It was a quiet and rangebound session for the markets. Earnings disappointments from heavyweights like Wipro, and muted Asian cues kept sentiment muted.
The Nifty closed the session at 5,696 down 15 points, while the Sensex shut shop at 19,007, down 39 points. Sanjay Dutt director of Quantum Securities already has a bullish stance on the market and feels that it will definitely see new highs in 2011. The rationale: He feels the risk reward is positive. "Most bank stocks have adjusted their balance sheet concerns," he adds. Nevertheless, he believes that the market will continue to grapple with inflation. Anil Manghnani of Modern Shares & Stock Brokers believes that as long as Nifty continues to hold 5,600, there is still a possibility that the market can rally back to 5,830-5,900 levels before the next round of selling resumes. "Even if 5,600 breaks, there is a lot of support up to 5,530-5,550 levels. Hence, maybe, we will get a false break just below and a bounce back above. The selling may partially cool off and you get that move up to 5,850-5,900 levels. However, at around 5,900 levels, I would buy puts or open Nifty shorts because then the fall would again resume," Manghnani says. Nitin Rakesh, CEO and MD, Motilal Oswal Asset Management Company, Motilal Oswal says, the markets are consolidating.Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
