Market CLUE for 17-Oct-07

This morning does'nt seems to be good for all the day traders as well as overnight traders.
We were cautious against mrkt and were expecting some action that why we were warning regularly and not suggesting to take overnight positions , this is the reason we were not giving any BTST calls ..
THough SEBI action is not yet to be implemented and its justa suggestion that FII and their sub-accounts cannot issue or renew Participatory Note with underlying as derivatives with immediate effect. They have to unwind their current position within 18 months. This wont be much liked by FII.
The Indian Reserch houses says its overall positive for the market but for short term its a crisis and we cant ruled out if mrkts fall upto 800-1000 points witha gap dwn opening.

Yes as domestic Mutul funds are lined up with money and are waiting for mrkts to fall so that they can put their money but they wont come as actively as of now and will wait mrkts to settle dwn upto extent.

We suggest u to exit all longs as of noww

The panic will be there and the suggestion is to pick up ur pics in small amnts at its lows.
STocks like REL , tata power , Educomp that had huge run ip and are running ahead of evalution are to be watched and the most liquid scripts gonna fall here..
Stocks that gt strong fundamentals will fall but definately nt upto the extent .
People who are long have nothing to worry and should take this opp to buy in view of long term . Yes the buying is suggested but in small lots and small numbers .
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Still the suggestion is in doubt . bcoz as RBI and other are opposing the SEBI node . but it will clearly disturb the sentiments.
The time SEBI has taken this decesion is clearly not good .
And it will definately gonna hurt the indian retial investors maximum .
With the huge amount of build up towards options side there will be huge chunk of loss to the retail investors.


Mrkst expected to fall a min of 5-8 % with nifty will face support at 5250 and if that broken thyen 5050.
SEBI gonna give some announcements at 10:30 and will comment ..
The only lifeline sems to be ghere is IT stocks ..
We can even have lower circuit .
Rpack is a buy at lowss but at this point beter stay away .
16500 is a good buy as of now that we have in mind ..