S&P 500 and Dow at record high, Australian stocks on 5 years' high.Nifty may open above 6100.

Can Indian markets will digest the gap up opening ? 
Nifty will pass over its important resistance level of 5990 with no respect. But the question is about to sustain and to enter into new zone above 6338. Now, eyes of the investors will be on RBI policy which will be announced tomorrow, first time by our new Governor.

The Federal Reserve on Wednesday stuck to its massive bond-buying strategy, citing softer U.S. growth in a move that stunned financial markets. By a 9-to-1 vote, the Fed chose to keep buying $85 billion a month in debt and said it would wait for more evidence of economic progress.The bank cited rising mortgage rates and reduced federal spending as headwinds that “could slow the pace of improvement in the economy.” In a press conference, Fed Chairman Ben Bernanke said the bank might still scale back its purchases before the end of the year, but it will depend on whether growth and the pace of hiring show greater strength.

“We could begin later this year, but even if we do that, the subsequent steps will be dependent on continued progress in the economy,” Bernanke said. “So we are tied to the data. We don’t have a fixed calendar schedule.”

Bernanke also reiterated that the Fed has no plans to raise short-term interest rates any time soon. The vast majority of bank policymakers don’t expect rates to rise until 2015 at the earliest, and even then, they probably won’t top 2% until at least three years from now.

Market seems exhausted.Nifty failed to close above 5900 mark.

13 Sept. 2013,

Market looks exhausted after a gap-up opening on the first session of the week. Today, Sensex closed at 19732.76, negative by 49.12 points. Nifty closed almost flat at 5850.6 with a 0.1 points of loss. 
Among NSE sectoral indices, CNX Realty gained the most by 2.82% and CNX FMCG was the top loser by 1.14%.
In Nifty50 stocks, BHEL gained the most by 5.97% to close at 142.95 whereas HCL Tech was the top loser by 2.64% which closed at 1046.
JPAssociat was the turnover topper by traded quantity and Axisbank by the traded value.

Nifty Outlook :

Nifty bounded in between 5810 and 5930 levels. It's interesting to see Nifty above its resistance level of 5990. Volatility persists as Fed announcement in coming week.
Important Support : 5725
Important Resistance : 5990

Biggest rise in Sensex since May, 2009, Hit 20000 mark.

Depreciating US $ against INR changed the sentiment and  cherished as

Trade deficit in August dropped to USD 10.91 billion from USD 12.27 billion in previous month; imports declined to USD 37.05 billion from USD 38.10 billion while exports increased to USD 26.14 billion from USD 25.83 billion during the same period.

Sensex hit 20k mark 1st time after 25th July, 2013. Jumped 727.04 points to close at 19997.1. Broad based Nifty50 closed at 5896.75 with a whopping 216.35 points' gain in a single day. All 18 NSE Sectoral indices closed into positive. CNX Auto gained the most by 5.98%. In Nifty50 stocks, Tatamotors gained the most by 9.82% and closed at 349 whereas NMDC was the top loser by 2.27%, closed at 118.4.

JPAssociat was the turnover topper by the traded quantity and Infy by the traded value. 

Advance/Decline ratio was positive 3.25 : 1 as 683 stocks gained and 210 declined today on NSE.

Highest single day gain for Sensex :

Date	Points
18-May-09	2,110.79 points
25-Jan-08	1,139.92 points
25-Mar-08	928 points
14-Nov-07	893.58 points
23-Oct-07	878.85 points
23-Jan-08	864.13 points
23-Jul-08	838.08 points
31-Oct-08	743.55 points
4-May-09	731 points
10-Sep-13	727.04 points

Nifty Outlook :

Nifty has crossed its resistance of 5810 and closed 86 points above. Now, Nifty should test further resistance of 5990. Crossing 5990 and sustaining above the level will allow to speak about new North-side levels.

Immediate Support : 5810

Immediate Resistance : 5990

Nifty closed at 6 week high. US$ slipped to 65.

Correction in US$ against INR and decisions by Mr.Governor convinced investors to hold the integrity with the Indian economy. 

Today, Nifty rallied 87.45 points to close at 5680.40 . Nifty gained almost 361 points or 3.81% in a week Sensex gained 290.3 points and closed at 19270.06. US$ slipped to 65 from it's high of 68.6.

Among NSE Sectoral Indices, CNX Infra gained the most by 3.06% whereas CNX Media was top loser by 0.69%.

In Nifty50 stocks, ICICI bank was the top gainer by 7.64% and closed at 962. Bankbaroda sheded the most by 2.7% and closed at 489. JPAssociat was the turnover topper by the quantity traded and ICICI Bank by the traded value.

Nifty Outlook :

As published earlier, Nifty took support around 5330 and bounced back from 5318. Now today, Nifty has crossed its major resistance level of 5600. Now next resistance will be at around 5800 level.

