Stay away from Indian stock markets

It is better for retail investors to stay away from Indian stock markets as markets are in the grip of bears and operators. Markets may see some volatility in the mid session before crashing. BSE Sensex may lose 150-200 while NSE Nifty will break 4,200 resistance. Is it necessary to trade in these circumstances?

Advice: Stay away from markets.

Market sentiment: Bearish/ Heavy crash. Inflation data may change market movement.

Why markets may crash today?

1. Weakness in US Markets and Indian ADRs suffered losses.
2. Big fall in Asian markets on US economy concerns.
3. Fall in metal prices.
4. Derivative contracts expiry.
5. CRR hike concerns.
6. Profit booking in select stocks.
7. Rupee appreciation.
Advice: Stay away from markets.

Significant news:

1. Future valuation of the land may negatively impact the real Estate companies.
2. Anil Ambani’s SEZ is in trouble. Ambani group got DTH license.
3. NSE is the third fastest growing exchange in the world.
4. 500-550 is the price band of DLF IPO.
5. Revamp of Public sector bank’s portfolio will affect their return on assets.
6. Suzlon secures REPOWER bid.

Stock picks for Day Traders: (With risk)

1. BPCL:
CMP: 371
Target: 379
Stop Loss: 364

2. HPCL:
CMP: 286.5
Target: 295
Stop Loss: 280

3. Fortis healthcare:
Fortis and Trehan may attempt out-of-court settlement.

4. City Union Bank
CMP: 195.3
Target: 202.5
Stop Loss: 192
Stake selling report.

Stocks to watch out for:

BHEL, ITC, Suzlon and IPCA Labs.

Stay away from these stocks:

1. Copper prices are down. Stay away from Hindalco and Sterlite.

Share your stock recommendations.