India Morning Report: Nifty treads lightly as shorts disappear (Priced to 6300+ levels )

English: The West stand of the Tata Steel Stadium.

English: The West stand of the Tata Steel Stadium. (Photo credit: Wikipedia)

Monday saw 6100 losing the pins as markets drew interest from investors on good Reliance results. TCS follows. IT and Pharma  outperforming expectations similarily throughout will probably see that elusive 6400 mark to set a new Nifty record it at least seems improbably probable.  Short hedges should move up to 6600 and 68-6900 levels this week or next.  The 6300 call continues to see increasing prospects of a devolving positions as the short trade exits the market. Tata Motors, Tata Steel and Idea may remain strong except for funding trades to enter short profit positions in results calendar Private Banks remain dull as the higher interest regime and larger account restructuring news and its containment are both seen as  insufficient and unresolved.

As i write, Indusind is reporting a 37% jump in NII., largely from retail yields as NPAs were contained with market borrowings helped the profits. The cost of deposits if an issue is also likely to nettle the smaller candidates as th month’s bank policy confirms continue the higher interest rate regime.

The 6200 market will likely be reached except for a sharp negative news trend with less than 4-5% probability and will continue with IT and Pharma keeping “beat expectations” premium and Metals incl Hindalco and Tata Steel or the M&M picks counting for more buying and thus volumes of trade as the scrips also need  boost in liquidity. IDFC and YES, or Bharti, ITC and Bajaj Auto will spring any consolidated market moves. ICICI Bank is finally consolidating to positive marks and Bank Nifty may se a change of the flatlined visage before the end of the week but still unlikely.

10 year yields have hit the 8.65% level but this might just be an aberration as new securities get hocked on Friday with the 10 year adding INR 70 Bln

 

Advertisements

9 thoughts on “India Morning Report: Nifty treads lightly as shorts disappear (Priced to 6300+ levels )

  1. Pingback: India Morning Report: Another “Happy Thursday!” for the markets | The India Investment Post (earlier india.advantages.us)

  2. Pingback: The India Investment Post (earlier india.advantages.us)

  3. Pingback: India Morning Report: Markets consolidate to new 6350 range/top | The India Investment Post (earlier india.advantages.us)

  4. Pingback: India Morning Report: Pass around the peanuts :: Losing 6200 now(not really), I am sinking, No EMs aren’t a great buy or great “SELL” either | The India Investment Post (earlier india.advantages.us)

  5. Pingback: India Morning Report: Everything is alive and some more are back in play | The India Investment Post (earlier india.advantages.us)

  6. Pingback: India Morning Report: State Bank and Maruti not the best indicators for India Inc | The India Investment Post (earlier india.advantages.us)

  7. Pingback: India Morning Report: Record low PCRs mean a bottom at 6000 | The India Investment Post (earlier india.advantages.us)

  8. Pingback: India Morning Report: Nifty witches up range to 6100-6300, Is 6200 on the horizon | The India Investment Post (earlier india.advantages.us)

  9. Pingback: India Morning Report: Icky Spider on the Wall, why is this the fairest of all? | The India Investment Post (earlier india.advantages.us)

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s