Market Outlook and Trading Calls for 09Jul07

Nifty: 4384.85 +30.90 Points Sensex: 14964.12 +102.23 Points

FII Activity:
Cash Segment: 541.39 crores net buyers
Index Futures: 412.03 crores net buyers
Stock futures: 8.74 crores net buyers

Advance Decline ratio: 621:475

Outlook for 09Jul07:
Even though the markets gained 0.75% on Friday, it was very much evident that the participation came mostly from large cap stocks and especially from technology stocks. There was no participation from mid cap stocks as the mid cap index closed just 0.23% gain. I would like to reiterate that it is time to remain cautious and avoid long positions or have strict stop losses on your long positions. The gains by technology stocks are mainly due to short covering and cautious approach ahead of the Infosys numbers on Wednesday. The global markets are strong for the time being and can temporarily take our markets higher. For Monday, the Nifty should face resistance at 4411-4426-4472 and should take support at 4360-4330-4310.

Futures Trading Calls:

Buy CNX IT if sustains above 5270 for target 5420.
Buy HCL Tech f sustains above 343 for target 356.
Buy Infosys Tech if sustains above 1990 for target 2030 and 2080.
Buy Satyam Computers if sustains above 495 for target 510 and 520.

Cash Market Calls:

Buy Helios Mathinfotech at current levels for target 176 and 185.
Buy HOV Services if sustains above 228 for target 246 and 273.
Buy Hyderabad Industries if sustains above 210 for target 226 and 243.
Buy K Sera Sera Productions if sustains above 21.65 for target 23.50 and 25.10
Buy NEPC India if sustains above 19.80 for target 21, 23 and 25.

Points to Note:
1. All calls are for swing trading and should ideally hit the target within 5-6 trading sessions. Any calls other than swing calls will be specifically mentioned.
2. The calls provided on day 0 holds good for the next 2-3 trading sessions if fails to sustain above/below the mentioned levels on day 1.

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.