Money Tree

DLF was listed at Rs. 582 in the morning as against its issue price of Rs. 525 and then it came down and is currently trading around Rs. 542. The stock has made a high of Rs.583.95 and a low of Rs.526.60 till 11.45 a.m. The poor listing impact has been felt across the board in the real estate sector and most of the real estate players have corrected significantly. Unitech is down more than 5 percent at Rs. 523, Parsvnath is down about 6 percent at Rs. 354, Mahindra Gesco is down about 3.5 percent at Rs. 554 and Indiabulls Real Estate is down about 5 percent at Rs. 428.

Stock Markets see significant correction in the first half of trade

The Markets opened flat in the morning started coming down on the back of profit booking at higher levels, below expectation listing of DLF and a sell off in Chinese markets. The NIFTY and SENSEX have lost almost 1 percent and are currently at 4320 and 14760 respectively. The sell off is being witnessed across the board with small caps, mid caps and large caps all correcting significantly. The advance decline ratio is also very negative with 155 advancing stocks to 917 declining.

We had indicated this correction in the last couple of days when we maintained that the profit booking should be done at rallies and we recommended profit booking and waiting to re enter at lower levels and yesterday also we had indicated in our post that the smart money may be selling near the all time high levels and a sell off could be seen. Now 4315 will serve as a good support for today and if we hold these levels we may see some buying coming in again and if the NIFTY closes below 4300 levels, we may see some more downside from there.