Consolidation phase

CNBC-TV18's, Head- Market Reasearch, Anuj Sinhal:The Nifty has been consolidating for last couple of days and with good reasons. The flows have been mixed, the global markets have been edgy and to top it all, it’s sitting on a good 15% rally over last few weeks. So may be its time to digest some gains and It should not worry the bulls as long as the Nifty maintains its head above the 5000 mark. And while the bulls are still betting on 5400 in May series, it needs to cross the 5200 hump convincingly for that to happen

Stock futures too are showing fatigue on balance though some individual names still deserve mention. 2 stocks on top of my radar would be Dabur and MRPL. Dabur saw big position build-up in both the cash and F&O segments and there could be something cooking here, while MRPL too saw some longs ahead of its earnings

Of course, the big story has been Rupee and you could see that in IT stocks in 2nd half, with Satyam adding 24% Open Interest. With Rupee breaching 41, you might see some more build-up in IT stocks. On the other hand, realty stocks saw some speculative short build-up and fertilizer stocks saw a lot of profit booking, especially in 2nd half.

DISCLAIMER: The author is not allowed to trade in equity markets including Futures and Options. His only exposure to capital markets is via shares of TV18 and Network18 granted to him as ESOPs by the company and investments in some long-term mutual funds.