Pre-Market Report: 13.08.2009

[B. Karthick]

Bulls to return to the drivers seat, Stocks set to gain in early trade

Stocks on Dalal Street are set to roar after being mum for more than a
week.We expect some buying to come in on the opening bell and there
might be some short covering, that could boost the indices. Expect the
benchmark index or the Sensex to gain nearly 300 points or 2 percent
for the day.

Stocks bounded higher Wednesday after the Federal Reserve Bank ended a
two-day meeting by saying the economy appears to be "leveling out"
rather than shrinking at a slower rate. The Dow rose 120.16, or 1.3
percent, to 9,361.61. The Standard & Poor's 500 index rose 11.46, or
1.2 percent, to 1,005.81, while the Nasdaq composite index gained
28.99, or 1.5 percent, to 1,998.72.

Realty and Healthcare stocks dominated the day with decent gains,
where as metals and IT were on the receiving end. Realty stocks like
DLF moved against the tide helped by DLF and Unitech. Banking stocks
were flat to negative, but today might there is a string chance that
these stocks will be one of the major gainers in today's trade.

As recommended Natco Pharma vaulted and was locked in circuit on huge
volumes,we see some speculative buying and there might something
cooking in the counter. There was some insider buying in the beginning
of the year in this counter. Agri commodity related stock spiked up as
traders placed bets that the prices of food product might spike due to
drought conditions. LT Overseas, KCP Sugars, Kohinoor Foods, Heritage
Foods and Ruchi Soya were some of the gainers in this space.

Prism Cement continued to gain and has some more room to move even
after a decent run up. We recommend booking profits in Sugar stocks on
an up move , as the rise has been too far and too fast.Also book
partial profits in Hind Oil Exploration as the stocks has skyrocketed
in the past few sessions.Karuturi Global, ICSA,Webel SL enery are some
of the stocks to watch in today's trade.

"USE EVERY RISE TO BOOK PROFITS"
"ALWAYS KEEP STRICT STOPLOSS TO AVOID HUGE LOSS"

Key Levels for Today Trade:

NIFTY INDEX Resistance : 4481 / 4502 / 4524 / 4564 / 4585
NIFTY INDEX Support : 4437 / 4398 / 4374 / 4340
Mean : 4459

Key Numbers for NIFTY on upside 4502 / 4564
Key numbers for NIFTY on down side 4437 / 4398

BANK NIFTY INDEX Resistance: 7273 / 7369
BANK NIFTY INDEX Support : 7085 / 6991
Mean :7179

Previous Close Box:

BSE Sensex 15020.16 -54.43
NSE Nifty 4457.50 -13.85
USD Rs.48.35
Oil Nymex $70.10