Indian market witnessed huge buying especially in heavy-weights, with Auto, Reality, Capital goods, Banking stocks as major gainers. The Sensex closed at 19850, up 328 points from its previous close, and Nifty closed at 5960, up 98 points. The CNX Midcap index was up 2.5% and the BSE Smallcap index was up 3.2%. The market breadth was positive with advances at 1171 against declines of 140 on the NSE. The top Nifty gainers were Suzlon, Reliance Capital, Cipla and Tata Steel and losers included Hero Honda, Sesa Goa, Bharti Airtel and Wipro. The FIIs were net buyers with investments worth Rs 889.46 cr (prov. cash market fig)

Market Outlook

In the next session, NIFTY may face major resistance around 5995-6030. However, NIFTY has built a good support around 5910, Traders are suggested to buy at dips but one should be cautious of profit booking around 5995-6030 resistance level. Any up move is expected to be supported by Banking and reality stocks while FMCG may appear weak.

Expected Bullish Stocks

IOC
APIL
DLF
PUNJLLOYD
PNB
HDIL
BHUSHANSTEL
ICICIBANK
IBREALEST
IVRCLINFRA
KOTAKBANK
ALBK
BHARTIARTL
SIEMENS
MCDOWEL-N
PFC
PIPAVAVSHIP
SYNDIBANK

Expected Bearish Stocks

PANTALOONR
TATAPOWER
INDIAINFO
ULTRACEMO
ACC
DRREDDY
SESAGOA
HUL
MPHASIS
HEROHONDA
RECL
PRAJIND
NESTLE
MARUTI
INDHOT
DIVISLAB
BGRENERGY
MARICO

Fundamental Picks

Investors with a horizon of 6-12 months can consider following scrips for their investment. These companies have potential to give higher returns than index over a long term.

DIC India Ltd has achieved its target of Rs. 340
First Leasing Ltd has achieved its target of Rs. 92
GEI Industrial Systems Ltd has achieved its target of Rs. 170
Dena Bank has achieved its target of Rs. 108
Visaka Industries has achieved its target of Rs. 180
Aarti drugs has achieved its target of Rs 135
Indoco Remedies has achieved its target of Rs 465, call given at Rs. 388
Riddhi Siddhi Gluco Biols has achieved its target of 258, call given at 216
Ess Dee Aluminium has achieved its target of Rs 520
TNPL has achieved its target of Rs. 115

Corporate News

Noida-based technology services provider HCL Technologies announced a multimillion dollar deal with US based Purdue Pharma to manage its data centres across the United States. The deal indicates resurgence in interest of CIOs in US Pharma industry to spend their discretionary budgets to cut costs, even as the fiscal in US comes to a close.

Engineering major BHEL has bagged Rs 2,665-crore order for supply and installation of a 2x600-MW thermal power plant in Raigarh in Chattisgarh. The order by Visa Power Ltd, an Independent Power Producer (IPP), includes design, engineering, manufacture, supply, erection, testing and commissioning of boilers, steam turbines and generators, along with controls and instrumentation besides associated auxiliaries.

Great Offshore said it has won a contract with GSPC for deployment of anchor handling tug supply vessel. The one-year deployment contract is worth $4.3 million, it said. The vessel is being deployed in the KG basin, off the eastern coast of India.

Economic Updates

The country’s infrastructure sector output grew by an impressive 7 per cent in October, compared to 3.9 per cent in the same month last year, indicating a positive signal for the Index of Industrial Production (IIP) for October, likely to be released next month. The six core industries — crude oil, petroleum refinery products, coal, electricity, cement and finished steel — grew by 2.7 per cent in September.