morning thoughts...
WE WISH YOU ALL A VERY HAPPY , AUSPICIOUS , SAFE DHANTERAS
GET SPECIAL 30 % DISCOUNT ON ALL PACKAGES TODAY
20 % TOMMORROW AND 10 % ONN DIWALI
www.astroeyes.blogspot.in ( package details , equity , commodity and astrology )
WE WISH YOU ALL A VERY HAPPY , AUSPICIOUS , SAFE DHANTERAS
GET SPECIAL 30 % DISCOUNT ON ALL PACKAGES TODAY
20 % TOMMORROW AND 10 % ONN DIWALI
www.astroeyes.blogspot.in ( package details , equity , commodity and astrology )
Well the astrological change
showed its effect and the markets opened up with a gap up , though gave lots of
oppurtunities in individual trades.
Technically now we are into
a festive week with f/o expiry ahead which will keep the markets volatile with
sudden spurts and profit booking.
On the lower side 7800
remains as good supporting zones and 8050 remains as resistance zones for the
markets.
The big ticket energy
reforms are here now. The diesel prices have been deregulated. And
much awaited gas price hike has been formalized. The move is likely to go a
long way in improving fiscal health and strengthening the energy sector. No
wonder the stock market has cheered the move with stocks in the energy sector
leading the gains.
However, not all players
will gain from the same. For example, upstream company like ONGC being a major
contributor to diesel subsidies and gas producer will benefit from both the
moves.
Until now, regulated pricing for diesel had kept competition from private players at bay.
Until now, regulated pricing for diesel had kept competition from private players at bay.
Subsidy politics' has been
the hallmark of the UPA government over the past decade. The fuel subsidy alone
cost the government and oil producers about Rs 4 trillion during this period,
according to oil ministry data, quoted by Livemint. Hence it is only natural
that curbing such humungous losses should be the top priority of a government
that wants to bring India's deficit under control. The government's
latest bold and politically sensitive move to decontrol diesel and raise gas
prices has therefore come as a relief to investors. The fall in international crude prices recently,
have certainly helped. But the reform move could make a meaningful difference
to India's budgetary deficit. The benefits and beneficiaries of this move will
be multifold. One, it will encourage private retailers to restart idle fuel
pumps. Meanwhile the PSU oil marketing companies will be able to cut down on
their losses. More importantly it will attract foreign investment in the energy sector and
help India achieve the much needed energy security. State control on fuel pricing has been the reason for
failing to attract MNCs like Exxon, Chevron and Royal Dutch Shell to India's
oil block auctions since 1999. Since oil exploration is technology and capital
intensive, investments by the MNCs could go a long way in securing India's
energy requirements. Currently BP Plc, Europe's second biggest oil company and
Cairn India are the only two MNCs having presence in India's exploration
sector.
After focusing on resolving
issues in the oil & gas space, the government is now seemingly looking at
doing the same in the power space;
another big ticket sector which has had negative consequences on the economy in
general and the banking sector in particular. The power sector has been marred
by a variety of problems, with the key ones being fuel supply concerns, payment
delays and execution issues.
Coming to the commodity markets we remain positive on
bullions whereas selling pressure is likely to continue in base metals and
energy
Yesterday’s calls sent
Gold Mcx – buy at cmp 27277 sl 27225 targets 28450 – booked profits
at 28421
Silver Mcx – buy at cmp 38390 sl 38300 targets 38750 – booked
profits at 38720
Copper Mcx – sell at cmp 409 sl 410.50 targets 405 – booked profits
at 406.50
Natural gas Mcx – sell at cmp 230 sl 231.50 targets 225 –
booked profits at 227
Double bumper Hpcl 500 ca – booked profits at 37 – long from
15
Double bumper Bpcl 700 ca – booked profits at 25 – long from
11
Jackpot Torrent power – buy at cmp 143 sl 137 targets 160 –
went 159.30
Hexaware – buy at cmp 173 sl 171 targets 180 – went 180.50
Jackpot Option Ongc 400 ca – booked profits at 25
– long from 7