Monday, February 11, 2008

Weakness in Indian markets to continue on Monday

Rohit Mehta, Head Equities, Dimpi Investments stated that overall weakness is being seen in the markets. Market today was trading flat in the morning, went down sharply but recovered during the last hours of the trade to close 62 points down at 17,464. Nifty ended down 12 points at 5,120 level.

Overall weakness is being seen in the markets, said Rohit. There is no FII buying in the markets and also no participation is being seen from them.

He expects markets to open positive on Monday due to Reliance Power opening but will slip into negative during the day. According to him, Sensex support is at 17,200 level.

When queried about Reliance Power IPO he said that it might list at a premium of Rs 100. He refrained from recommending any stocks at current levels.

Bhupendra Sharma, vice president, Hornic Investments said that market was highly volatile today (February 8). Sensex broke the crucial level of 17,600 and was trading around those levels during the day but closed below 17,600 adding to the negative sentiments. Most of the stocks were down though tech stocks showed some strength today.

He also added that no fresh buying is happening at current levels. Market has somewhat come into bearish mode.

He expects weakness to continue in the market. He stated that market is expected to reach bottom level from where bounce back will come in the markets. He also added that if bounce back does not come in few days then one should sell out their positions.

He recommends investors to `wait and watch` and should trade cautiously.

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