Satyam , A quite Storm !!

I am going to do some Analysis on Satyam this time .

Satyam is ready for some serious move on some side (hopefully upside). If we look at the 6 months chats , we can see that satyam is moving in a very narrow range from last some months , which gives us indication that on breakout , there will be explosive move .






Now , What about other internal things , Is there some serious buying happening ? Are people accumulating the stock ? We will see later . Let us look at volumes and prices once again

Volume : Volumes have dramatically decreased in last 2-3 months . Which gives the hint that lots of people are waiting to get into this stock , once prices show a clear trend . When it breaks out , There is a possibility that there will be heavy volumes .

Price : We have already seen , but lets see once again , the prices have been moving in a narrow range of 40-50 from last many months .
% Deliverable Stock : Now this is the main tool , It is the percentage of stocks which are actually delivered out of total stocks traded . from last many months its rising , which means that The stock is being accumulated by people . There is less speculation happening on this counter .




Conclusion : When a stock moves in a range for long time , it often explodes after that , once a stock is not on the radar of most of the people , its the best thing to buy , Everyone has forgotten Satyam these days , and often it indicates a good opportunity . If you buy this early it can be getting into the bus early , but you have to wait patiently for it to move .
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Market view for this week

Markets are dancing wildly in both the directions and its becoming difficult to trade .Because of election results on 16th May , the uncertainity is very high now and the risk/return can be exceptional .

The best thing one should do now is to wait on sidelines and wait for a good opportunity after the clear trend emerges . Dont think that you are loosing an opportunity , Not having any trade is a great position sometimes . Capital protection should be on your mind at this point .

Tommorrow view

I beleive markets may lower flat and then continue there move on downside . Markets may remain very volatile because of elections . The wise thing would be to paper trade or if you are too stuborn to trade then cut your volumes and trade by 30-40% of your original size .

Markets are showing extreme resistance at 3700 .. so a wise thing would be to short around those levels for intraday , dont carry .
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Some Trading Opportunities

Below is some basic Technical Analysis of 3 shares .

You can take trading calls on your risk , Always use SL , dont take bigger positions than you can afford , Dont be greedy , When SL Hits , just get out without feeling "its coming back again" .

JAI PRAKASH ASSOCIATES : Closed above the channel , But RSI started Falling , so its a wait and watch for some time . Better to buy near 105 if corrects .



SUZLON : Fundamentally there is no news which gives a BUY signal , price has also bounced back from resistance level , Now again approaching towards Resistance line , A short term Trade is possible for a target of 72 , but only after a dip .



SATYAM : Some serious consolidation is going on in this counter and there is no wild activity going on from last some weeks , this is quiteness before the Storm . Breakout or Breakdown will offer wonderful trading opportunity , Dont miss it , wait for it to come patiently .

Risky traders can buy it around 42 , for a target of 60 atleast .


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