18-12-13 MARKET:

MARKET TREND

AHEAD OF RBI MID REVIEW TRADERS HAVE BECOME CAUTIOUS.  AS A RESULT OF CONTINUES FALL, MARKET WAS FORCED TO COVER UP THEIR POSITIONS TO TAKE NEUTRAL STAND, IN RESULT MARKET BREADTH HAS BEEN INCREASED IRRESPECTIVE OF NEGATIVE CLOSING.  FIIs ARE SELL SIDE IN DERIVATIVE SEGMENT AND PLUS IN EQUITY SEGMENT.  SINCE VALUE BUYING IS STILL IN CARDS, DERIVATIVES RANGE (6000-6300) WAS NOT DISTURBED. 

EVEN THOUGH MOST OF OUR BANKERS AND BROKERS ARE EXPECTING INTEREST INCREASE, RBI MAY BE CAUTIOUS IN THEIR ACTION (INT INCREASE) TO SAFE GUARD INDUSTRIAL GROWTH AND BOND YIELD, WHICH IS IMPORTANT TO MAINTAIN CONSISTENCY. ALSO NOW DAYS, RBI STARTED ARGUE WITH FIN. DEPT. AS INT. RATE TOOL MAY NOT BE MUCH USEFUL TO CURTAIN WPI/RATAIL INFLATION. THEY BELIEVE, INFLATION CAN BE CONTROL ONLY WITH PUBLIC DISTRIBUTION SYSTEM AND MANAGING SUPPLY/DEMAND OF GOODS.

TODAY MARKET MAY OPEN FLAT AND WAIT FOR TRIGGERS FROM RBI NEWS AND MOVEMENT OF EUROPE MARKETS, OUR MARKET MAY TRADE IN RANGE BOUND. 5980/5960 LIKELY TO BE SUPPORT AREA.

NIFTY SPOT LEVELS:
Pivot: 6154
Resistance: 6175/6212/6233
Support: 6115/6096/6060

NIFTY FnO BAN: NIL

STOCKS FOR DAY:
OBC EQ: BUY > 208 TRG 212 SL 203
TVSMOTORS EQ: BUY > 56 TG 57.50 SL 54.50