Anagram - Daily Call - Apr 25
Emkay - Morning Notes, Ultratech Cement, Satyam Computer
Nifty and Sensex have exhibited a bullish candlestick.
Technically, one may use the level of 4050 (Nifty) and 13850 (Sensex) as the stop loss level.
Nifty faces resistance at 4200 and Sensex at 14200.
BSE Smallcap and BSE Midcap exhibited a bullish candlestick.
CNX IT has lost ground.
In the Punter's zone we have a BUY in I8VRCL INFRA , MARUTI & BANK OF INDIA.
In the Technical call section, we have a BUY in GAMMON INDUSTRIES , NALCO & GESCO CORP.
Anand Rathi - Daily Technical Note - Apr 25
Anand Rathi - Daily Fundamental Snippets - Apr 25
The NIFTY futures saw a rise in OI to the tune 3.03% with prices coming up significantly after credit policy announcement of no CRR hike indicating heavy short covering coming in the market and fresh built up in long positions .The discount in nifty futures narrowed and disappeared on closing basis . The FII bought index futures to the tune of 424 crs and buyers in index options to the tune of 302 crs indicating hedged positions built by them. The PCR has come up from 1.28 to 1.32 indicates that some buying support may emerge in the market.
Among the Big guns, ONGC saw 6.67% drop in OI with prices coming up 1.99% indicating shorts covered their positions and fresh long positions being built up in the counter indicating strength in the counter. Whereas RELIANCE saw 0.96% drop in OI with prices rising indicating strength but some profit booking is advisable in the counter.
In the TECH front, INOFSYSTCH, WIPRO, TCS & SATYAMCOMP saw liquidation of positions by both bulls as rupee appreciation is putting pressure on IT pack indicating uncertainty expected by participants in IT counters. One should avoid positions in IT pack unless some clarity comes.
In the BANKING counters, SBIN saw rise in OI to the tune of 1.04% with rise in prices to the tune of 7.20% indicating heavy short covering seen in the counter after announcement and fresh long positions built up in the counter suggesting further strength in the counter.ICICIBANK, HDFCBANK saw drop in OI with rise in price indicating short covering seen in the counter.
In the metal pack TATASTEEL saw drop in OI to the tune of 2.55% with price up significantly indicating heavy short covering in the counter as counter crossed its resistance levels which may result in further strength in the counter whereas SAIL saw drop in OI with drop in prices indicating liquidation of positions by bulls indicating profit booking seen in the counter .HINDALCO saw liquidation of positions by bulls and bears whereas STER saw short covering in the counter suggesting further strength in the counter.
Considering the overall scenario and the markets movement after announcement market followed a direction showing signs of further strength .We feel that as the volume and built up in OI suggests that market may show further strength with some minor profit booking may come in market .One should trade in long side with strict stop losses to be adhered too.
Anand Rathi - Daily Strategist - Apr 25