Sugar Prices are almost down to Rs.30 in the retail stores. From the high of almost 45-48. In the article dated 12^th March 2010, this writer had informed that the price rise in the Indian markets have been unrealistic. The producers who were selling the same at the lower prices now. Some Mills in Maharashtra sold sugar at Rs 2500/- a quintal on Monday. Last month, the Maharashtra Federation decided not to sell sugar below Rs 3,250 a quintal. “It lasted hardly for a day. Prices have been continuously declining since then,” said a trader. If you see the trend in the last 10-20 years, you can see that sugar commands premium during April when soft drinks' companies place huge orders. This year, we are seeing prices dropping. Sugar stocks will continue to slide down...

Markets end with choppy trading session for the whole week. Major Indices continued to correct and lost nearly 2%. Small cap Index outperformed the major indices by slipping just a few points. While the Frontline stocks continued their slide, on the other side the select Midcap and Smallcap stocks fired up.

Markets remained in the correction mode for most of the week. With the results season also on the way or is there, markets remained almost flat to negative. Markets men fear any new positions in the markets. Infosys came with its Quarter results. Guidance was pretty below the market expectation.

The only Index to gain in the current week was the IT Index, which rallied almost 3%. Infosys was the major contributor to the gain. It was up more than 4%. TCS & Hexaware surged more then 2% each. Rest all the Indices saw negative growth. With the report by the evaluator stating that the reserves in the D9 have been estimated to only half of the actual estimated of 10.6tcf. Ril Ind shares corrected nearly 4% in a week. Which triggered the Oil Index to correct 3.3%. Ongc & Gail too slipped 3% each.

Auto Index also corrected. Hero Honda contributed the most by shirking 6.5% & MNM by 5.4%. Tatamotor was also down. But the Tata Motor DVR up nearly 13% on back so valuing buying in that. Bank Index was down almost 3.5%. Icici bank corrected 6%. Axisbank & SBI 3% each.

Sesagoa

Sesagoa looks good on the charts. Traders can buy the stock at the cmp of 472, as it has given a buying breakout above 469 levels. Buy with the price target of 485-490++. SL to be mentioned at 462.

ICICI BANK

Short ICICI below 912 SL 920.

Indices

Global markets too helped the markets trigger the loss, but the Indian markets were lucky not to have that kind of windfall as the other Asian and the European markets felt.

Nifty closed below its 20DMA at 5262 levels, and will continue to be weak till the time its is down y another 100-150 points. Yes Nifty could fall down to 5100-5150 levels. Nifty close below the 5254 levels may weaken it more. Macd has also given negative trigger. Volumes have been flat. Rate hike possible in the coming week. Inflation almost at the top.

Steel stocks are looking very strong. Traders can take long positions in the select metal stocks like Tata Steel, Sesagoa.

Market closed at 17935 which just a few steps away from the 18000 mark. It will cross even 18300 in coming weeks.

This is earning season and 13^th April is a big day. May be market could react on either side depending on Infosys guidance as Rupee has already breached 45 and its next destination is 42. If the guidance is still good then the same could be used for some distribution in tech sector and hence I would suggest investors to stay away. If guidance is bad then the whole market will tank for correction. Hence limit your F & O exposure before this event.