Expect the benchmark index or the Sensex to trade in a narrow band, with some selling coming in at higher levels. Midcap stocks are likely to cool off as there is likely to be a reality check in speculative counters
Auto Sector especially is over heated with, Tata Motors up 347% this year, Mahindra & Mahindra is up 275%, and Maruti Suzuki is up 205%.We recommend selling stocks in this space on any kind of rallies
We might see a small bounce today after a day in red yesterday. We still think that the market is not on a sound footing and might break down on any kind of bad news. We advise investors to exit speculative positions on any kind of rally's. So it is a good idea to book profits and make hay while the sun shines
Though the Nifty did make a new high recently, it has since retraced back to sub-5100level. The broad range for the Nifty is expected to be 4900-5200 and the overall market trend will remain choppy.
We don’t expect any major move (on either side) till a big influential event takes place. So, keep your eyes and ears open.
The immediate event to keep track of is today’s outcome of the Fed meeting.
Bank shares may do well on global media reports that the new global capital-adequacy rules for large banks may be delayed by at least a decade during a "transition period."
Among the other stocks to watch out for are: RIL, Cipla, DLF, Orchid Chemicals, Idea and Airlines.