Tuesday, March 3, 2009

Markets slides 03-03-09

It was a terrible day for our market that closed below the November lows today. Sensex shut shop at 8427, down 179 points and Nifty at 2622, down 52 points from the previous close. CNX Midcap index was down 1.84% and BSE Smallcap index was down 1.30%. The market breadth was negative with advances at 306 against declines of 882 on the NSE. Top Nifty gainers included Ambuja Cements, ACC and Grasim while losers included Tata Power, ITC and PNB.  

Buy L&T with a target of Rs 750 in 12-18 months, says a Brokers Poll on Zee Business. The stock is currently trading at Rs 574, down 1.67% on the BSE.  

There is a global downtrend, says Ashwani Gujral, technical analyst, on CNBC-TV18. Nifty is headed to 2500-2550 and is unlikely to hold up for more than 1-2 days, he adds.  

Start nibbling into stocks like Shree Cements in the cement space, Renuka Sugar in the sugar space and Voltas for long term gains, says Rahul Mohindar, technical analyst, on CNBC TV18.  

Buy Ambuja Cements in the cement space, Bharti Airtel in telecom and GMR Infrastructure in the infrastructure space for long term returns, says Ambareesh Baliga of Karvy Stock Broking on Zee Business.  

It was a decisive breakdown for the market today that ended below the November closing low of 8451. Sensex closed at 8411, down 195 points (provisional) and Nifty at 2619, down 55 points (provisional) from the previous close. CNX Midcap index was down 1.87% and BSE Smallcap index was down 1.31%. The market breadth was negative with advances at 313 against declines of 867 on the NSE.  

Maintain Nifty shorts with a target of 2530 and stop loss of 2630, says Rahul Mohindar, technical analyst, on CNBC-TV18, as closing market strategy.  

Short Nifty March futures with a target of 2550 and stop loss of 2680, says Ashwani Gujral, technical analyst, on CNBC Awaaz, as closing market strategy.  

The market could see a sharp correction in March-April, feels Upendra Kulkarni, technical analyst, on CNBC Awaaz. It is best to sit on cash in this market which could head lower, he says. If one has a 3-5 year perspective, as a good investment one can accumulate stocks like SBI, Infosys, L&T and BHEL, he adds.  

Sensex is trading below the October closing lows of 8451, reports CNBC TV18. Sensex is trading at 8422, down 185 points and Nifty is at 2620, down 54 points from the previous close.  

This is the right time to do crawl buying over the next 2-3 months, says Rajesh Jain of Pranav Securities, on NDTV Profit. Be stock specific and keep a horizon of at least 18 months to get substantial gains, he adds.  

The Indian market is showing relative strength compared with its global peers, says Ambareesh Baliga of Karvy Stock Broking on Zee Business. The downside looks limited and Nifty is unlikely to go below 2650, he says. Nifty is likely to be in a range of 2700-3000, he adds.  

The market is trading at the day's lows. Sensex is trading at 8478, down 128 points and Nifty is at 2636, down 38 points from the previous close. CNX Midcap index is down 1.34% and BSE Smallcap index is down 0.80%. The market breadth is negative with advances at 352 against declines of 806 on the NSE.  

Buy Ambuja Cements with a target of Rs 72-90 and a stop loss of Rs 63, says Prasad Kushe, technical analyst, on Zee Business. The stock is currently trading at Rs 65, up 4.4% on the BSE.  

Buy Suzlon with a target of Rs 65-70 in six months, says Ambareesh Baliga of Karvy Stock Broking on Zee Business. The company received a new order of over $100 million and so the stock has a limited downside, he adds. The stock is currently trading at Rs 39, up 1.82% on the BSE.  

Sell Kalindee Rail on rallies, the stock looks weak and could go down to Rs 87-50, says Rahul Mohindar, technical analyst, on CNBC TV18. The stock is currently trading at Rs 98, up 13% on the BSE.  

Buy PFC with a target of Rs 155 and stop loss of Rs 130, says Neera Jain of crnindia.com, on CNBC Awaaz. The stock is currently trading at Rs 138, down 1.57% on the BSE.  

Sell Noida Toll Bridge on a rally, the stock looks weak and could go down to Rs 15-12, says MB Singh, technical analyst, on Zee Business. The stock is currently trading at Rs 22, down 0.9% on the BSE.  

Go short on Nifty only below 2650 and buy if it breakouts above 2730, says Rahul Mohindar, technical analyst, on CNBC TV18. Volumes will be an indicator of confidence returning to market, he says. Nifty going past 3240 will be a signal that confidence has returned to the market, he adds.  

Nifty will find it difficult to go past 2700, says Ashwani Gujral, technical analyst, on CNBC Awaaz. Global markets will not be able to hold in the positive for long and are headed downward, he feels. If Nifty breaks 2635 it will go down to 2550, he adds.  

