Stocks to extend gains; 18000 on Sensex seen
MUMBAI: Stocks are likely to extend gains Tuesday after a stupendous rally in the previous session. Sensex may even scale the 18000 mark if the sentiment cpntinues to remain upbeat.
"Nifty future made a fresh 52-week high of 5,377 and closed almost near its day's high at 5,368.The positive trend in the market is very well intact since Nifty continues to form higher tops on daily chart. Markets showed a very strong up move post budget and we expect this rally to continue until Nifty breaks below the 5,300 level. The markets have turned very strong as huge buying is seen in the index heavy weight stocks like Reliance Industries, Tata Steel, Hero Honda and every dip in the market should be considered as a good buying opportunity. For today, support for Nifty future is seen at 5,330 and resistance can be seen in the range of 5,395 / 5,410," said Nirmal Bang Securities.
US stocks rose at the open on Monday, the first trading day on Wall Street after government data last week showed the economy added the largest number of jobs in three years, boosting hopes the recovery was accelerating.
The Dow Jones Industrial Average gained 24.56 points, or 0.22 per cent, to 10,951.63. The Standard & Poor's 500 Index added 3.36 points, or 0.29 per cent, to 1,181.46. The Nasdaq Composite Index rose 8.25 points, or 0.34 per cent, to 2,410.83.
Asian markets were trading on a mixed note with the Topix edging down 0.3 per cent and Nikkei slipping 0.32 per cent. Taiex moved up 0.75 per cent, Kospi shed 0.11 per cent and Straits Times edged up 0.22 per cent.
Back home, benchmarks ended near fresh 52-week highs Monday as sentiments turned bullish on hopes of recovery in the US economy. The upmove was led by gains in realty, oil & gas and auto space while the IT stocks bucked the trend.
National Stock Exchange's Nifty closed at 5368.40, up 77.90 points or 1.47 per cent. The index touched a high of 5377.55 and low of 5291.40. Bombay Stock Exchange's Sensex ended at 17,935.68, up 243.06 points or 1.37 per cent. The 30-share index hit a high of 17948.54 and low of 17693.66.
