Market Outlook 14/08/08

Can market hold my first target 4470..!

Market trading was very dull yesterday and also may be because of SEBI meet on P-Notes issue and now that SEBI meeting is over and P-Notes issue though discussed nothing was concluded, market may break 4500 and test my first target of 4470 straight.On the global front-Light, sweet crude rose $2.99 to $116 a barrel on the New York Mercantile Exchange after the government said U.S. crude supplies fell unexpectedly last week.The Dow fell 109.51 to 11,532.96.The dollar was mixed against other major currencies, while gold prices rose.Among financial stocks, Bank of America Corp. dropped $2.27, or 7.3 percent, to $28.86, while Morgan Stanley fell $2.35, or 5.5 percent, to $40.15.There will be no respite from rising prices in the immediate run, with PM's Economic Advisory Council on Wednesday suggesting that inflation may touch 13 per cent while the GDP growth rate is expected to slide to 7.7 per cent from 9 per cent recorded last year.For today, nifty above 4540 will move towards 4575 again and failure to cross over, heavy selling will be witnessed and if nifty breaks below 4500-support for today, it has very strong support at 4470, and if breaks that then slide towards 4440 and 4400 is sure.

Stock watch for the day:

Adlabs Films (545): Short this stock at higher levels with stop loss 565 for target 530