IntradayTrade dot Net
Market Report

Monday, 13-May-2013


  • The Sensex fell 430.65 points, or -2.14 per cent, to 19,691.67, the biggest slump after February 27, 2012. The index had climbed to over three months high in the previous session. Similarly, the broad-based National Stock Exchange index Nifty dropped by 126.80 points, or -2.08 per cent, to close at 5,980.45 today. The MCX-SX flagship index SX40 closed 228.64 points, or -1.92 per cent, lower at 11,662.34 points.

  • Brokers said the selling pressure, mostly of profit-booking nature, was so strong that all the index components in 30-BSE and 50-NSE closed with losses. Surge in April trade deficit, considerable rise in USDINR rates and finally Nifty trading in resistance zone around 6120 resulted in selling pressure at higher levels, they said.

  • A weak trend in the Asian region and lower opening in Europe ahead of the US reports of retail sales and a weak dollar further influenced the market sentiment on the domestic front here, traders said. Asian markets ended lower in trades today as sentiment was hit by selling pressure in commodities. While, US labour market data pointed to a steady recovery trend in the world's largest economy.

  • Last week, the Sensex and Nifty topped key levels of 20,000 and 6,000, respectively, on the back of robust FII inflows, rally in the global markets, strong corporate earnings and better-than-expected IIP numbers.

  • The speed and ferocity of fall in markets has shaken everyone, said Sudip Bandyopadhyay. Market had moved up too fast and so the correction was warranted. However, the speed and ferocity of the fall shook everybody, he said.

  • 5920-5950 range should act as a support for Nifty, said Sandeep Wagle. The momentum on the upside has been lost and 6100 has acted as a very strong resistance which will not be easy at least in the short term, he adds.

  • Market was looking for correction, to use this opportunity to buy good stocks, says Gul Tekchandani. The index as you know had run up fast and furious in about a month-and-a-half's time to the current levels of 6100, says Tekchandani.

  • Next 20 points to determine future couse of action on Nifty, says Ashwani Gujral. If the stocks that took the market higher, the same stocks face that level of selling then basically we are going all the way to the downside, he adds.

NIFTY 3-Month

(Data/Charts courtesy NSEI/Yahoo!/iCharts/The Economic Times)