Nifty hovers near crucial 5150 level, Cipla gains on upgrade

11:30 am Market continued to extend losses in line with the fall in Asian markets. The Sensex, the barometer of the Indian economy, was down 110 points to 17,042 or 0.65 percent lower, up 22 points from the day’s low and off 110 points off from the day’s high. In the 30-share Sensex pack, 21 stocks are in the red while nine are in the green. Top gainers include Cipla, Tata Power, Sun Pharma.

The market breath is negative with every three stocks falling for every one rising.

The broader markets have fallen sharply as the mid-cap index is down 1.13 percent. Mean while the Nifty fell below the perilously 5,150 support zone. Among the BSE sectoral indices, 10 are in the red with realty being the top loser. Capital Goods have also fallen sharply after BHEL hit a3.5 year low. The stock is down 3 percent today.

More from Investing

MSMEs are breaking the traditional convention. Look who’s funding them Scale-up your startup without an investor! Here’s how

Reliance Inds is one stock that is news today after the government imposed a hefty penalty of about Rs 6600 crore ($1.235 billion) on Reliance Industries for the steep fall in gas output from theKG-D 6 block. The stock is trading marginally lower by 0.06 percent to Rs 738 per share.

Cipla is one stock that seems to be on an uptrend after it was upgraded by outperform on CIPLA with a price target of Rs 360 per share vs its current price of Rs 326 per share. Also, the company has cut prices of key cancer drugs by nearly 75 percent.

[caption id=“attachment_298283” align=“alignleft” width=“380” caption=“The broader markets have fallen sharply as the mid-cap index is down 1.13 percent.”]  [/caption]

Here’s a list of views on six stocks by various experts today

• Arunesh Madan, Augment Investment, says to sell Bata in the range of Rs 868-872 with a stop loss being placed above the Rs 880 levels on a closing basis as the stock has formed a bearish pattern on a daily candlestick charts with negative divergence on the RSI indicator.

He also recommernds a sell on Kotak Mahindra Bank in the range of Rs 583-587 with the stop loss being placed above Rs 593 levels on a closing basis.

• Parag Doctor of Keynote Capitals has a buy on TCS with a stoploss of Rs 1,245 and a target of Rs 1,330. The stock is at a new 52-week high and is expected to benefit from the rupee depreciation and continue the upward march. He also recommends buying HUL with the stop loss of Rs 420 and a target of Rs 460. The stock has made a new 52-week high and is a new bull orbit and has continued to go upwards.

• Rajesh Jain, EVP Retail Research, Religare Sec says to short IDBI Bank as it has been underperforming the market in the last one month and yesterday also saw a correction when markets were falling. One can short the stock at any counter rally near its important resistance of Rs 100, keeping a stop loss of Rs 104 for target of Rs 95. However, he recommends buying Arvind as it saw a huge buying with volumes when the markets were falling yesterday. One can buy the stock near Rs 87-88, which is now its important support keeping a stop loss of Rs 85 for higher targets of Rs 93.