Most Asian stocks rose

Most Asian stocks rose as material companies jumped following Australian Prime Minister Kevin Rudd’s resignation over his proposed tax on mining. Japanese exporters fell on a slump in U.S. housing sales. The dollar declined to a six-week low against the pound as traders increased bets the Federal Reserve will keep interest rates near zero for longer in order to support a recovery in the world’s largest economy. American International Group Inc., the insurer bailed out by the U.S. government, will pay some executives in units whose value is tied mostly to debt, rather than common stock, as it seeks to retain managers. Service tax waived on power supply,services within ports in the North East.India’s handicraft exports grew by 19%to over 154.16 million dollars on strong US demand. Renuka Sugars to pay Rs.1151 crore for its acquisition of Brazilian company Equipav. Cable Corp to develop Rs.1000 crore realty project. Bank of Rajasthan board meet today to discuss further steps of its propsed merger with Icici Bank. Reliance Communications signs 5 year deal with African bank. Coal Ministry rules out more than 10% stake sale in Coal India instead of the mandatory 25% public float norm. Tata Motors to raise Rs.2500 crore via FCCB’s to reduce its debt. Nifty near contracts ends the Day up by 13.30 points adding OI by 9.3% during the day. Nifty rolls over 54.26% compared to 52.65% in the previous expiry and 3 month average rolls of 54.44%. In no of contracts rolled over Nifty saw 10.41% higher no contracts rolled over compared to the previous expiry. Nifty rolls have been higher than the 3 month average in the number of contracts rolled over. Among Nifty stocks above 20% rise in rollover compared to last expiry was RPOWER, ICICIBANK, KOTAKBANK, HDFCBANK, RELINFRA, AXISBANK, RELCAPITAL, HCLTECH & AMBUJACEM etc. Among Nifty stocks fall in rollover above 20% was seen ABB, HINDUNILVR, GAIL, SUNPHARMA, RANBAXY, SIEMENS, TCS, INFOSYSTCH, JINDALSTEL, TATAPOWER & HINDALCO etc. Among other stocks in F&O with significant rise in rollover were BGRENERGY, PFC, UNIPHOS, DCHL, APIL, GODREJIND, VIJAYABANK, YESBANK, ASIANPAINT, COLPAL, GLAXO, VOLTAS, BANKNIFTY, CESC, APOLLOTYRE, TATATEA, NAGARFERT, DABUR, BIOCON, GRASIM, ALBK, SUNTV, FEDERALBNK, ICSA, LUPIN, EKC, BANKBARODA &UNIONBANK etc Long build up seen in GTLINFRA, DRREDDY, TECHM, HCC, VIJAYABANK, ORCHIDCHEM, DENABANK, FORTIS, SINTEX, NAGARFERT, OPTOCIRCUI, DISHTV & UNITECH etc over the Day. Short build up seen in SOBHA, HCLTECH, MPHASIS, RPOWER, NTPC & RNRL etc over the Day. FII side saw long build up continuing in Nifty futures and short build up in stock futures. Nifty options was bought. Range bound moves is expected during the day with resistances at 5360 and supports at 5280 levels during the day. Trading around resistance Nifty (5323): Index opened on a negative note and remained range bound throughout the day’s trading session. It ended the day with gain of 6 points. The index faces resistance around the 5342 level (high of April 2010); profit taking can be expected around this level. Till index is not sustaining above the 5342 level on a closing basis we can see profit taking in the near term. On the momentum chart, Stochastic (5, 3) is in overbought zone and in sell mode.RSI (14) is exhibiting a reading of 62.92(reading of 70 signifies overbought). The index has closed around the 5342 level, sustaining above 5342 can see index the index test higher levels around 5500 in the near term.
On the downside index has support around 5300, break below 5300 can see index decline towards 5264-5205 (10dma) where support can be expected. Conclusion: Sustaining above 5342 can see higher levels in near term