The pull-back, which looked promising, ended abruptly owing to heavy selling in capital goods and technology stocks on Friday. While Infosys failed to cheer the tech sector, poor IIP numbers triggered massive selling in capital goods stocks.
Factors such as the rising crude oil, inflation, global markets, political worries and earnings season continue to play a major role in determining the daily market movement.
The Sensex, which was hovering around the 14,000 mark at one point, ended the week at 13,470 - up 16 points. The index touched a low of 13,050 and a high of 14,066 during the week.
Among the index stocks, ACC soared nearly 14 per cent to Rs 478. Hindalco, Mahindra & Mahindra, DLF, SBI and Ambuja Cements surged 8-12 per cent each. On the other hand, TCS plunged over 5 per cent and Infosys shed 4.5 per cent. Reliance, Wipro and Satyam were down 4 per cent each.
The Sensex may re-test its recent low of 12,800 in case of prolong weakness. If the index breaks this level, it could drift towards 12,100. On the upside, the index is likely to face resistance around 14,100, above which it may rally to 15,200.
The Nifty moved in a range of 319 points - from a low of 3,896, the index rallied to a high of 4,215 - and finally ended with a gain of 33 points at 4,049.
The Nifty retracted after hitting its short-term DMA (daily moving average) of 4,210. On the downside, it may re-test its recent low of 3,850, or dip further to 3,770.
The index is likely to find support around 3,925-3,890-3,850 and may face resistance around 4,170-4,210-4,250.
Rex Cano / Mumbai July 13, 2008, 0:33 IST
The Business standard dt. 13 7 2008
No comments:
Post a Comment