The market is likely to open flat to slightly positive. Things may turn choppy and rangebound later in the day. Avoid mid-caps and small-caps as the current rally may soon fizzle out
Realty stocks were stars in yesterdays trade and are likely to spike in the first hour of the trade.It is advisable for the investors to book profits in these stocks.
As mentioned in yesterday's trade, there was a great deal of activity in the IT space with stocks like Tulip IT gaining more than 30 percent. Coming to today's trade, concentrate on the banking space
Watch out for private banks like Yes Bank, Bank of Maharashtra,Karnataka Bank and last but not the least ICICI Bank. We advice investors to book profits in Realty sector and also some other second rung stocks, as there is a possibility of a correction in the coming days.
We strongly believe that today's rally will provide a great opportunity for short term investors to lock in some gains
Thermax
We recommend a buy on Thermax stock from a short-term trading perspective. We observe from the charts of Thermax that from December 2008 high of Rs 222, the stock was on a medium-term downtrend till it found support at around Rs 150 in early March 2009. The stock has significant medium-term support level at Rs 150.The stock changed its trend after taking support recently. On March 17, the stock jumped up by 6 per cent breaking through its medium-tern down trendline as well as 21-day moving average. On March 18, the stock gained 6 per cent penetrating the 50-day moving average on March 18. We notice good volume traded over the past two sessions. The daily relative strength index is featuring in the bullish zone. The daily moving average convergence and divergence is on the brink of entering into positive territory. We are bullish on the stock from a short-term horizon. We look forward to the stock rallying further until it hits our price target of Rs 195 in the upcoming sessions. Traders with short-term perspective can buy the stock while maintaining a stop-loss at Rs 165.