Mid-Day market watch on May 05, 2016

Indian markets opened on a positive note after three consecutive negative closing sessions. The benchmark indices were trading with range bound volatility till the beginning of afternoon session. Recently, Nifty broke out of the consolidation (7715-7740) and is now hovering around 7750. SENSEX has gained 170 points at 25270 levels.

Market bias remains positive with 1239 advances; and 975 declines. Broader markets are trading in line with the benchmark indices.

On the sectoral front Realty sector soars the most with 2.2 per cent gains. Financial services followed with 1 per cent gains. On the contrary Media remains marginally negative with Eros Media falling more than 2 per cent. IT, Energy and Infra remain flat to negative.

Top Nifty Gainers: HDFC tops again with 3.82 per cent gains. Tata Motors and BHEL trade with more than 2 per cent gains each. Lupin and TATAMTRDVR follow with 1.5 per cent gains.

Top Nifty Losers: IDEA has fallen the most with 5.3 per cent loss. Adani Ports  is continuing with the downturn and has tumbled by 3.4 per cent. Bharti Airtel, Ultratech Cements and BPCL follow with 1 per cent loss each.

The Asian markets traded with a mixed bag after China saw a moderate growth in its service sector while the Dollar appreciated. China’s Caixin Services PMI came in at 51.8 for April as against 52.2 in March. However, the number remains above 50, and this indicates expansion.

Nifty is trading in the range of 7715-7740. If Nifty breaks out of 7740, on the upside,we hold 7750 followed and 7820 as the resistances. In case Nifty falls below 7720-7715 we hold 7700 followed by 7640 as the support which is the 50 day EMA support as mentioned earlier.

THE FIVE BUZZERS

Hours since the markets opened today, after a careful observation of stocks' movements and analysis, we find these below mentioned stocks worth watching during rest half of the day.

A) V-Guard Industries: The stock has surged 17 per cent and has hit its 52 week high with the expectation of positive quarterly results.

B) Hexaware Technologies: Hexaware Technologies has tumbled after posting disappointing results wherein Net Profit has fallen more than 15 per cent.

C) India Bulls Real Estate: Company hiked stake in Singapore listed business IPIT accounting to 51.18 per cent.

D) IDEA:  IDEA may spend over rupees 8627 crore in the upcoming auction, adding data spectrum in key markets. Stock to remain in focus for today.

E) Hero MotoCorp: Hero MotoCorp and Eicher Motors have quarterly earnings results due for declaration today, and is  a major stock to be watched out for.