All’s well on the bourses

Deepak Sahijwala & Sanjay R Bhatia

The bull fervour continued on Dalal Street amidst high volumes, as the markets witnessed a broad-based rally. Traders and speculators continued to build positions in Old Economy stocks and index heavyweight stocks on the back of good Q1 numbers flowing out. Tech stocks however remained lustreless, but are likely to join the rally in the near future. Incidentally FIIs continued to remain net buyers along with the mutual funds for the fourth consecutive week.

The benchmark BSE Sensex has touched a new 18-month high, which is an extremely positive signal. The present rally has been well supported by a slew of positive Q1 numbers declared by companies, indicating a revival in the economy. The Sensex is likely to face resistance at the 3824 and later at the 3882 levels. On the downside, the 3534 level is likely to act as an important support level.

CMC

The CMC stock moved in a narrow range of Rs 18.70, touching an intra-day low of Rs 436 on July 24 and an intra-day high of Rs 454.70 on July 30. CMC continues to trade below its 200-day moving average, which is a negative sign. On the downside, the Rs 428 level is an important support level, while on the upside, the Rs 492 level is likely to act as a resistance level.

Digital GlobalSoft

Digital moved in a narrow range of Rs 25.20, touching an intra-day low of Rs 448 on July 17 and intra-day high of
Rs 473.20 on July 28. It moved in an extremely range-bound trend. On the upside, the Rs 484 level continues to act as a resistance level. If Digital can sustain above this level, it is likely to test the Rs 527 level. On the downside, Rs 419 is likely to act as a major support level.

HCL Technologies

The HCL Tech stock moved in a narrow range of Rs 13.35, touching an intra-day low of Rs 159.55 on July 24 and an intra-day high of Rs 172.90 on July 28. HCL has managed to move and sustain above the Rs 160 level and it is likely to test the Rs 176 level in a few trading days. If it manages to sustain above that level then the Rs 198 level is likely to be tested. On the downside, the Rs 144 level is likely to act as a support level.

Infosys Technologies

Infosys moved in a range of Rs 230.40, touching an intra-day low of Rs 3,377.30 on July 25 and an intra-day high of Rs 3,607.70 on July 29. On the upside, it is likely to face resistance at the Rs 3,627 level and later at the Rs 3,900 level. On the downside, the Rs 3,095 level continues to be an important support level.

NIIT

NIIT moved in an extremely narrow range of Rs 7.85, touching an intra-day high of Rs 133.35 on July 28 and an intra-day low of Rs 125.50 on July 29. NIIT continued to consolidate and move in a range-bound trend. On the upside, it is likely to face resistance at Rs 139 and later at Rs 144 level. On the downside, the Rs 119 level is an important support level.

Satyam Computer

Satyam moved in a range of Rs 28.65, touching an intra-day low of Rs 179.30 on July 24 and an intra-day high of
Rs 207.95 on July 30. Satyam has managed to move above its major resistance level of Rs 194, which is a positive sign. Now, it is important that it consolidates at the present levels. If Satyam manages to sustain above the Rs 210 level, it is likely to test the Rs 259 level. On the downside, the Rs 194 level is likely to act as an important support level.

Wipro

Wipro moved in a narrow range of Rs 57.05, touching an intra-day low of Rs 910.15 on July 24 and an intra-day high of Rs 967.20 on July 28. Wipro is likely to face resistance at the Rs 981 level and later at the Rs 1,021 level. On the downside, the Rs 800 level could act as an important support level.

STRATSTAR FUND WIZARD BUY/SELL REPORT FOR 04/08/2003

Nasdaq

Even though, the Nasdaq moved above the 1741 level through intra-day trades, it failed to sustain above this level, and continued to witness intermediate bouts of correction, which augurs well for the indice. The Nasdaq is once again likely to test the 1741 level and if it manages to sustain above this level, it is likely to test the 1776 level. On the downside, the 1602 level is likely to act as an important support level.