Nifty & Sensex is trading near 200EDMA and which is normally considered important support level and after April 2009 first time these important averages can be possibly tested Nifty 200EDMA is 4657 and Sensex 200EDMA is 15593, Nifty 6months low is 4538 & Sensex 15330 which is near monthly channel support.
Telecom we were bearish as early as 18 Sep2009 http://akprabhakar.blogspot.com/2009/09/telecom-watch-and-news-update.html now Telecom has limited downside and investor can start to accumulate telecom stock
Oil & Gas sector would benefit if Parikh Committee Report is implemented RIL, CAIRN, OILINDIA, MRPL, GAIL are stocks we like while ESSAROIL can also benefit
Market has 3days holiday which is a long weekend and IIP data comes on 12/Feb/2010 on Friday-- REUTERS FORECAST: Industrial output to rise 12% in December from a year earlier, the median forecast in a poll of 21 economist’s shows. That is marginally higher than an annual rise of 11.7% in November. A strong rise would help the central bank to focus better on containing inflation by raising interest rates in coming months.
Sector which can perform if correction is over: Telecom, Oil & Gas and Fertilizer sector has limited downside in my view while Capital goods stocks are performing in downside market.
COGNIZANT profits topped street estimates and the company gave strong outlook for 2010 and this can boost Indian TECH Company stocks also as outlook for business and outsourcing would improve.
Outlook: Markets looks weak but downside can be limited till budget and we can soon recover and this pull-back can be very fast and in Nifty terms 4950-5100 can be possible by budget and downside nifty can go below 200EDMA and then recover very fast. Sensex & Nifty near Monthly Channel support
http://indialeadershipforum.nasscom.in/ NASSCOM India Leadership Forum
Budget Pick: APIL, AREVA T&D, ABB, AIAENG,SIEMENS, LT, GAIL & BHEL + Fertilizer stock
