Market View :

Global cues once again dominated proceedings at Dalal street with the indices opening on a strong note. US markets received a positive push after Goldman Sachs reported better than expected earnings. Sensex opened higher by 200 points moving to highs at 19350 levels. However that became the high for the day as Bears once again attacked the markets erasing all the gains taking the indices lower and lower for the day. Sensex moved below the 19K level by mid-afternoon session down by 100 points. However some heavy buying coupled with short covering lifted the sensex back to positive territory in the last hour of trades. SEnsex managed to close with marginal gains for the day at 19091 up by 12 points while the Nifty gained 9 points for the day to close at 5751.

Markets depicted high volatility moving like a see-saw. Most of the sectoral indices moved in tandem with the benchmark index fluctuating between positive and negative territory. Reality , Auto and healthcare posted marginal losses while FMCG, IT & Metals closed with 0.50% gain each. Small-caps stocks were in action managing to post gains of 0.82% due to which market breadth remained in the positive. Advances were at 1883 while Declines were at 1030. FII’s continued to be net sellers s in the equity markets as per provisional data for Rs. 1454 crs while Domestic Funds were net buyers for RS. 350 crs. FII’s had net insflows in the F&O segment as well amounting to Rs. 461 crs.

Markets snapped the 4-day losing streak to gain from lower levels and close into positive range. Technically this indicates a reversal in trend and markets may provide a pull-back rally. Nifty could recover from current levels and move to 5900+ levels in coming days. Remain positive in the markets taking yesterday’s lows as support levels.