Trading calls for 26Feb07

Nifty: 3938.95 -101.05 Points Sensex: 13632.53 -388.78 Points

FII Activity:

Cash Segment: 343.04 crores net buyers
Index Futures: -1547.34 crores net sellers
Stock futures: 17.16 crores net buyers
Advance Decline ratio: 100:934

Outlook for 26Feb07:

The correction is nearing its end. Don’t panic and sell stocks. The markets would recover either on Monday afternoon or Tuesday afternoon. The FIIs have started buying in cash. The cement stocks have been battered. Time to accumulate at lower levels. For Monday the Nifty should find support at 3910-3892-3835 and should find resistance at 3965-4000-4040.

Futures Trading Calls:

Buy CNX IT at lower levels with strict stoploss 5470.
Buy Nifty futures at lower levels with stoploss 3875.
Buy Ashok Leyland at lower levels with stoploss 40.90
Buy Grasim at lower levels with strict stoploss 2205.
Buy L&T at lower levels with stoploss 1562.
Buy Polaris at lower levels with stoploss 193.
Buy Reliance Energy at current levels with stoploss 499.
Sell BILT at current levels for intraday target of 110.00
Sell Maruthi below 850 for target 810.
Sell Parshvnath at current levels for intraday target of 277.
Sell Sun TV below 1556 for target 1480.

(Please ensure the mentioned stocks trade convincingly above/below the mentioned levels below entering into trade).

Cash Calls:

Buy cement and sugar stocks in small quantities at lower levels.

Pease note that if no prices are mentioned in brackets then there is no stop loss reqiured currently. Stop losses would be provided at appropiate levels. Keep checking the stoplosses. It is updated everyday.