Immediate Support : 5610

Immediate Resistance : 5770

FDI in Pension Fund

You may finally be able to take the help of a foreign pension fund manager to secure your retirement.

It's Features :

 1]   The Pension Fund Regulatory and Development Authority Bill 2011 will give statutory powers Pension Fund Regulatory and Development Authority (PFRDA) which was established in August 2003 as a regulator for the pension sector.

 2]   The passage of the bill could see pure pension products coming into the market. At present most of the pure pension products available in the market are linked with insurance coverage.

 3]   The Pension Fund Regulatory and Development Authority Bill 2011 seeks to promote the pension sector by establishing a regulator as India does not have a universal social security system.

 4]   The Cabinet had approved 26 per cent foreign direct investment (FDI) in pension funds but the FDI cap was not mentioned in the original bill.

 5]   In 2005, the government had earlier introduced a pension bill but it lapsed as the Lok Sabha's term got over before the legislation could be passed.

 6]   The Pension Fund Regulatory and Development Authority Bill 2011 was reintroduced in the Lok Sabha in 2011 by the then finance minister Pranab Mukherjee and it was subsequently referred to a standing committee.

 7]   PFRDA's National Pension System (NPS) was made mandatory for all new government recruits, except armed forces, joining after January 1, 2004.

 8]   The NPS was later opened up to all Indian citizens from 2009 on a voluntary basis.

 9]   The NPS allows its subscribers to invest in stock markets but there is a cap on equity investment. The NPS also offers subscribers the option of selecting the fund managers of their choice.

 10]   The pension bill could help channelize funds into building long-term assets for the country, including the infrastructure sector. The government wants to ease rules for insurance and pension sectors to allow them to invest in infrastructure, where it is seeking $1 trillion investment till 2017.

Many experts believe that the entry of foreign funds would offer customers more choices and better service standards. The entry of foreign players will result in better technology, larger bouquet of products and better practices, which will translate into better returns.

Allowing FDI in this sector is expected to attract international players. This will drive greater competition, bring in global best practices as well as product and process innovation.

What the pension reforms will do is attract more money and help the companies sustain their businesses over a long period of time, which is key for the sector. However, whether or not the reforms will improve service standards will depend on how well the regulator keeps tabs on malpractices and the quality of services provided by the pension funds.

 

D-laal street : Bloodbath on the Indian bourses, Biggest fall after 7th July 2009

Market opened with a gap down on fear that the roll-back of US stimulus could spark selling pressure by the overseas investors in the equity space. After the Reserve Bank of India's moves to tighten capital outflows and curb gold imports spooked foreign investors and USD/INR hit an all time high of 62, Indian equity markets plunged more than 4%. Nifty nose down by 234.45 points and ended at 5507.85 after making a day low of 5496.05 whereas Sensex collapsed by 769.41 points to close at 18598.18; investors lost Rs two hundred twenty thousand crores. The Reserve Bank of India (RBI) announced certain measures late on Wednesday to restrict how much its citizens and companies can invest abroad. This raised fears of outright capital controls that would further undermine the confidence of foreign investors.

All the Sectoral Indices on the National Stock Exchange closed into red. CNX Realty was the top loser by 6.66% followed by BankNifty(5.74%), CNX Metal(5.47%), CNX PSU Bank(5.38%) and CNX Finance(5.27%) which closed down more than 5%.
In Nifty50 stocks, just three stocks closed positively. Heromotoco was the real hero which hit a new week high at 2004.3. It gained 2.17% and ended at 1978.
JPAssociat was the turnover topper by the traded quantity and ICICIBank was by the traded value on NSE today.
Four stocks hit 52 weeks' low viz.BHEL, LT, PNB & SBIN.
Advance/Decline ratio was 5.25 : 1 as 997 stocks declined and 190 gained today on NSE.

Downside continued for the 8th day consecutively

2nd August, 2013 Investors lost the confidence after Goldman sach's underweight marking on Indian stocks and resulted into bearishness. Nifty ended at 5678.45 with a downfall of 49.4 points whereas Sensex ended negatively with 153.75 points at 19163.44. Nifty closed at a month low, the tested level first time after 26th June. 
INR was trading around 61 which is an all time low and a headache for the economy.
State-run banks continued recent falls on asset quality concern, while Bank of America-Merrill Lynch downgraded public sector lenders Bank of Baroda and Union Bank of India on worries about market-to-market losses on their bond portfolios.
Goldman Sachs downgraded Indian stocks to underweight in a note released Wednesday, saying it sees an increasing risk of a potential reversal of the foreign fund flows into equities seen over the past few years. "Recent activity data has been sluggish with no signs of a pick up in investment demand," Goldman analysts wrote in the report, adding they were looking for clearer growth signs to turn constructive.
Among NSE's sectoral indices, CNX Realty plunged the most by 4.06% folled by CNX Metal, PSU Bank, PSE which fell more than 2%. CNX IT and CNX Media was the only gainers and the IT rose the most by 1.04%.
In Nifty50 stocks, Ranbaxy gained the most by 4.06% and ended at 273 whereas Powergrid was the top loser by 11.52% as the company declared that they would sell shares to raise funds.The stock ended at 91.

