The market is in a crucial phase and the big question
is -- will the ongoing rebound on the bourses sustain?
Going by the marginal improvement in
sentiment over the last week, one would imagine so. While there remains some strength in
the upswing, volatile movements cannot be ruled out as there is little liquidity in the
system in the absence of short selling. A gradual downswing from here on cannot thus be
Punters with a bullish temperament can
consider taking up long positions at the counters of DSQ Software at Rs. 115 (square up at
Rs. 131) and ABB at Rs.256 (square up at Rs. 270).
Those with a bearish sentiment could consider
selling at the counters of WIPRO at Rs.1525 (cover up at Rs.1460) and HLL at Rs.215 (cover
up at Rs.209).
The dark horse bet of this week is Opto
Circuits, which recently declared a 30 per cent dividend alongside positive results.
(Ashok Kumar heads Lotus Strategic Consultants,
Mumbai. While due care has been taken to prepare this report, readers are advised to take
specific investment advice before taking any investment decisions.)