A lot of new developments have been happening on the Global front.
The EU leaders have stuck a deal for lowering Greece's debt burden and trying to reduce tensions of an impending crisis. Also there is encouraging data from the US side of GDP rising and falling jobless claims hinting that the economy may not be slowing down.
Global stocks, Euro, Crude all rose on this news. The Dow rallied 2% to two month highs.
Back home, the corporate results are not much to cheer about barring a few good ones like ITC, Infosys, etc.
The RBI yet again gave what seems to be the last of rate hikes of 25bps much on the expected lines.
The impact of the deregulation of saving bank rates will surely impact the banking sector due to competition and rising cost of borrowing. Therefore, rate sensitives should be traded with caution.
Technically,The markets are set to rally.
There has been a crossover from the 17250 resistance which the Sensex was trying to breach over past few sessions. The positive momentum should continue for 3-4 sessions more with the first resistances coming at 17750 levels.
Among individual stocks,
Watch RIL which may face resistance at 890 levels as mentioned in an earlier post
Interestingly, there are good volumes building up on every rally in the stock which indicates buying strength.
Mahindra & Mahindra has given a clear breakout from the ascending triangle with good volumes
The next target for the stock is 910. Buy on every pullback to the levels of 810.
Bajaj Auto too made a clear breakout above all resistances this week.
Its advisable to wait for a price pullback for trading such stocks. The resistance will now become a support zone.
Similar is the case of ITC. After stellar performance from the results front, there has been a nice breakout on good volumes. Refer to the chart for price specifics
The EU leaders have stuck a deal for lowering Greece's debt burden and trying to reduce tensions of an impending crisis. Also there is encouraging data from the US side of GDP rising and falling jobless claims hinting that the economy may not be slowing down.
Global stocks, Euro, Crude all rose on this news. The Dow rallied 2% to two month highs.
Back home, the corporate results are not much to cheer about barring a few good ones like ITC, Infosys, etc.
The RBI yet again gave what seems to be the last of rate hikes of 25bps much on the expected lines.
The impact of the deregulation of saving bank rates will surely impact the banking sector due to competition and rising cost of borrowing. Therefore, rate sensitives should be traded with caution.
Technically,The markets are set to rally.
There has been a crossover from the 17250 resistance which the Sensex was trying to breach over past few sessions. The positive momentum should continue for 3-4 sessions more with the first resistances coming at 17750 levels.
Watch RIL which may face resistance at 890 levels as mentioned in an earlier post
Interestingly, there are good volumes building up on every rally in the stock which indicates buying strength.
Mahindra & Mahindra has given a clear breakout from the ascending triangle with good volumes
The next target for the stock is 910. Buy on every pullback to the levels of 810.
Bajaj Auto too made a clear breakout above all resistances this week.
Its advisable to wait for a price pullback for trading such stocks. The resistance will now become a support zone.
Similar is the case of ITC. After stellar performance from the results front, there has been a nice breakout on good volumes. Refer to the chart for price specifics
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