On the back of positive global cues the Indian stock market started the day on an optimistic note. After a day filled with choppiness, markets ended the day shedding a part of its initial gains. The Sensex closed 202 points higher,while Nifty witnessed 59 points up. BSE MIDCAP and BSE SMLCAP ended 0.80% and 0.82% higher respectively. The hourly chart suggests that today again Nifty failed to cross the hurdle of 40-hourly exponential moving average (40- DEMA). The daily chart of Nifty also indicates that the past sessions are just like a lull before the storm, and in a day or two we will see Nifty resume its downtrend. The daily KST continues to ride its negative crossover. Bulls with 747 advances and 483 declines dominated the market breadth on the NSE.
Our short-and mid-term biases are down for the target of 4325 and 4230 with the reversal packed at 4620 for both short- and mid-term biases.
Buying activity was witnessed across sectors, with auto,banking and power leading the pack of gainers. From the 30 stocks of the Sensex, Maruti Suzuki India (up 5%), Mahindra & Mahindra (up 4%) and Hero Honda India (up 4%) led the pack of gainers. However Bharti Airtel (down 1%) led the pack of losers.