Current rally can take Nifty to 5200-5300: Antique

The global central banks announced a plan to support the global financial system and a handful of better-than-expected economic reports. On the back of that, the Sensex rallied over 500 points in the early trade.

Shruti Vora of Antique Stock Broking says, the current rally can actually see 5,200-5,300 levels. However, she suggests, today's rally could be used to book some profits on longs around 4,700-4,750. Also read: Don't see a year-end rally, says EM Capital Management Below is the edited transcript of her interview with Udayan Mukherjee and Mitali Mukherjee. Also watch the accompanying video. Q: What is your call on the index now? A: I think it is definitely a good opening. In the last fall, the global markets failed to breach their August and October lows, while the Nifty was lingering possibly at its two year lows. So, I think any short covering in the global markets is likely to see increased bout of short covering in our markets too. However, I would suggest that today's rally could be used to book some profits on any longs taken around 4,700-4,750. But I would not negate that this rally can actually see 5,200-5,300 levels, wherein the 200-day exponential moving average (EMA) is placed. So, maybe that rally could just go up till there. Q: If your call is that there is significant upside for index, how do you play it via the Bank Nifty? A: We have been positive on the Bank Nifty for a while now. I think a while back at around Rs 1,700 levels, we were quite comfortable with SBI. But I think the stock to play now could be ICICI Bank. The stock has seen a consistent fall since the Rs 890 levels in early November. Closer to Rs 700, I think the stock has decent amount of support. So, I wouldn