Experts see higher likelihood of cuts than upmove in mkts
Published on Thu, Mar 11, 2010 at 20:59 | Source : CNBC-TV18
Updated at Fri, Mar 12, 2010 at 09:42
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Experts see higher likelihood of cuts than upmove in mkts
After remaining sluggish the entire day, the markets recovered in the last 10 minutes of trade. The Nifty ended Thursday at 5,147, up 31 points, while the Sensex shut shop at 17,207, up 109 points.
Technically, Gautam Vora, Director, ULJK Securities, too does not see the Nifty heading to 5,300 levels. "The market is facing a lot of selling pressure on any upmove. It has been in a range between 5,096 and 5,148 in the last few trading sessions. Unless we cross over 5,150 and sit over it for a few days, I don't think we are going to see any significant upmove up to 5,300 or so. On the downside, if the market does break 5,090, which is a strong technical level, then you can easily see 5,000 on the index in a short period of time. We are likely to trade rangebound currently in a 5,090-5,150 band."
A similar perspective was echoed by Hitesh B Chotalia, Technical market strategist with hbtronline.com. He says the market is stuck in a very narrow band of 5090-5150 and sees the market dipping down a bit towards the 5,000 mark. "We see minor declines opening around current levels. One must be prepared for a 100 point dip on the Nifty and on the upside 5,150-5,175 should offer some stiff resistance in the short-term. The momentum is clearly lacking at current levels."
However, Rajat Rajgarhia of Motilal Oswal is more positive. According to him good earnings and lower government borrowing can take the markets higher. He sees the floor for the Nifty at 4,600-4,700 and says earnings and borrowings are key triggers for the market floor.
