Market Mantra: Uptrend like to gather steam

Market was dominated by the bull on Friday. A gap up opening was followed by sustained buying in stocks across the board. Opening of 5206 remained as low of the day. Nifty made an intra-day high of 5307 and settling at 5295 with a superb gain of 116 points on the table.
Once again the level of 5150-5200 provided strong support to Nifty. Strong bounce back from a low of 5135 to a high of 5307 within two trading sessions clearly shows path ahead. Today's trading pattern also confirms a strong bull action. Correction seems over and uptrend is very likely to get resumed. Long positions should be taken for a target of 5500-5600 keeping a stop of 5100. Nifty is now trading at 5317 and it should improve as the day ends, because there is as such very little negative news in the markets. 

Dish TV Ltd today reached the 2nd target of Rs.65 in the late afternoon trade. Those who are holding can book some profits in the counter. Also, IFCI Ltd touched Rs.42.75 in the morning trade. This is a massive company and I hope to see the stock price cross Rs.49-50 soon, as the RBI will have no option but to cut rates,  because keeping the interest rates at elevated levels is not helping anyone any more. The capex of the companies are getting stalled and there is already scarcity of the products leading to artificial demand pull. Look at the real estate market in Mumbai, where the prices of properties  have not come down, inspite of having a high interest rate regime for more than one and half years. Why? Because the high interest rate has  been passed on to the customers, effortlessly, adding to the inflation. Moreover, in absence of any viable investment option, except those old and boring bank FDs, all the money (Black/White/Red/Green......) is flowing into the real estate market, creating problems of housing for the common man. This is also creating unnecessary bubble like situations in the real estate markets all over India, especially in Metros like Mumbai, Kolkata, Hyderabad, etc. In order to stop this, the interest rates should come down.....Therefore, RBI has no option but to cut rates immediately, as one cannot run a modern and sophisticated economy with 1930s economic policies. Buy all the bank stocks and keep them holding--all will give huge returns going forward.  

Also, we need to remove the current backdated FM (and the blind Prime Minister) and almost all the office bearers of RBI, who have destroyed a growing economy gifted from the NDA!! The current FM interestingly talks and talks and talks of global economic crisis and "Coalition Dharma" while he fails to come up with policies that can stimulate growth. The questions is: who has asked him or his ministry not to come up with policies that can bring prosperity to Indians? Really Hilarious isn't it...??!! He should be given some comedy roles in a Bollywood flick, as he is not fit for the job. Does, the FM know that during (almost) last 4-5 years, the equities have given very little income, except may be some drops here and there......!! Does he want to kill the market participants? Can't we have a market friendly Finance Minister of this great country? These fools in the government want to bleed the gems like Coal India Ltd, Indian Railways, etc, tax companies retrospectively.......swindle money in the form of 2G spectrum........Keep high interest rates for years to help the companies like Reliance Industries Ltd (who has huge unused cash in the books) and pensioners (inflation control is just a lip service--the real intention is elsewhere).....What is going on in India,.....except preparing grounds for something like French Revolution!! If this goes on, then I would not be surprised if some of heads of the ruling regime are rolled under guillotine. We have already seen how that rogue, Mr.Sharad Pawer, tasted a slap on his face.....and Baba Ramdev (Ram Krishna Yadav)/Anna Hazare has shown what people can do, if their energies are synchronized to form a mass movement........!! This UPA government has only brought shame to India and Indians.The UPA government should resign and go for a fresh mandate!!

BTST given to the Paid Members today: 

(i) Buy Escorts Ltd at Rs.71.5-73, T--Rs.75-78, SL-Rs.70.5.

(ii) Buy Hindustan Oil Exploration Ltd at Rs.116-119, T-Rs.123-128, SL--Rs.114.
(ii) STBT (F & O): Sell Aurobindo Pharma_April at Rs.114.5-117, T-Rs.111-107, SL-Rs.119.

Today Prakash Industries Ltd hit the 2nd consecutive buyer freezes also  have a look at Jai Balaji Industries Ltd, which also could start  hitting buyer freezes due to some positive developments in the sector and in the counter.