NIFTY OUTLOOK FOR 14th & REVIEW

GENERAL BEARISHNESS

Inputs by

Dr.Bhuvanagiri Amaranatha Sastry

Astro Technical Analyst

Saketha Consultants, Hyderabad

sastry.saaketa@gmail.com

09848014561

Nifty encountered huge selling pressure in the last hour and closed below 6500 mark after Four days. Retracement for last Three week’s rise appears to have begun and further fall can be expected before a rebound. However, Stop loss for Nifty long positions may be maintained at 6475 (on close basis).  Nifty spot is expected to encounter resistance at 6535, 6570 and find support at 6455, 6420, for Friday. While Global cues  and  Funds flow  are expected to broadly guide the market movement, based on the present market position , market can be expected to experience general bearishness with selling on rise .

Nifty                               6493  -24

Review for Thursday ::  Selling Pressure towards Close  !!!

Market traded at the upper end of the day for most part of the day and cracked in the last hour due to huge selling pressure and closed with a loss of under 0.40%. Infy, due to management comments on Revenue guidance, opened sharply lower but broader index was positive due to Banks and Oil and Gas sectors. 30 of Nifty stocks closed in the red and broader market was rather weak with Advance Decline ratio at 1:1.2. Energy, Bank Nifty, Auto and FMCG indices gained while IT, Realty, Media, Pharma and Metal indices declined. IT index declined sharply by more than 4% in view of the steep fall in Infy. BPCL, M&M, Dr Reddy, Kotak Bank, ONGC stood out as major gainers among Nifty stocks while Infy, DLF, Sun Pharma, JP Associates, Ranbaxy remained major losers.

 

BPCL, PFC, IOC, HPCL, REC   remained major gainers among F&O stocks while Infy, GMR Infra, DLF, HDIL, Arvind, Sun Pharma   remained losers among F&O stocks.

SENSEX FALLS ANOTHER 82 POINTS

A steep fall in software major Infosys pulled down the BSE benchmark Sensex by 82 points to one-week low of 21,774.61 at close today, notwithstanding firm European cues and signs of capital inflows.
Infosys crashed by 8.54 per cent after the company said it expected muted growth in January-March quarter and even probably in the next financial year. After resuming lower, the Sensex recovered but traded in a narrow range on mixed Asian trends and better European opening.
Towards the fag-end, IT stocks, particularly Infosys, came under severe selling pressure, pulling down the bellwether index to 21,774.61, a fall of 81.61 points from its previous close. The Sensex had closed at 21,513.87 points on March 6. The 50-share index Nifty of NSE also dropped 23.80 points to end at 6,493.10. "Buoyed by better than expected macro-economic data, equity benchmarks were seen making a positive start. However, gains remained capped as some cautiousness crept in the market as SEBI has tightened norms to prevent money laundering through capital markets," said Jayant Manglik, President, Retail Distribution, Religare Securities. According to official data released after market hours yesterday, retail inflation eased to 25-month low of 8.1 per cent in February and industrial growth registered a modest growth of 0.1 per cent in January. Sun Pharma was another big Sensex loser at 5.03 per cent after the US Food and Drug Administration imposed a ban on imports from generic drugmaker's at Karkhadi in Gujarat. SSLT at 1.54 per cent, Axis Bank 1.13 per cent, TCS 1.18 per cent, Maruti Suzuki 1.01 per cent and Tata Steel 0.82 per cent were major losers.