Intraday calls for 23-10-12
Markets likely to open flat. Support for nifty is at 5630 and resistance at 5750.
Buy JP Power on dips
Trade in small quantity
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pankaj Says:
October 24th, 2012
Posted at: 2:09 pm
can i buy subex at current level ?
micky-intraday Says:
October 24th, 2012
Posted at: 2:14 pm
hey hie cb,kartik,sunil roa,kb and all i missed out wish you a very happy dasera...and hey cb a good news good joining virgin radio group as a creative producer and rj :)
H A M Says:
October 24th, 2012
Posted at: 2:18 pm
Spanish economy shrinks again ::
Spain fell deeper into recession in the third quarter, upping the pressure on Prime Minister Mariano Rajoy as he seeks more austerity measures and considers requesting a eurozone-led bailout. Preliminary central bank figures for the quarter released Tuesday showed the Spanish economy shrank by 0.4% compared to the March-June period, with contractions occurring in both government and household spending. Year-over-year, the economy contracted by 1.7% in the three months ended Sept. 30, compared with 1.3% in the second quarter.
Spain, the eurozone's fourth largest economy, is stuck in its second recession in three years. Both the government and the International Monetary Fund are predicting further contraction next year, although they differ on the scale.
Unemployment has risen to record levels around 25%, putting Spain on a par with Greece, and sparking angry protests at the waves of spending cuts and tax increases introduced by the government to reduce debt.
Yields on Spanish government 10-year bonds soared above 7% in July on fears the government would default. But they fell to just above 5% as Madrid won a promise of eurozone help for its banks and the European Central Bank pledged to buy government bonds.
"Uncertainties remain around, for example... whether the EFSF loan to recapitalize Spanish banks will remain on Spain's sovereign balance sheet and how soon these issues will be resolved," ratings agency Fitch said in a note.
Ratings agency Moody's last week confirmed its investment grade rating on Spain, based on the assumption that Madrid will tap the ESM, and reflecting progress on fiscal and banking reform.
Subin Says:
October 24th, 2012
Posted at: 2:22 pm
Hi Friends..happy dusara
YOGi Says:
October 24th, 2012
Posted at: 2:30 pm
Hi H A M,yaar is it abdu?
NH Says:
October 24th, 2012
Posted at: 2:33 pm
Hi All - Please let me know where to check India VIX live.
CB Says:
October 24th, 2012
Posted at: 2:39 pm
Hi pankaj, no, not really sure yet. technically still looks weak
Hi micky-intraday, :) nice to hear that. all the best. Happy Dusshera
Hi Subin, Happy Dusshera
Hi YOGi, Happy Dusshera
Hi NH, try http://www.forexpros.com/indices/india-vix-chart
H A M Says:
October 24th, 2012
Posted at: 2:41 pm
Hi YOGi, Good afternoon. No yaar, am not Abdul :)
Hi NH, Try these once,
http://www.appuonline.com/nse/nseshareprice.php?company_name=INDIAVIX
http://www.equitymaster.com/result.asp?symbol=INVIX&name=INDIA-VIX-Stock-Quote-Chart
YOGi Says:
October 24th, 2012
Posted at: 2:48 pm
Hi cb, karthik, gaayathri,, sreejith, geethanjali, abdu, sai, sunil RAo and friends VIJAYAADASHIMI SHUBHA KAANK SHA LU
,
NH Says:
October 24th, 2012
Posted at: 2:50 pm
Thanks CB. Need one more info. Can we expect/predict nifty movement based on India VIX? If yes, how? And till what extent it works?
H A M Says:
October 24th, 2012
Posted at: 2:56 pm
Hi CB, My reply to Yogi and NH at 12:41 pm in spam. Kindly approve it. Thank u!!
Hi NH,
Higher the implied volatility higher the India VIX value and vice versa.
India VIX is a premier barometer of investor consensus of market volatility expressed through option pricing. The Chicago Board of Options Exchange (CBOE) was the first to introduce the volatility index for the US markets in 1993.
The index is commonly known as the VIX or the fear index as a high VIX determines more volatility in the market and thus more fluctuation in stock prices.
H A M Says:
October 24th, 2012
Posted at: 3:04 pm
Will be back after some time. Bye for now :) Trade safe!!
NH Says:
October 24th, 2012
Posted at: 3:30 pm
Thanks H A M.
Does this mean, we can predict the market volatility (either way) but not the trend. Does this mean market will be moving up and/or down too fast if VIX is high?
Also, I am not able to figure out any relationship between nifty movement and India VIX movement comparing both for last 6 months. Does this mean VIX has no influence on NIFTY? Does this mean VIX influences only option price?
Please help me to understand.
H A M Says:
October 24th, 2012
Posted at: 3:57 pm
Hi NH, Yes, as I said in my earlier post,
"High VIX determines more volatility in the market and thus more fluctuation in stock prices". India VIX is computed using the best bid and ask quotes of the out-of-the-money near and mid-month NIFTY option contracts which are traded on the F&O segment of NSE. India VIX indicates the investor’s perception of the market’s volatility in the near term. The index depicts the expected market volatility over the next 30 calendar days. i.e. higher the India VIX values, higher the expected volatility and vice-versa.
The peak ever recorded on the NIFTY VIX was 85 in April 2008 when markets collapsed at that time due to recession and lowest is recorded now-a-days in 2012, hence am expecting this market to rise further and break previous highs by 2012 or 2013 after a small little correction.
The index captures the implied volatility embedded in option prices and not only is the volatility index used as an indicator of implied volatility of the market, various tradable products, such as futures and options contracts are available on the volatility index globally. Market too remains very volatile in case of high VIX.
The factors considered in the computation of India VIX are mentioned below:
1) Time to expiry:
The time to expiry is computed in minutes instead of days in order to arrive at a level
of precision expected by professional traders.
2) Interest Rate:
The relevant tenure NSE MIBOR rate (i.e 30 days or 90 days) is being considered as
risk-free interest rate for the respective expiry months of the NIFTY option contracts
3) The forward index level:
India VIX is computed using out-of-the-money option contracts. Out-of-the-money
option contracts are identified using forward index level. The forward index level
helps in determining the at-the-money (ATM) strike which in turn helps in selecting
the option contracts which shall be used for computing India VIX. The forward index
level is taken as the latest available price of NIFTY future contract for the respective
expiry month.
4) Bid-Ask Quotes
The strike price of NIFTY option contract available just below the forward index
level is taken as the ATM strike. NIFTY option Call contracts with strike price above
the ATM strike and NIFTY option Put contracts with strike price below the ATM
strike are identified as out-of-the-money options and best bid and ask quotes of such
option contracts are used for computation of India VIX.
H A M Says:
October 24th, 2012
Posted at: 4:06 pm
Hi NH, The above mentioned factors were taken from the nse site and forgot to edit it before posting, hence, it's not is systematic order, plz adjust urself for now.
Hi CB, Thanx alot for the reply... TC. Good luck :)
Bye... ALL!!! Will be back again on Friday or Sat due to my pending works. TC all:)
NH Says:
October 24th, 2012
Posted at: 4:14 pm
Hi H A M, Thank you...