Trading Calls for 09Jan07

Nifty: 3933.40 -50.00 Points Sensex: 13652.15 -208.37 Points

FII Activity:
Cash Segment: 787.63 crores net sellers
Index Futures: 798.87 crores net sellers
Stock futures: 325.82 crores net sellers

Advance Decline ratio: 506:488

Outlook for 09 Jan 07:
Yesterday’s correction was more than expected and the Nifty is sitting pretty over its 30 days moving average. The low of 3913.00 is very crucial. If markets trade decisively below this level then more correction is expected. The Nifty would take support at 3893 and 3868. It will face resistance at 3962 and 3979.

Futures Trading Calls:

Sell Reliance Communication at current levels with stoploss 447.00 for target 415.00
Sell SBI at current levels for target 1185.00

Hold your long positions in (Price in brackets is the stop loss):
Dr.Reddys(799.00), Orchid Chem(196.00) and Polaris(164.00).

Hold your short positions in (Price in brackets is the stop loss):Bajaj Auto, HLL(217.60) and Suzlon (1333.00).

Pease note that if no prices are mentioned in brackets then there is no stop loss reqiured currently. Stop losses would be provided at appropiate levels. Keep checking the stoplosses. It is updated everyday.

Disclaimer: The recommendations provided would be purely on my personal opinion and doesnot reflect any fund house interest or my personal holdings. I would not be responsible for the loss in trades undertaken based on my recommendations.