Nifty Outlook :

Nifty has broken the crucial support of 5830 and entered into a bearish territory for a short period but a pullback will be expected up to 5840-5870 levels. Upholding the 5950-5970 levels will again reverse the trend with a habitual volatility.
Immediate Support : 5610 / 5560
Immediate Resistance : 5720 / 5830.

Nifty managed to close above 6000 mark and Sensex above 20000.

Today, lackluster market managed to close above the magic figures of their indices 6000 and 20000 for Nifty and Sensex respectively for the consecutive week. Nifty ended at 6022.8 after losing 15.25 points and Sensex ended at 20133.13 with a marginal gain of 4.72 points. Among NSE Sectoral Indices, CNX IT was the major gainer by 2.61% and CNX Realty was the top loser by 2.05%.
In Nifty50 stocks, TCS gained the most by 5.03% and ended at 1744 whereas BHEL was the top loser by 8.97% which ended at 172.5.
Advance / Decline ratio was negative as 737 stocks declined and 434 stocks gained today on NSE whereas 116 stocks remain unchanged.


Nifty Outlook :

Nifty managed to close above 6000 to hold bullishness and which is a good sign. Smart recovery from 5910 level has boosted the confidence of the bulls which may convince for a new high in recent months.

Immediate Support : 5960 / 5880
Immediate Resistance : 6140 / 6230

IT boosted the market, changed the sentiment. Nifty above 6000 mark after 30th May

A Murthy Miracle stimulated the sentiment of IT today.
Infy Q2 results has beaten the analysts' expectations and it has reflected into its' stock price with a jump of 11% at the closing. Nifty ended above 6000 mark first time after 30th May,2013 with a gain of 82.60 points and Sensex jumped to 19979.45 with a rise of 303.39 points'. Among NSE Sectoral indices, CNX IT has played an imperative role by gaining the most by 6.62%. CNX Realty was the top loser by a 0.54% drop.
In Nifty50 stocks, Infy was the top gainer by 10.92% which ended at 2804.45 whereas JPAssociat was the top loser by 3.23%, ended at 52.45. Unitech was the most active by the traded quantity and Infy by the traded value on NSE today. Advance/Decline ratio was negative as 492 stocks declined and 396 stocks gained today on NSE.


Nifty Outlook : 

As clearly mentioned in 28 June blog,  Nifty has taken support at 5770(bounced back from 5775.55) and marched with a upward trend thereafter. On the charts, weekly as well as daily, Nifty is in a bullish trend unless and until it breaks and sustains below 5840 level. Corporate results may influence the specific sectors and the sentiments indirectly in coming weeks. Rupee Riddle also affects the market possessively in coming days.

Support : 5960 / 5880
Resistance : 6140 / 6230

Biggest single session rally of 2013, convinced investors

Sensex jumped 486.24 points and ended at 19362.19 while broadbased Nifty rallied whopping 146.45 points' and ended at 5828.8. This is the biggest single day rally in 2013 for Indian equity market. The Sensex regained the psychological 19k mark while the Nifty reclaimed to sustain above 5800 level. Optimism that Fed will not rush to rein in its stimulus measures fuelled a rally in global markets especially Asian bourses. Sentiment was also boosted as the INR gained on Friday, further retreating from a record low hit on Wednesday. The Govt.'s push to raise gas prices heaved prospects for more fiscal and economic  even though shares in energy companies closed off the day's high.
All the sectoral indices on NSE gained toaday. CNX Metal gained the most by 4.3% followed by CNX Infra(3.99%), CNX PSE(3.9%), CNX Energy(3.76%), CNX Finance(3.65%), CNX Realty(3.58%), CNX BankNifty(3.4%), CNX Commodities(3.16%) and CNX Auto(3.06%) which gained more than 3% today.
In Nifty50 stocks, just 3 stocks ended into red territory. Jindalstel was the top gainer by 7.4% and HCLTech was the top loser by 2.81%.

Nifty Outlook : 

First three days of the week, spot Nifty broke the short term bullish trend and closed below that. It indicates the weakness on the shorter term subject to trade below 5860-5870 levels. So, triggering 5870 level, the short term bears could be trapped as volumes in Nifty Fut rose about 32.66% to the last week on weekly chart.

Immediate Support (For Jul Fut) : 5810 / 5770
Immediate Resistance : 5877 / 5965