The Bombay Stock Exchange's Sensex pared intraday losses and closed first day of trade of calendar year 2012 in the positive terrain taking cues from European peers.
According to dealers, the pull-back movement from day's lows was on low volumes and traders should be cautious as the downward momentum may resume after a few days of choppy sessions.
Analysts are of the view that investors should wait for some more time before making any investment decisions as the market has turned volatile near current levels.
"It looks under stress and I feel that there is a room for some panic bottom to be made during first half. It could be first quarter also. So considering that in mind we have to be cautious. The way the stock moments are panning out, you see panic in most of the stocks and suddenly one day after another either there is some sector or some stock which is hammered. It clearly shows that the spine of this market has become weak.
I do not see any sharp reversal other than certain fundamental changes which does not look like on the cards in the immediate future. Everybody cannot trade this market at with such volatility and at these levels. So, ideally one has to wait for making some prudent investment decisions," said Ashu Madan, COO,
The Sensex ended at 15517.92, up 63 points or 0.41 per cent. The 30-share index touched intraday low of 15358.02 and high of 15542.85.
The National Stock Exchange's Nifty closed at 4636.75, up 12.45 points or 0.27 per cent. The broader index touched a high of 4645.95 and low of 4588.05 in trade today.
"Nifty future trading at 4650 levels, would find immediate resistance around 4720 levels, sustaining above which it can test 4760-4800 levels on upside whereas on the downside, it now it finds crucial support around 4550 levels, if it breaches this level on closing basis we may see a further downside towards 4450-4400 levels," said Ashish Chaturmohta, Vice President - Derivatives & Technical Analyst, IIFL Private Wealth Management.
BSE Midcap Index was down 0.07 per cent and BSE Smallcap Index moved 0.11 per cent higher.
"We have become very selective now, even buying in the mid-cap space because the risk to a mid-cap is far greater in the last leg of the downside and, therefore, we feel that it is better to remain in large-cap space more. We have to yet fine tune our strategy as to now which mid-cap stock or basket of stocks, which we like to push," Anish Damania, Head-Institutional Equity,
According to dealers, the pull-back movement from day's lows was on low volumes and traders should be cautious as the downward momentum may resume after a few days of choppy sessions.
Analysts are of the view that investors should wait for some more time before making any investment decisions as the market has turned volatile near current levels.
"It looks under stress and I feel that there is a room for some panic bottom to be made during first half. It could be first quarter also. So considering that in mind we have to be cautious. The way the stock moments are panning out, you see panic in most of the stocks and suddenly one day after another either there is some sector or some stock which is hammered. It clearly shows that the spine of this market has become weak.
I do not see any sharp reversal other than certain fundamental changes which does not look like on the cards in the immediate future. Everybody cannot trade this market at with such volatility and at these levels. So, ideally one has to wait for making some prudent investment decisions," said Ashu Madan, COO,
The Sensex ended at 15517.92, up 63 points or 0.41 per cent. The 30-share index touched intraday low of 15358.02 and high of 15542.85.
The National Stock Exchange's Nifty closed at 4636.75, up 12.45 points or 0.27 per cent. The broader index touched a high of 4645.95 and low of 4588.05 in trade today.
"Nifty future trading at 4650 levels, would find immediate resistance around 4720 levels, sustaining above which it can test 4760-4800 levels on upside whereas on the downside, it now it finds crucial support around 4550 levels, if it breaches this level on closing basis we may see a further downside towards 4450-4400 levels," said Ashish Chaturmohta, Vice President - Derivatives & Technical Analyst, IIFL Private Wealth Management.
BSE Midcap Index was down 0.07 per cent and BSE Smallcap Index moved 0.11 per cent higher.
"We have become very selective now, even buying in the mid-cap space because the risk to a mid-cap is far greater in the last leg of the downside and, therefore, we feel that it is better to remain in large-cap space more. We have to yet fine tune our strategy as to now which mid-cap stock or basket of stocks, which we like to push," Anish Damania, Head-Institutional Equity,
No comments:
Post a Comment