Weakness persists on bourses

Deepak Sahijwala & Sanjay R Bhatia

The markets continue to remain range-bound amidst occasional bouts of volatility. However, volumes continued to remain lacklustre on the back of a lack of retail participation. In fact, almost all attention was diverted to the primary market, on account of the IPOs and public offers. Traders and speculators continued to remain active in PSU and oil companies on the news of good demand for the ONGC issue, but the negative sentiment for tech stocks continued as a consequence of the US backlash on outsourcing. FIIs continued to remain net buyers on the bourses. However, mutual funds were net sellers.

Technically, the 6000 level has continued to elude the markets. Lower than usual volumes and lack of institutional support at higher levels are holding back a rally. Now, it is important that the benchmark BSE Sensex moves and sustains above the 5935 level for a rally to gain momentum and for the 6035 level to be tested. It is also important that volumes improve at higher levels for sentiment to improve and for retail participation to increase. FII and institutional support would be needed for the markets to move above the psychologically important 6000 level. On the downside, the 5550 level is a crucial support level for the markets.

CMC

The CMC stock has moved in a narrow range of Rs 36.90, touching an intra-day high of Rs 602 and an intra-day low of Rs 565.10 on March 8. On the upside, the Rs 623 level is likely to act as a resistance level. On the downside, the Rs 550 level is likely to act as an important support level.

HCL Technologies

The HCL Tech stock has moved in a range of Rs 22.20, touching an intra-day high of Rs 291.80 on March 8 and an intra-day low of Rs 269.60 on March 11. On the upside, it continues to face resistance at the Rs 294 level. On the downside, the Rs 267 level is likely to act as an important support level.

Infosys Technologies

Infosys has moved in a range of Rs 1,020, touching an intra-day high of Rs 5,825 on March 9 and an intra-day low of Rs 4,805 on March 11. On the upside, it is likely to face resistance at the

Rs 5,319 level. On the downside, the Rs 4,836 level is an important support level, if Infosys falls below this level it is likely to test the Rs 4,626 level.

NIIT

NIIT has moved in a range of Rs 18.65, touching an intra-day high of Rs 207.90 on March 9 and an intra-day low of Rs 189.25 on March 9. On the upside, the Rs 214 level is likely to act as a resistance level. On the downside, if NIIT falls below the Rs 190 level it is likely to test the Rs178 level.

Polaris Software

Polaris has moved in a range of Rs 15.35, touching an intra-day high of Rs 188.90 on March 8 and an intra-day low of Rs 173.55 on March 11. On the upside, Rs 192 is likely to act as a resistance level. On the downside, the Rs 158 level is an important support level.

Satyam Computers

Satyam has moved in a range of Rs 22.10, touching an intra-day high of Rs 311.80 on March 8 and an intra-day low of Rs 289.70 on March 11. On the upside, it is likely to face resistance at the Rs 320 level. On the downside, if it falls below the Rs 290 level, it is likely to fall further to test the Rs 270 level.

Wipro

Wipro has moved in a range of Rs 103.80, touching an intra-day high of Rs 1,499 on March 8 and an intra-day low of

Rs 1,395.20 on March 9. On the upside, it is likely to face resistance at the Rs 1,632 level. On the downside, the Rs 1,395 level is an important support level.

Nasdaq

weakness continued to prevail on the Nasdaq on the back of selling pressure, and it continued to remain below the psychologically important 2000 level, which does not augur well for the index. On the upside, the 2000 level continues to remain an important psychological level. If the Nasdaq succeeds in moving and sustaining above this level, it is likely to test the 2055 level. On the downside, the 1951 level is an important support level.