Uncertain Indian stock markets

Uncertainty is continuing in the Indian Share markets with news of correction are playing on the investors’ minds. US markets are in the negative zone while Asian markets failed to give specific direction. Trade cautiously and book profits even with marginal gains.

Sentiment: Bearish/ Volatile/Flat. Stock specific trading.

Positive Stock news:
1. Sugar industry will a special purpose vehicle to keep sugar prices in control.
2. Idea may buy BPL Essar in Mumbai.
3. Oil refining companies and Tata Tea may bounce back at any time.
4. Rolta will setup IT Park in Kolkata.

Negative Stock news:
1. Tata Motors and Ashok Leyland reduced Tyre orders signifying slow down in commercial vehicle business.
2. L & T is suffering Rs 40 lakh a day in Gujarat.
3. RPL may return to 90-95 in this week.
4. Stay away from Hindalco and Sterlite.

Hot stocks for Indian Investors:

1. Aurobindo Pharma: US FDA approval for Ciprofloxacin and positive momentum in the counter.
CMP: 726
Target: 732 and 739
Stop Loss: 719

2. NIIT Tech: Bonus issue and Stock split.

3. Patni Computers: Stake sale.
CMP: 541.2
Target: 550
Stop Loss: 525

4. IDBI: Positive momentum.
5. SAIL: With risk.

6. Either Motors: Impressive sales.

Stocks to watch out:
1. Reliance Capital – JV with UD drug retailer.
2. Ispat Industries and Cyber Media – Results.