The European markets have opened positive. Good global cues see our market post a slight recovery. Sensex is trading at 8578, down 28 points and Nifty is at 2672, down 2 points from the previous close. CNX Midcap index is down 0.44% and BSE Smallcap index is down 0.29%. The market breadth is negative with advances at 467 against declines of 671 on the NSE.  

Buy Ultratech Cements with a target of Rs 520 and stop loss of Rs 410, says Neera Jain of crnindia.com, on CNBC Awaaz. The stock is currently trading at Rs 455, up 0.76% on the BSE.  

Buy Maruti Suzuki with a target of Rs 720, says Vaishali Jaju of Angel Stock Broking, on CNBC Awaaz. The stock is currently trading at Rs 676, up 0.14% on the BSE.  

Goldman Sachs cuts target for Tata Steel to neutral at Rs 215 versus Rs 248, reports Zee Business. The stock is currently trading at Rs 159, up 0.28% on the BSE.  

IVRCL Infra has bagged orders worth Rs 670 crore, reports CNBC TV18. The stock is currently trading at Rs 105, up 0.43% on the BSE.  

Global economy downturn may have bottomed out, says Jamal Meclai of Meclai Financials, on NDTV Profit. Investors moving to corporate bonds versus equities, he says. Globally, the bond market is seeing renewed interest, he feels. RBI rate cuts may further put pressure on the rupee, he says. The rupee is likely to strengthen by the year end, he adds.  

The global market situation is more grim than imagined, says Vallabh Bhansali, chairman of Enam Securities, on CNBC TV18. One can look at buying into the market after the elections and Q4 results, he feels. Fiscal stimulus by the government will help the economy in the long term, he says. FIIs are positive on India but are uncertain when to enter the market, he adds.  

The Asian markets are trading mixed. The Indian market is trading quiet in a tight range. Sensex is trading at 8577, down 29 points and Nifty is at 2671, down 3 points from the previous close. CNX Midcap index is down 0.49% and BSE Smallcap index is down 0.37%. The market breadth is negative with advances at 445 against declines of 679 on the NSE.  

Enam Securities maintains a buy call on Titan Industries with target of Rs 961, reports CNBC Awaaz. It is expected to give returns of 25% from the current levels. The stock is currently trading at Rs 747.95, down 2.7% on the BSE.  

Sell Bharti Airtel with target of Rs 580, says Ashwani Gujral, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 632, he adds. The stock is currently trading at Rs 601, down 2.7% on the BSE.  

Exit from Apollo Tyres on any rally, says VVLN Sastry of Firstcall India Equity Advisors, on NDTV Profit. Not much returns expected from it in the next 2-3 years, he adds. The stock is currently trading at Rs 18.25, down 1.4% on the BSE.  

Short-term traders can book profit on rally in RIL, says Gaurang Shah of Geojit Financials on Zee Business. Keep stop loss of Rs 1165, he adds. Long-term investors can hold, he says. The stock is currently trading at Rs 1242, up 1.4% on the BSE.  

Hold Glenmark Pharma and exit when it reaches Rs 170, says Mitesh Thakkar, technical analyst, on CNBC TV18. The stock is currently trading at Rs 155.40, down 0.9% on the BSE.  

Risk aversion in global equities is very high and US equities could hit new lows, says Tim Condon of ING Financial Markets on CNBC TV18. He believes that policy action will take a few more months before markets bottom out globally. India is worst hit in the current scenario and downward bias may continue in the near term, he adds.  

Hold Tata Motors with short-term target of Rs 150-155, says Vijay Bhambwani, technical analyst, on CNBC Awaaz. It has short-term support of Rs 120-125, he adds. The stock is currently trading at Rs 146.95, up 0.9% on the BSE. 

The market at noon continues to be marginally weak and volatile. Selling pressure continues in heavyweight stocks. Sensex is trading at 8569, down 37 points from its previous close, and Nifty is at 2670, down 4 points. Both CNX Midcap and BSE Smallcap indices are down 0.5% each.  

Buy Maruti Suzuki and Hero Honda at current levels, says Sharmila Joshi of Systematix Shares on CNBC Awaaz. Fundamentally, they are good stocks, she adds. The stocks are currently trading at Rs 672.20, down 0.5%, and Rs 914, up 2.1%, respectively on the BSE.  

Avoid Reliance Communications with a short to medium-term view, says Ashish Kapur of Invest Shoppe on CNBC Awaaz. Buy only if you have long term view, he adds. The stock is currently trading at Rs 143.75, down 1.1% on the BSE. 

Go long on BPCL with target of Rs 415-420, says Ashwani Gujral, technical analyst, on CNBC TV18. Keep stop loss of Rs 360, he adds. The stock is currently trading at Rs 389, up 3.2% on the BSE.  

