Indian markets are likely to open red and might trade in the negative territory, as investors are likely to dump stocks on negative global cues and lack of near term triggers. Expect the benchmark index or the Sensex to give up less than a percent. There is strong chance that we perform relatively better than our Asian peers today.
Auto stocks led the recovery on Tuesday with Tata Motors gaining more than 6 percent for the day. There was some select buying in Tech counters like HCL Tech and bluechips like GAIL and Ranbaxy.Auto, Realy and Metal Stocks outperformed the rest of stocks on Tuesday.
We see a major correction in the banking sector as the stocks might fall on the weakness in the global financial stocks. Also expect some correction in Auto and Realty which have been major gainers yesterday.
Sugars stocks go sweeter after the price of the commodity hit record highs. We have see stellar gains in Andhra Sugar, Bannari Amman, KCP Sugar and Rajshree Sugars. Natco Pharma was an unusual mover with great price action on huge volume. Definitely a great speculative stock to watch out at Rs 94 level. NDTV and Aptech are two other stocks that look explosive. We advise investors to sit on the sidelines and avoid huge positions in the current market