Stock Mkt Is Trading Below All Crucial Levels, Says Vishwas Agarwal
Indian equities on Tuesday (Jan 13) ended the day on a negative note.
The BSE barometer opened weak following global cues, but better-than-expected results from technology giant Infosys turned out a good enough trigger for the stock market to make recovery after an early setback.
IT stocks outperformed, while banking, metal and oil & gas stocks went down.
Among the sectoral indices, BSE IT climbed 4.71%, whereas BSE Oil & gas, Bankex and Metal declined more than 1% each.
At last, Sensex ended the day after losing 38.69 points at 9071.36, around 80 points off its intra-day low of 8992.92, while the broad-based Nifty marked its closure at 2744.95, down 28.15 points.
The BSE Sensex touched an intra-day high of 9261, while the Nifty rose to 2802.60.
The overall breadth of market was negative as it saw 850 advancements as against 1,561 declinations.
The major gainers in the 30-share index included Infosys Technologies (6.36%), Wipro (6.05%), Ranbaxy Laboratories (4.57%), Tata Power Company (3.40%), ACC (2.47%), and Tata Consultancy Services (2.16%).
On the other hand, the biggest losers in the Sensex were Reliance Communications (6.59%), Reliance Capital (6.48%), Housing Development Finance Corporation (4.21%), Tata Motors (4.11%), Oil & Natural Gas Corporation (3.47%), and Jaiprakash Associates (3.39%).
Stock market analyst Vishwas Agarwal said that the stock market is trading below all significant levels. Only some relief recovery is possible because of sharp fall in prices.
He said, “There are hardly any cues that will lead to jump in the stock markets. I had earlier said that markets will behave in the same manner upto January 20 to 22.”
“On January 20 Obama will be sworn in as US president and may announce some big measures for revival of the economy and on Jan. 22 RBI will announce credit policy so only these two events can turn this bearish markets. I am currently not interested in taking any fresh positions in the markets, Mr. Agarwal added.