Weekly Newsletter - Aug 8 2008

For the last five weeks, indices have been ending in the green despite the choppiness in the interim. The next week, though shortened due to Independence Day could see a positive end. We are betting on better IIP numbers to help the bulls stay in control. Besides, statement that crop production is satisfactory should ease worries in many quarters. Crude prices and global market swings will continue to dictate the opening and closings of our market.

Confidence level may still be lower but we expect large caps to display some strength. In case the stocks overshoot, the usual profit booking would always be there. Again, use any gains to lighten positions or reshuffle your portfolio. Avoid trying to make quick bucks on small caps. You could just get stuck with them.