morning thoughts...
The markets remained in a tight range throughout the day and saw good movement in individual stocks.
Technically the markets rest on an important belt and a reaction is not ruled out , the markets cannot continue in the range for long and markets can see a rally upto 8800 with supports at 8650 levels.
However one must be cautious with support levels on the downsides.
The latest one to set off alarm bells is International Monetary Fund (IMF). Apart from the global risks such as US raising interest rates and currency volatility, the markets are quite vulnerable to rising risks with regards to the health of India Inc. The picture is far from comfortable, be it the profitability or quality of balance sheet of India Inc. Infact, Indian firms, as per IMF are the most leveraged among emerging market peers.
As per an article in Livemint, money losing firms account for 20% of total borrowings. A significant share of loans of banks has gone to the companies that are highly leveraged. While the new GDP target seems too good to be true, the performance for the latest quarter suggests a worsening of financials for Indian companies. The fact that more than 20% of debt financing for India is from foreign sources can further lead to a vicious cycle of slowdown in case there is an external shock.Hence, investors would do well by being selective in their investments and betting on companies that are in a sweet spot, at the same time robust enough to be resilient in case the fears come true.
Coming to commodity markets bullions and base metals to remain strong whereas energy will see selling pressure at higher levels.
www.astroeyes.blogspot.in
Yesterday's calls sent
Double bumper Jspl 190 ca - buy at cmp 6 sl 4.50 targets 11 - went 13
Fii Rajesh exports - buy at cmp 193.30 sl 188 targets 210 - went 209.50
Zee tv - buy at cmp 344 sl 341 targets 350 - went 357
Bank nifty - buy at cmp 18820 sl 18775 targets 19000 - went 19040
Sslt 200 pa - buy at cmp 10.50 sl 9 targets 14 - went 15.60
Bharti airtel - buy at cmp 395 sl 393 targets 402 - hit sl
Yes bank - sell at cmp 805 sl 809 targets 790 - hit sl
The markets remained in a tight range throughout the day and saw good movement in individual stocks.
Technically the markets rest on an important belt and a reaction is not ruled out , the markets cannot continue in the range for long and markets can see a rally upto 8800 with supports at 8650 levels.
However one must be cautious with support levels on the downsides.
The latest one to set off alarm bells is International Monetary Fund (IMF). Apart from the global risks such as US raising interest rates and currency volatility, the markets are quite vulnerable to rising risks with regards to the health of India Inc. The picture is far from comfortable, be it the profitability or quality of balance sheet of India Inc. Infact, Indian firms, as per IMF are the most leveraged among emerging market peers.
As per an article in Livemint, money losing firms account for 20% of total borrowings. A significant share of loans of banks has gone to the companies that are highly leveraged. While the new GDP target seems too good to be true, the performance for the latest quarter suggests a worsening of financials for Indian companies. The fact that more than 20% of debt financing for India is from foreign sources can further lead to a vicious cycle of slowdown in case there is an external shock.Hence, investors would do well by being selective in their investments and betting on companies that are in a sweet spot, at the same time robust enough to be resilient in case the fears come true.
Coming to commodity markets bullions and base metals to remain strong whereas energy will see selling pressure at higher levels.
www.astroeyes.blogspot.in
Yesterday's calls sent
Double bumper Jspl 190 ca - buy at cmp 6 sl 4.50 targets 11 - went 13
Fii Rajesh exports - buy at cmp 193.30 sl 188 targets 210 - went 209.50
Zee tv - buy at cmp 344 sl 341 targets 350 - went 357
Bank nifty - buy at cmp 18820 sl 18775 targets 19000 - went 19040
Sslt 200 pa - buy at cmp 10.50 sl 9 targets 14 - went 15.60
Bharti airtel - buy at cmp 395 sl 393 targets 402 - hit sl
Yes bank - sell at cmp 805 sl 809 targets 790 - hit sl
