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Commentary

Nifty Bounces 20 points, Expiry Volume Burst

With the F&O Expiry this thursday, volumes in the F&O segment have jumped to over 115,000 cr. Nifty closed 0.5% up at 5223, but individual stocks were more volatile.

What went up

Cairn was up 3.74% at 295, after news that it revised the Barmer oil potential upwards to 6.5 billion barrels. The earlier figure for it was 4 billion barrels. Cairn’s been doing about 20,000 barrels a day – miniscule in the overall India consumption of 2.7 million (27 lakh) – but they plan to increase it to a more significant 125,000 barrels by mid 2010.

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Longer term – the chart doesn’t inspire confidence but definitely short term bullish. Look at the higher volume on the way up.

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HDFC Bank also looks interesting, with an all time closing high (correct me if I’m wrong) of 1836 broken – the stock closed today at 1884. (Ignore the blips – they are NSE data issues that need to be filtered out) Long term till yesterday:

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And Intraday:

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And down

DLF broke down below the 300 mark, closing at 296, despite news that it had bought over a promoter company Caraf, which owns DAL, the company that used to buy most of DLF properties.

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Another stock that crashed was IDEA, and we’ll have to find out why. The stock was down 3.84% at 65.05.

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What’s this new chart business?

I’m trying out a format that I hope will be able to report a few of the interesting moves every day. I’ll expand this post to include F&O, any jump in stock or F&O volume, any all time highs/lows, and any specific corporate announcements that should be useful. It’s just a starting point right now but I do appreciate all feedback.