Market View: 16-20 Jul 2012

Filed in Market Update by on July 16, 2012 0 Comments
Week 16-20th  JUL 2012
Market This Week Last week was quiet with a 1% drop in NIFTY. There was improvement in monsoon with the deficit coming to 23% form the earlier mark of 30%. Monsoon may still catch up and that is a positive sign. This week we have first quarter earnings from RIL and presidential elections as the major stories. The overall sentiments look positive as the government is likely to take corrective actions and key reforms are likely to be passed after the Presidential elections on July 19. The FII investments last week proves that. On July 31 RBI is also likely to cut rates. This would bring some fresh cash flow into the market. The NIFTY will decide its further course of action based on the outcome of these crucial events. The critical support for it will be 5150. If Nifty breaches it, we might see 5000 levels. Till we are above 5150, we will be range bound range between 5190-5300 mark.
FII Inflow
Sr.No Reporting Date Net Investment (In Crores)
1 9-Jul-2012 608.70
2 10-Jul-2012 335.60
3 11-Jul-2012 635.70
4 12-Jul-2012 251.10
5 23-Jul-2012 313.50
Strategy For The Week
  • Investors should remain on the sidelines and wait for this week to pass.
  • Traders should consider Pharma sector as their best bet. Follow strict stop-losses. Invest only 10% of total capital available.

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