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For 12th October, 2006

Values as on 11th October 2006  
Index Open High Low Close From yesterday
Nifty Spot 3581.55 3614.50 3544.25 3563.40 -8.95(points)
Nifty Future October  3598 3612.90 3535 3547.50 -27.50(points)
Cnx Midcap 200 4803.55 4835.40 4718.60 4739.80 -56.55(points)
Cnxit 4677.60 4737.20 4655.75 4689.25 +119.15(points)

The above values of Index are actual closings at 3:30 pm and not the averages
We have quit all our longs on Monday 9th Oct morning. We do not wish to do anything during this week as it is result season and we do not want to be trapped. We had been playing long since 3100 levels and quit all our positions near 3570 levels.
Question? Why did market not go up even though Infosys had come out with such excellent results? Well, if you remember we had said that markets are overbought and that is reason we wish to quit our positions on Monday morning. (When markets are heavily overbought, even good results can't take the markets up whereas slightest bad results could have played a havoc on the  market, that is the reason we were out of the market during result week of  Infosys). At the moment we do not find an opportunity to buy and shorting being a sophisticated game, we would not recommend to short here in free letter. So whenever we need to buy, message would be put here in this letter

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This is list of 10 Strong Future Stocks: Escorts Ltd, Polaris Softwar, Patni Computer, J & K Bank Ltd, Indian Overseas, IVRCL Infrast, Divi Lab, Infosys Tech, Hdfc Bank Ltd & Videocon Indust. and this is the list of 10 Weak  Future: Hind Lever, Chennai Petroleum, Tata Tea, Aurobindo Pharma, Ongc Ltd, Gail  Ltd, Reliance Energ, Tisco Ltd, Dr.Reddy Ltd & Cadila Health Care.

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