling could begin in the first week of February..
..

We are not taking sub for FEb .. as continuing with existing memebrs.. to start a full fledge service in march ..

Have a grt DAY!!!