Monday, August 30, 2010

Nifty ends flat at 5400; Power Grid, Tata Steel shine

MUMBAI: Indian equity benchmarks ended a volatile session on flat-to-positive note Monday, due to lack of direction from global peers. Metals, realty and auto led the upmove while IT, capital goods and FMCG stocks slipped.



Indices opened on firm note taking cues from Asian peers but gave away gains as the session progressed due to lack of conviction at current levels. Positive opening of European markets failed to provide support and indices briefly slipped in the negative terrain before closing in the green.



Bombay Stock Exchange's Sensex closed at 18,032.11, up 33.70 points or 0.19 per cent. The index touched a high of 18,216.50 and low of 17,960.23 in today's trade.



National Stock Exchange's Nifty ended at 5415.45, up 6.75 points or 0.12 per cent. The broader index touched intraday high of 5469 and low of 5390.35.



"In the coming week one should be careful at higher levels 5450/5470. Our advice is to reduce trading long positions around same. Look for some shorting opportunities with tight stoplosses. Below 5350, come out of trading long positions as the market may fall to the level minimum 5200 and maximum 5000.



On the higher side the trend reversal level is at 5550 and sustenance above it will trigger stoplosses for bears, which may result in to an explosive rally up to 5750," said Shrikant Chouhan, Senior Vice President Technical Research, Kotak Securities.



BSE Midcap Index was up 0.08 per cent and BSE Smallcap Index edged lower by 0.05 per cent.



Amongst the sectors, BSE FMCG Index fell 0.67 per cent and BSE IT Index slipped 0.64 per cent. BSE Metal Index moved 1.46 per cent higher and BSE Auto Index gained 0.36 per cent.



"We have seen profit taking in banking stocks--be open to trade on both the sides in the same. IT stocks turned weak and entered into medium term down trend--be ready to reduce trading long positions at higher levels and look for shorting opportunities.



For auto and pharma, the view is to buy on declines. For cement, infra and capital goods again the view is same of being stock specific. For metals and telecom the strategy should be to trade on break outs," Chouhan added.



Power Grid Corporation (4.22%), Tata Steel (3.48%), ABB (2.47%), Bharti Airtel (2.12%) and ONGC (1.97%) were the top Nifty gainers.



HCL Tech (-2.49%), Siemens (-2.11%), Suzlon Energy (-2.10%), IDFC (-1.49%) and Sun Pharma (-1.27%) were amongst the top losers.



Shares of Tata Steel moved up after the company entered into an MoU for with Thailand's Sahaviriya Steel Industries for potential sale of Teesside Cast Products in the UK.



Shares of ONGC were in action on reports that the state-run oil company may get permission from the Centre to pay only a third of its total royalty obligation to the Rajasthan government on the revenues earned from the oil blocks owned by Cairn India, removing a possible obstacle to the Vedanta-Cairn deal and saving the oil explorer an annual outgo of $350 million.


News From: http://www.7StarNews.com

No comments:

 
eXTReMe Tracker