Corporate News

Gemini Communication spurts

The company made this announcement during trading hours today, 26 December 2007.

Meanwhile, BSE Sensex was up 199.55 points or 1.01% to 20,053.67.

On BSE 2.23 lakh shares were traded in the counter. The stock had an average daily volume of 1.74 lakh shares in the past one quarter.

The stock hit a high of Rs 240 and a low of Rs 207.45 so far during the day. The stock hit a 52-week high of Rs 274.95 on 13 September 2007 and a 52-week low of Rs 163.78 on 17 May 2007.

The small-cap scrip had underperformed the market over the past one month till 24 December 2007, gaining 1.97% as compared to the Sensex’s return of 5.31%. It had also underperformed the market in the past one quarter, declining 5.78% as compared to the Sensex’s rise of 17.48%.

The company’s current equity is Rs 9.67. Face value per share is Rs 5.

The current price of Rs 238.45 discounts Q2 September 2007 annualized EPS of Rs 14.42 PE multiple of 16.54.

Midas Communication Technologies (Midas) bid the enhanced digital wireless access system (EDWAS) tender from BSNL for planning, design, supply, installation & commissioning of broadband internet access based on digital enhanced cordless telecommunications (DECT) technology.

The project will be executed in phases, with the 1st phase of the order to the tune of Rs 50 crore to be implemented in Tamil Nadu.Midas has outsourced the implementation of EDWAS project on a turnkey basis to Gemini Communication (GCL).

According to a memorandum of understanding (MoU), the technology developed by Midas has to be implemented and deployed by Gemini within 150 days.

GCL’s net profit rose 219.7% to Rs 6.97 crore on 52.3% growth in net sales to Rs 49.33 crore in Q2 September 2007 over Q2 September 2007.

GCL is a service provider and a carrier for high-speed broadband access networks

Todays Stock Watch List

Bajaj Auto
Idea
Apil
Rcom

Nifty News 26.12.2006

On 20th. I mentioned that a rally to 5920 - 5950 looks imminent. The same was achieved on Monday. We need a close above 6010 to confirm that we are headed for greater heights.

Support on the downside is @ 5920 - 5840 & 5770 levels. Resistance @ 6010 - 6050 - 6090 levels.

Future expiry tomorrow , expect bouts of selling and buying. Expect Stock based action .

Ideally a corrective decline to 5700 levels and then an upmove would confirm to a health chart pattern.

Not for the faintheaded the coming day/days. Avoid if you do not have the stomach to see wild swings.

US Market

Wall Street advanced sharply on Monday, boosted by news that Merrill Lynch & Co will receive an investment of up to $6.2 billion from two investment groups. The Dow Jones industrial average rose nearly 100 points.

Trading volume was light in an abbreviated session — a typical occurrence a day ahead of Christmas. Still, with only four trading days left in 2007 besides Monday, investors were perhaps looking for any opportunity to tidy up their positions after a year that brought the return of volatility after several years of unusual calm.

Merrill Lynch provided the only significant news of the day. The investment firm said it was receiving a widely expected cash infusion from Singapore's government-controlled investment fund, Temasek Holdings, and US-based money manager Davis Selected Advisors. The proceeds were expected to cushion Merrill's mortgage-related writedowns for the fourth quarter.

The nation's largest brokerage also said it would sell most of its commercial finance unit to GE Capital. Terms of the deal weren't made public.

"The market is tacking on strong gains from Friday, a last-minute Santa Claus rally," said Peter Cardillo, chief market economist at New York-based brokerage house Avalon Partners. "The Merrill Lynch investment adds to stability in the market. I look at it as a vote of confidence on the part of foreign investors."

Monday's gains have some investors hoping for a year-end surge that often extends into the new year and can burnish portfolios. On Friday, the Dow rose more than 200 points and, along with the other major indexes, posted a gain of more than 1.5 per cent for the session.

The Dow rose 98.68, or 0.73 per cent, to 13,549.33.

Broader market indexes also advanced. The Standard & Poor's 500 index added 11.99, or 0.81 per cent, to 1,496.45; and the Nasdaq composite index rose 21.51, or 0.80 per cent, to 2,713.50.

Bond prices fell. The yield on the benchmark 10-year Treasury note, which moves opposite its price, rose to 4.21 per cent from 4.17 per cent late Friday. The dollar was mixed against other major currencies, while gold prices rose.

Light, sweet crude rose 82 cents to $94.13 on the New York Mercantile Exchange.

Merrill Lynch fell $1.64, or 3 percent, to $53.90 after selling a stake in itself to strengthen its balance sheet. It joins a number of other global banks — including Citigroup Inc, UBS AG, and Morgan Stanley to secure a capital infusion to diffuse losses from the credit crisis.

The nation's largest brokerage also sold most of its commercial finance unit to GE Capital. Merrill Lynch Chief Executive John Thain, who took over the position last month, has said he plans to use asset sales to help streamline the company.

Advancing issues led decliners by a 3-to-1 basis on the New York Stock Exchange, where consolidated volume came to a light 1.21 billion.

The Russell 2000 index of smaller companies rose 8.79, or 1.12 percent, to 794.39.

Overseas, stock markets in Japan were closed. Britain's FTSE 100 rose 0.70 percent, Germany's DAX index rose 1.70 per cent, and France's CAC-40 rose 0.21 per cent.

Sensex Chart

Sensex : Exactly at close in resistance zone.. . One of the possibility may be downward zigzag B corrective over if correct at this level or may be from 20175..and C start if break 19700 and close below it… OR.. If close above 20175 may be 5th of 2nd over as we draw in Sunday Sensex wave count chart and Sensex may go up ..up to 5th of 3rd target 23180..!!.. Lets see what’s happen in coming days.. Everything is clear within next week..
(Note : Check this count as reference only, act only after given breakout.. )

Recall of Intraday Calls

Buy CMC on declines or buy around 1195 T1 1225 T2 1275 SL 1170
Achived all the Tgts High of The Day ( HOD) 1420

Buy Omaxe abv 544 T1 554 T2 562. SL 541
Achived all the Tgts High of The Day ( HOD)569.90

Buy GAIL @ 500 T1 515 T2 525 Sl 490
Achived all the Tgts High of The Day ( HOD) 529

The Week Ahead.

We should rally to 5870 - 5900 levels and in all probability expect heavy profit booking .

The Chart pattern confirms negative divergence on the Nifty, though the indicators do not confirm a Intermediate sell mode.

We need a close above 6010 on the Nifty or any day to confirm bullishness .

We need a close below 5600 this weekend to confirm the bearish target of 5250 - 5300.

We are closed tomorrow and settlement on thursday. Volatility to be at its peak.

Trade the levels and in small lots if you must.