CALLS FOR 20-10-2009

BUY (20-10-2009)

NIIT TECH 125 - 127 (Target1) 130 (Target2) 133+ (Sl) 122

CAIRN INDIA290 - 292 (Target1) 296 (Target2) 300+ (SL ) 287

LANCO INFRA 565 - 567 (Target1) 575 (Target2) 580+ (SL ) 560

STERLITE TECHNOLOGIES 315 - 316 (Target1) 323 (Target2) 328+ (SL ) 309

HAPPY TRADING

VSS SECURITIES & INVESTMENTS

Error Of Judgement

In my Article posted on Night of 14th Sep,2009..... i have strongly voted to short nifty for a trg of 4600-4500, and also told to buy Oct 4500pe

For the last One and half Month, I have stuck onto my decisions of Nifty short , I accept that there was slight error of judgement for last 200 points in Nifty....I still stick to my decisions and continue holding the same view that we will definitely see the lower levels of 4500

Market always Behaves opposite of masses.....and at that time maximum people were short in Market....and naturally marketed reacted OPPOSITE TO MASSES....Now maximum people are bullish on market for 5250-5500.........GOSH......Lets see what game is laid

Still my many clients are holding short positions as per my view.....I have advised to hedge with some Reality Stocks when nifty crossed 4950....

For Any further clarification please contact me on

VSS_SECURITIES@YAHOO.COM

For VSS Securities & Investments

Aditya V. Singh

Mahurat Picks- Samavat 2066

Company Target

Bharthi Airtel 455

Anant Raj Industries 180

Canara Bank 445

Bank Of Baroda 590

Dhampur Sugar 125

India Hotels 105

Thanks

VSS Securities & Investments

Aditya V. Singh.

+919819198001

Why the market just loves Fridays

If stock market data is any indication, traders have made more money on Fridays, the closing day of a trading week, than on any other.

Over the last five years, the BSE Sensex, for one, has given an average return of 0.17 per cent on Fridays.

Talk about last minute rush and the resultant increase in activity on the counters; or a perception that one knows better at the fag end of the week.

Therefore, here's a hot tip day traders could take -- never miss the action on a Friday.
On the flip side, Mondays are the bleakest. Over the last five years, the Sensex has given an average return of just 0.06 per cent on Mondays, the lowest for any day.

That makes for a second tip, perhaps -- give Mondays a pass if you want an extended weekend. Also, the markets tend to be the most volatile on Mondays, meaning price fluctuations are the biggest on this day.

In terms of standard deviation, a measure of volatility, in the last five years, the Sensex has swung the wildest on Mondays (2.37 per cent), followed by Friday (2.08 per cent). Wednesday, Thursday and Tuesday have seen standard deviations of 1.84 per cent, 1.73 per cent and 1.67 per cent and returns of 0.13 per cent, 0.07 per cent and 0.09 per cent, respectively.

There again, on a risk-return ratio basis, there's nothing like a Friday if you are a day trader.

Call it the "weekend effect" if you will, or the "day-of-the-week effect."
It's the same for the Nifty as well -- Fridays have the highest returns (0.17 per cent) and Mondays the lowest (0.05 per cent).

The trend, in fact, holds for markets the world over.

"Published research for the United States and Canada finds that daily stock market returns tend to be lower on Mondays and higher on Fridays," Syed A Basher and Perry Sadorsky of York University write in a research paper titled 'Day-of-the-week effects in emerging stock markets'.

This is primarily attributed to companies releasing unfavourable news over the weekend, when the markets are closed.This news is reflected in the stock prices when the markets open again on Mondays.

“The stock market is always there. It has been there for centuries, and it lives longer than anyone of us here. Therefore, don’t rush and trade all your capital like there is no tomorrow.”

SHORT SHORT NIFTY

Charts are showing negative divergences in weekly charts (RSI,MACD). Weekly stochastics have moved into the overbought region. In the last 3 trading sessions, daily stochs has moved from the oversold to bought territory

Nifty has crossed 61.8% Fibonacci retracement of the entire fall of 2008 and now entered into a buying phase (for most retailers) while Sensex didnot and is currently just holding onto that level

What i am Seeing is Maximum 100-125 Points Upwards(Rare Case)....Then straight Down Trend To 4500-4600 Levels

Price Vs Volume

How should one apply Price vs. Volume change for predicting market behaviour?Technical Analysts believe that price and volume are closely related. There are four rules for Price vs. Volume change:

1. A rising index with an increasing volume will indicate a bullish market and a "buy" signal as it reflects unsatisfied demand in the market.

2. A falling index with decreasing volume shows a bullish signal.

3. When volume tends to increase during index declines, it is a bearish signal.

4. When volume tends to decrease as the index rises, it is a bearish signal.

There are few traits of good trader

Humility – Getting your ego out of the game
Discipline - stick to your own system
Vigilance – Protecting your capital
Courage - fears are heavy burden to carry through life
Realism - you have control over yourself but you don’t have control over the markets.
Perseverance – trading winners are very rarely born, they are developed.
(So you can become a good trader)
Focus on being - the result of your trading all begins and end with you, the captain of the ship

You are the master of your destiny
Never try to impose your will on the market.
Develop your trading systems, trading style