Pre Open Thoughts: Bargain Hunting!!

Pre Open Thoughts: Bargain Hunting!!

Ø A bargain ain't a bargain unless it's something you need. There may be great bargains in the market these days but few buyers are willing to stick their neck out. The last year was particularly bad and that valuations have come off significantly which may have promoted some traders to go long in the short term.

Ø Investors are likely to remain wary until they see clear signs of the measures taking effect in Europe. Technically, markets around the globe appear to be in a consolidation mode. The start today will be more sedate owing to shaky global cues. Asian markets are mixed. US stocks rallied whereas European stocks closed higher as well.

Ø Meanwhile, oil prices have spiked on the US-Iran rhetoric. The dollar index is down while the euro has risen above the $1.30 level.

Ø The Union Budget will be presented on March 16, preceded by the Economic Survey on March 15 and the Railway Budget on March 14.

Ø We suggest some cautious at the moment as there might be some recovery led by short-covering. But, the advance may not sustain Over All the undercurrent will remain in consolidation mode with Nifty finding support at 4650 where as 4780-4800 remains to be the resistance levels.