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Dear Friends,
Nifty is showing classical range bound movement in last few weeks. It would be fair to conclude that no upmove would be confirmed unless Nifty breaks 5055 and 5163 on upside. One should observe how the momentum indicators react if the Nifty reaches the above mentioned level. We have lots of event lined up for the week ahead. Some of them are, AGM of Reliance Industries Limited and the start of the winter session of parliament. Incidentally both the events are scheduled on 17th of November. Even after the positive IIP data markets are unable to see a sustainable up trend. I strongly believe that the stage is set for select stocks to perform. Companies that have diluted their equity base to raise resources will not be awarded the same valuation ratio awarded to non-dilutive stocks. It seems that when the ducks quack you keep feeding them believing that the duck was quacking like a bull. Sooner or later the markets will have to face consequences of the same.
MISQUOTED: - A listed company called Ksera sera productions has announced a vast investment plan on the online space. The company has invested 15 crs in an online website klogtalent. The company plans to invest a sum of 20 crs further in the venture. It seems strange why a media company wants to invest in an online Job portal. When one investigates further it comes to notice that a bse listed company called cat technologies with 15% promoter shareholding has sold its online employment portal with 1,80,000 registrations to the above mentioned company. I strongly believe that there is something amiss in the financial results reported by both the companies. One should see the actual amount of cash flows in the same. The market cap of Cat technology shooted from less then 50 millions to more then 500 millions in last 52 weeks. Moreover a portal, which is valued at 35 crs, has a page hit of less then 500 per day. Something is really misquoted by the management. AVOID.
Watch for the winter session closely in Parliament. At the same time try and lock profits away from the markets. Watch 5111 on upside and 4910 on downside. Sbi has received 3 million applications for 11,000 clerical jobs. The company garnered 62 crore INR from the sale of application forms. Keep a sectoral watch on the IT and the AUTO space hereon.
NIFTY SUPPORT:- 4970,4910
Nifty resistance :-5055,5111
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TSR OCTOBER SERIES REPORT.
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TSR INTRA NIFTY
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TSR OPTIONS PLAN
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REFER
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