Tuesday, January 5, 2010

Stocks set to gain for the second day in a row

Indian markets are likely to gain for the second day in a row maintaining its winning streak for the year. Expect the benchmark index or the Sensex to gain more than one percent for the day. SGX Nifty futures up by more than one percent indicating a strong open for the day but the mood could turn a little sour later in the day.

Cement and Auto stocks remained strong with ACC taking the honors by gaining more than 5 percent for the day, while Tata Motors and M&M helped gains in the auto sector. We expect Metals and Real Estate stocks to outperform the rest of the pack today.

The much awaited Godrej Properties is likely to list this morning on the indices.The stocks is likely to trade close to Rs 500 level or nearly flat, close to the issue price of Rs 490.Midcaps and Smallcap indices outperformed the benchmark index by gaining more than 1.5 percent for the day.

Aditya Birla Money was locked in circuit for the second day in a row and more gains are likely in this stock, from current levels of Rs 58.Investors could bet on Geojit Securities as an alternative to this stock at Rs 42 level. There is a possibility of the stock touching Rs 52 in the near term.Patel Integrated, RCF and Bag Films are some of the stocks that were active and might gain further in the coming days