Market Setup 3rd August

Market Setup 3rd August

Weekend is here and it seems the weakness in US had ended with S&P and NASDAQ has seen handsome growth while Dow Jones has remained more or less flat. The big news however is Apple, which becomes the first stock ever to cross 1 trillion dollars in Market Capitalization. That means just one stock of Apple is equal to 40% of India’s GDP and almost equal to Australia’s GDP. Look at the size of Apple and the wealth creation that it had made. This was the same company which was on the verge of bankruptcy in 1996-97. What a turnaround story that i-phone has created. Steve Jobs has given us the World what many have not even dreamt of.

Domestic Cues

On the domestic front, we had a reaction yesterday where Nifty fell more than 100 points. People are giving various reasons for the fall but my belief is, its nothing but a technical correction. Last 10 trading sessions have seen Nifty going up from 10900 levels to almost 11400 levels and that needs some correction before it sustains. These are technical corrections that one needs to take into account and sometimes they explain market movements more than the fundamental factors.

On the Q1 results front, the results have been good so far with some disappointment from Marico bit other stocks have done a fairly decent job. ONGC is the a huge relief as the results were more or less in line with the expectations. LIC Housing Finance came up with a fantastic results with 32% revenue growth and the NPA’s also come down significantly. Torrent pharma also had a Steller results with sales picking up in US and North America. The disappointment on healthcare front is Narayana Hridayala which reported a loss of 41 Cr.

Following are the Q1 results that are expected today.

1. Adlabs

2. Berger Paints

3. Nestle India

4. Nilkamal Furniture

5. SAIL

6. Taj GVK

7. Titan

8. VIP Industries

Derivatives Action

On the derivatives front, there was a lot of selling that happened as the Nifty fell yesterday and the selling on the stocks was more than the index. That is proved by the fact that even at this selling, the Nifty futures premium went up from 27 points to 38 points though the long positions fell from 61% to 59%. That means when Nifty actually fell by 101 points the Nifty futures fell by only 90 points. On the options front, yesterday was the day when traders started buying calls as the nifty fell and premiums came down. 11500 call added 5.8 lakh positions while 11300 call added 2.1 lakh positions.

What is the Nifty call for the day?

Today the open will be positive and it might happen at 11280 levels and 11300-11320 will be a resistance again and it is crossed then only upside is possible. Today is the weekend and things can go in either directions and so dont be surprised if Nifty comes back to almost the same levels as we closed yesterday. So, it is better to avoid any trade today and wait and watch for the right cues to enter.

Bhagavadgita Chapter 10 Vibhuti Vistara Yoga Verse 17

Chapter 10 Vibhuti Vistara Yoga Verse 17
Shloka

Aadityaanaamaham vishnur jyotishaam raviramshumaan;

Mareechirmarutaamasmi nakshatraanaamaham shashee.

Translation

Among the twelve Adityas, I am Vishnu; among the luminaries, the radiant sun;

I am Marichi among the seven or forty-nine Maruts; among stars the moon am I.

Interpretation

After talking about the beginning, middle and the end of all beings, Lord Krishna also talks and equated Himself with the forces of nature that we see around us. He says that amongst the twelve adityas which are twelve sun-gods who rule the twelve planets of Zodiac he is the Vishnu. Amongst the luminaries which are also called as the self-radiant beings, He is the sun. He is also the Marichi amongst, the set of seven of the forty nine maruts. Amongst all the stars, where moon is also counted and regarded as the brightest star, Lord Krishna equates Himself to moon.

Extending Interpretation to Mankind’s Life!

Pre-vedic Hinduism has a lot of gods and nature’s Lords who are considered to be powerful. Our understanding amongst them is very limited. We never had a chance to learn or know about them. Today, in this shloka I will try to shed some light on these nature gods. First lets look at Adityas. Who are these Adityas? Adityas as the twelve children of Sage Kasyapa and mother goddess Aditi. As they are born to Aditi they are called Adityas. In sanskrit Aditi means “boundless”. Aditi nourishes the earth and sustains all existence. Each of her twelve sons are the part of a zodiac of the 12 zodiacs and the first amongst them is Vishnu.

The next set of nature gods we need to know are the Maruts. Maruts are a set of devathas who are 49 in number. All of them are a part of the different types of winds that blow on our planet. In short they are different wind gods. There are totally 49 wind gods divided into 7 parts. Each part has 7 wind gods and that totals to 49. Amongst them the most prominent is the Marichi. Marichi means tender and beautiful breeze that makes you feel good. It is cool, gentle and pleasant just like the Air Conditioner. Lord Krishna compares Himself to Marichi amongst the wind-gods.