Updates 30.01.2008

Current Positives


• FED is expected to cut another interest rate by another 50 bps tomorrow and hence would improve liquidity condition
• Reliance Power IPO refund would be around Rs 95,000 crores to Rs.1,00,000 crores. (In the year 2007, only $16 billion (Rs 64000 crore) were pumped in by FII's and it raised the market sentiments).
• Huge Insurance Money collection is typically done in March and part of this should be pumped into the stock market



Current Negatives


• RBI keeps all key policy rates intact
• Retail investors and HNIs have burnt their fingers in the 28% market correction in just 2 days and there has been a lot of capital erosion.
• Brokers have been very stringent on payment terms to all the investor.


Msg By Mr Sandip J AVR

RBI

The RBI's no change policy yesterday has seen a spill over effect today and so the market is looking weak. Nifty has strong resistance at 5400 where it witnesses selling pressure. Sensex has strong support at 17650 and Nifty at 5150. The US Fed rate cut tonight may see a rally tomorrow and take Nifty to 5350 or 5400. There is a lot of money waiting in the sidelines waiting to see a clearer directional call from the market..

Msg By Mr Ravi S

Trading Calls 30.01.2008

Buy Thermax at 669 T1 678 T2 685 SL 665

Sell HDFC Bank below 1526 T1 1506 T2 1494 SL 1555