Thursday (Feb 5th): HBJ Cap Says, “Look for a break-out above 2850 or below 2750, it will give the exact direction for Nifty in short term”.

Continuing with the winning streak, Indian markets ended in the green on the back of positive cues from global markets on Wednesday. However, the indices came off the day's high paring 65 per cent of gains as skeptical players booked profits in long positions.

National Stock Exchange's 50-share Nifty closed the day 0.69 per cent higher at 2803. Nifty February futures provisionally ended at a widening discount of 28 points against 19 points on Tuesday.

Global Update:-

1. President Barack Obama said Wednesday the recession will turn into "a catastrophe" if the economic stimulus is not passed quickly, lobbying anew for the plan as its price tag climbed above $900 billion and drew more criticism.
2. "A failure to act, and act now, will turn crisis into a catastrophe and guarantee a longer recession, a less robust recovery, and a more uncertain future," he said. "That's why I feel such a sense of urgency about the Economic Recovery and Reinvestment Plan."
3. For American workers buffeted by layoffs and cutbacks, January was as bad as it felt, as indicated by key employment reports released Wednesday.
4. The number of planned cuts announced in the month rose to the highest level in seven years, according to outplacement firm Challenger, Gray & Christmas Inc. And ADP's National Employment Report found that private-sector employers cut 522,000 positions.
5. President Barack Obama on Wednesday imposed $500,000 caps on senior executive pay for the most distressed financial institutions receiving federal bailout money, saying Americans are upset with "executives being rewarded for failure."

HBJ Capital’s Views on Thursday:-

1. Movement of the market during last 30min of the trade normally decides what is going to happen tomorrow and the way market lost most of its gains in last hours indicates bearish tone for today.
2. Trade is yet directionless. A break-out above 2850 or below 2750 will give the exact direction for Nifty in short term. So, it is better to wait and watch for the clear trend.

For Trading Calls/Strategies (PAID) Pls contact HBJCapital@Gmail.Com or 0988673 6791.

JK, Associate, HBJ Capital
Note: Pls read the disclaimer on this site. Investors/ traders should do their due diligence before taking any action based on our analysis. In order to provide unbiased Calls or Suggestions on FnO trading, HBJ Capital & any of its research analysts are not allowed to trade in Future and Options.