Market report

Today market open with positive note and manged to stay above level of 5350 but ended with flat noted. European market opened flat today and go higher level. I think market is consolidating in range between 5300 to 5600 and wait for cue form budget coming to 12 march as budget session start.
   ONGC is on stock of today opened at 295 and traded higher for day. there is news that divestment issue is finalized and base price fixed at 290 . Stock was 280 level yesterdays close and todays open was due to this news flows in stock.

BHEL

Bharat heavy Electrical corrected yesterday from 325 to 290 price level  but it bounce back from level of 290 to again 309 level and closed 208 odd level. this level is support after  stock split and now trading on that. future prediction is that this stock will manage to go above this level and have target of 335 and above this level in coming days. There is FPO announcement is one trigger for this stock. FPO is expected in next fiscal year likely. upto that this stock will rally. we are waiting for target of 335 now.

HDFC block deal

On 24 February second block deal in HDFC. Citi group exit from HDFC and sell stake. beyond details. We talking about Stock price.
 Last block deal was Carlyl finance exit from HDFC that time stack slip from 700 to 680 level. and recovered from this level to again level of 700 and above. This time on day of deal this stock slipped to 670 level. Now in future what will be the price movement of stock. I think this will recover again to 700 level. With market out performance this stock is neutral. But other thing is this not under performer in bad market . there is lowest level of 600 for stock and 52 week high of 734 this is run and stock aways try defensive. So I don't think much lower side on this counter.

NIFTY: RESISTANCE BREAK ?

today nse index had show breakout movement at resistance at 5200 Data shows

• 25 oct 2011 high 5211 volume 221,084,588 after that market again went to lower level
• 27Jan 2012 level 5217 volume 215,923,377 market lost more than 100 point  on 31 Jan2012 

now look in both cases volume is 221,084,588 and 215,923,377there is not more than 10% gap 

• now today on 01feb2012  closing at 5235 and volume is 552,000,000 some what near this 

  look at this 221,084,588*0.1 = 22108458

• this is 10 % of volume that shows resistance 
• this seem

221,084,588 +22108458 =  243,193,046


volume greater than 243,193,046 and closing above 5230 is technically break out of resistance 


now what happen tomorrow is gap up is confirmation of break 
because remember last time this level was broken  very panicky with gap down opening during US debt crisis talk 


technically this look like break of resistance 


but last time also this level breached by gap up opening 


we will see tomorrow what will happen 


If this is break or not?

ITC STOCK

ITC is stock from FMCG counter i.e. Fast Moving Capital Goods space
It having two businesses

• older and base is tobacco business major revenue come from this one thats why ITC is taken into consideration as cigarette company

• second is FMCG food soap creams ,Hotel business,Paper business all this are secondary because since today all FMCG business have losses that loss is overlapped by profit in tobacco with high volume 

tax structure on tobacco business is major concern for tobacco and cigarette business of ITC
this is reason why ITC stock reacting on BUDGET and tax policies

• upto BUDGET it have no any thing to push up from lower levels
• but when market is improving in that sense of recovery will happen in this stock
• this stock is major on stock exchange
• this is fifth by market capital on exchange now a days
• this company having govt investment in it through UUTI government scheme
• this co have no owner as specific having holding in it