A very strong rally witnessed in the last trading day of the week and Sensex surged more than 2.5% on the week ended 9th May and able to touch new all time high. Banking stocks contributed more in this rally and BSE bank index closed more than 7% up. Oil&gas, Consumer Durables and Capital Goods stocks contribution were also strong and its BSE indices closed more than 5% up. Stock prices may see high volatility next week as the 9th and final phase of Lok Sabha elections concludes on 12 May 2014, and election results will be out on Friday, 16 May 2014. On the macro front, the government will unveil data on industrial production for March 2014 on Monday, 12 May 2014.
Techno- Funda Recommendation
Buy ITC Limited between 338 – CMP (345.55) with close below stop loss of 325 for the target of 395 ( Time Horizon :- 1-2 Months).