Market Guidance for 27th July 2006

Hi All ,

US markets ended flat & the asian markets are trading firm. I expect a stron positive opening for the markets.Should not forget that today is Last thursday of the month, so all F&O contracts will expire today. So strong opening could lead to sell off in the middle & closing sessions triggering a panic. So stay away from market. We can see some strong stock specific movement today.

One such stock is REL , which has given a positive break out today . I expext it to open around 455 & should touch 461 shortly . In the downside it may touch 445 also.

Volatality will prevail in the market . We can see a strong fight between bulls & bears in the market today. If the Nifty slips below 3060 we can see huge sell off triggering a slide till 3022 or below. I advice all to stay away today . U can play with REL.

Regards.,
Muthu Kumar.K