Hold Aban Offshore for long term, says Gaurang Shah of Geojit Financials on Zee Business. Buy more at Rs 265 levels, he adds. The stock is currently trading at Rs 282.70, down 3.8% on the BSE.  

Hold Hotel Leela Venture with stop loss of Rs 16, says Gaurang Shah of Geojit Financials on Zee Business. Exit when it reaches Rs 22-24, he adds. The stock is currently trading at Rs 17.40, down 1.1% on the BSE.  

US economic data continues to be poor and markets may fall further, says Andrew Holland of Ambit Capital on CNBC TV18. He feels that the Indian markets will hit new lows by March end.  

Buy ACC on dips at around Rs 500, says Anil Singhvi, market expert on CNBC Awaaz. Keep stop loss of Rs 490, he adds. The stock is currently trading at Rs 523, down 0.1% on the BSE.  

Hold Hindustan Zinc which is showing a positive trend now, says Amarjeet Singh, market expert, on CNBC Awaaz. It can go up to Rs 364 at which level book profit, he adds. The stock is currently trading at Rs 338.90, up 1.7% on the BSE. 

An hour into opening, the market makes a technical bounce-back. In fact, markets all across Asia appear to be in a recovery mode. In the Indian market, cement and sugar stocks are proving the heavyweights. Sensex is trading at 8577, down 29 points from its previous close, and Nifty is at 2671, down 3 points. CNX Midcap and BSE Smallcap indices are both down 0.4% each. The market breadth is negative with advances at 385 against declines of 656 on the NSE.  

Sell L&T at Rs 584 with target of Rs 562, says Simi Bhaumik, technical analyst, on Zee Business. Keep stop loss of Rs 595, she adds. The stock is currently trading at Rs 588.55, up 0.7% on the BSE.  

Hold Maruti Suzuki with a stop loss, says Raj Kishore Bang, technical analyst, on CNBC Awaaz. It is trading in a band of Rs 625-715, he adds. The stock is currently trading at Rs 687, up 1.7% on the BSE.  

Only aggressive traders can buy SpiceJet on dips at around Rs 13, says Anil Singhvi, market expert on CNBC Awaaz. Keep stop loss of Rs 12.50, he adds. Trade for small profits, he says. The stock is currently trading at Rs 13.74, up 1.4% on the BSE.  

There is no opportunity for making money in this market, says Jim Rogers, renowned global investor, on CNBC Awaaz. He believes that pressure will remain on the US market for the next 2-3 years. One could invest in real estate with a 10-year view, he adds.  

Sell Reliance Infrastructure at Rs 446 with target of Rs 420, says Simi Bhaumik, technical analyst, on Zee Business. Keep stop loss of Rs 455, she adds. The stock is currently trading at Rs 440.95, down 1.1% on the BSE.  

Exit from Axis Bank on any rally, says Raj Kishore Bang, technical analyst, on CNBC Awaaz. There is nothing positive in this stock, he adds. It has support at Rs 290 breaking which it might fall to Rs 220, he says. The stock is currently trading at Rs 321, down 0.6% on the BSE.  

Sell Reliance Communications at Rs 145 with target of Rs 138, says Simi Bhaumik, technical analyst, on Zee Business. Keep stop loss of Rs 149, she adds. The stock is currently trading at Rs 143.25, down 1.4% on the BSE.  

Investors and traders may buy Tata Motors on dips at around Rs 130-135, says Anil Singhvi, market expert on CNBC Awaaz. Keep stop loss of Rs 125, he adds. The stock is currently trading at Rs 149.35, up 2.5% on the BSE.  

The market opens flat this morning but showing some resilience despite very poor global cues, especially with the Dow hitting a 12-year low, falling below the 7000 mark for the first time since October 1997. Sensex is trading at 8559, down 47 points from its previous close, and Nifty is at 2661, down 13 points. CNX Midcap index is down 0.5% and BSE Smallcap index is down 1.8%. The market breadth is negative with advances at 179 against declines of 287 on the NSE.  

Nifty has sustained the key level of 2650, says Rahul Mohindar, technical analyst, on CNBC TV18. He does not think this level will break down soon. He sees resistance for Nifty at 2720.  

Market will have a flattish opening today, says Siddharth Bhamre of Angel Broking, on CNBC TV18. He does not see any triggers that may suggest covering short positions.  

Market will have a negative opening on account of weak global cues, says Ashwani Gujral, technical analyst, on CNBC TV18. The key Nifty range is 2614-2733, he adds. He feels that if the global weakness persists then we may see some more downside. He advises traders to wait for pull-back rallies to go short near 2700.  

Markets should see a sell-off with low volumes on back of global cues, says Hemant Thukral of Asian Market Securities on CNBC TV18. He believes that the market is not over-leveraged with long positions and looks prepared for a downside. Put activity, he adds, has shifted to 2600, which he believes should act as a strong support.  » Send to friends