Stocks to consolidate after two days of gains Stocks look to consolidate on Wednesday after two days of gains. Expect a lower open this morning and a correction of nearly 150 to 200 points is on cards. The Senx is likely to find support at 11,420.00 levels.
Japanese stocks dropped sharply early Wednesday as exporters such as Honda Motor Co. fell on a strengthened yen.Nikkei dropped nearly 3 percent in early trade. Meanwhile U.S. stocks slid as companies came out with bad set of numbers in the morning. The Standard & Poor's 500 Index lost 30.35 points, or 3.1 percent, to 955.05. The Dow Jones Industrial Average tumbled 231.77, or 2.5 percent, to 9,033.66. The Nasdaq Composite Index decreased 73.35, or 4.1 percent, to 1,696.68. Yesterday's rally was led by Consumer Durables, Realty and IT stocks. Realty stocks are expected to give back their gains today as some investors who got in at lower levels will try to book profits at the current prices. IT stocks will likely correct on the back of negative cues from the NASDAQ. Healthcare looks like the safe haven and might see some green in today's trade. Pharma stocks like Lupin, Glenmark, Pfizer and Ranbaxy look attractive at current levels. The Q2 numbers that came out on Tuesday were relatively better as NIIT reported a 41 percent jump in profits and LIC Housing reported a modest 16 percent for the Q2. Zee Entertainment threw a positive surprise with a 84 percent jump in the profits and stocks. The stock looks attractive at current levels to accumulate at a PE of nearly 10. We advice investors to stay away from Indiabulls Real estate, GSS America and Educomp solutions, which have spike yesterday. It is a great idea for the traders to sit out of the market. Long term players could look to accumulate few blue chips which are available at attractive levels Market Close Box: BSE Sensex 10683.39 460.30 NSE Nifty 3234.90 112.10 USD Rs.48.83 Oil Nymex $70.89 B.Karthick Research Analyst. --~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups "Kences1" group. To post to this group, send email to [email protected] To unsubscribe from this group, send email to [EMAIL PROTECTED] For more options, visit this group at http://groups.google.com/group/kences1?hl=en -~----------~----~----~----~------~----~------~--~---
