CapitalVia Global Research Limited Mr. Vivek Gupta – Director Research

Equity market outlook

 The first budget of Modi’s government will be presented on July 10,2014 by the Financial Minister Arun Jaitley, while Rail Budget will be presented on July 8, 2014.In this union budget of 2014-15 salaried class and industries has a lot of expectation from the newly appointed finance minister Arun Jaitley , be it tax exemption , hike in the transport allowances , increasing the rebate cap on home loans , subsidiaries to the farmers and the issues like women’s and senior citizen’s taxation.

Retail Investors- Government should bring more schemes not only to benefit first time investors ( tax benefits provided under Rajiv Gandhi Saving Schemes to first time investors in equity segment) but also to the other investors.

The government this time has to keep in mind the expectation of common man from union budget , so government have to dealt this time in such a manner that this budget proves a win – win for the both public as well as government .

Overall trend of  Nifty June Future is still bullish on chart, Nifty Jun fut tested its  support level of 7510 made a low of  7465 and bounced back closing on contract expiry was on a red note, July contract gave a positive opening and was consolidating with side ways movement. Now crucial levels to watch upon are, on upside 7570, If this level is crossed 7650 & 7780 can be expected. And on downside 7495 is  important level if this level is breached steep rally can be expected to the levels of 7375 and 7265

Stocks to watch on:

COX & KINGS BUY-The major trend of the stock is bullish .It may continue its bull run with the crossing of its resistance level of 214.  with the RSI of 59, which indicates that further buying opportunities can be seen in the stock.One may initiate the long position in the stock with the crossing of the level for the target of 222 and 230 . Support is at 206, which will act as strict stop loss for the stock.

PTC FUT BUY- The major trend of the stock is bullish and it is sustaining near its resistance zone of  95.40  It may continue its bull run with the crossing of the same . One can go long in PTC fut above the level of 95.40 for targets of 97.25 and 99 with a strict SL order to be placed at 94.65