Pre Open Thoughts: Tuesdays Wonders!!!

Pre Open Thoughts: Tuesdays Wonders!!!

Ø Fortune and love favor the brave. Will the market be brave enough to continue the Tuesday wonders as what happened in month of January which brought the much desired joy. There appears some hope though that the early January rally may sustain if crucial upcoming events are supportive.

Ø Global cues are providing some motivation after Monday’s quiet session. There seems to be some optimism gaining ground. January was pretty good for risk trade. FII inflows have been robust till now. Volatility has receded. The Nifty has crossed 5400. Results have been mixed so far

Ø Meanwhile, the RBI has decided to change the Bank Rate with immediate effect by realigning it with the Marginal Standing Facility (MSF) rate, which in turn is linked to the policy repo rate under the Liquidity Adjustment Facility (LAF). Accordingly, the Bank Rate shall be 9.5% with effect from the close of business on Monday.

Ø However, one should not jump the gun and wait for a clear direction as the bumpy ride is set to continue for a while before things start looking up.

Ø The Nifty has been facing resistance of 5430 for the past 3-4 trading sessions. The Nifty needs to cement its position above 5400 for few more trading sessions in order to move further up.

Results Today: ABG Shipyard, Akzo India, Alok Industries, Amtek Auto, BL Kashyap, BPL, Deccan Chronicle, Dhanlaxmi Bank, Dredging Corp, Educomp, Essar Oil, Gati, Gitanjali Gems, Graphite India, Great Offshore, GVK Power, HDIL, Hubtown, IVRCL, Jaiprakash Associates, Kingfisher Airlines, Kohinoor Foods, Koutons, Max India, Monnet Ispat, Nestle India, Nitesh Estate, PSL, Ramky Infra, REI Agro, Reliance Infra, SCI, Supreme Infra, Tata Motors, Tecpro Systems, Unitech, UTV, Viceroy Hotels and Voltas.