MARKET VIEW:

Once again, last hour of "value buying" helped indices to make a sharp UP MOVE. In yesterday''s trade we did saw increase in volume (NSE Cash segment) with market breadth remaining in favor of BULLS. NIFTY has once again closed above its 20 and 50 day EMA poised at 4402 and 4408 levels respectively. With yesterday''s UP MOVE in place, we may see indices moving towards recent highs in near term as mentioned previously. On lower side levels of 4316 will provide much needed support in case of any fresh sell-off. As for today''s trade, we may see sharp stock specific action in anticipation of inflation numbers due ahead. NIFTY continues to have good support around levels of 4350 and then at 4320 while any move above levels of 4450 should be positive for the index. More importantly fall in volumes over past five session of downfall while recovery of volumes on up move is indicative of SELL-OFF exhaustion. In such cases short position if any needs to be protected with strict stop loss.

SECTOR INDICES:

BSE Capital Goods (12269.52)

We have seen this sector gaining 207 points or +1.72% higher at 12269.52 levels. In yesterday''s trade we have seen some strong UP MOVE in most of the stocks in this sector. In past two days we have seen this sector holding to its 50 Day EMA poised around levels of 11944 and making a strong bounce back later. Major hurdle for this sector lies far above 13000 levels.

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