Markets stuck in a range, broader markets outperform

The markets continue to trade in a rangebound fashion in the noon deals. The Sensex is at 16,213, up 48 points and the Nifty has added 20 points at 4,870 levels. The Sensex has so far traded in a range of 84 points.

However, the broader markets are witnessing renewed buying interest in trades today. They have outperformed the benchmark indices and are trading on a firm note. The BSE mid-cap index is up 1.3% or 69 points at 5,451 and the smal-cap index has added 1.8% or 106 points at 6,103 levels.

According to Somil Mehta, senior technical analyst with Sharekhan, "Nifty has started forming higher tops and higher bottoms on the daily charts, which is a bullish sign in the short term. Momentum indicators are also on the positive side so the bias should be positive for a target of 4,950/5,100 with support around 4,800 levels."

Hindalco is the top gainer among the Sensex stocks, up 5% at Rs 129 on back of reports that Novelis Inc, also part of the Aditya Birla Group has renewed its can-body sales agreement with Coca-Cola Bottlers' Sales & Services Company (CCBSS). DLF has also jumped 4% after the company sold 28 acres of prime land in Gurgaon to real estate firm M3M for Rs 440 crore.

Tata Steel, Hero MotoCorp, Coal India, ICICI Bank, Bajaj Auto, Sun Pharma, reliance Industries, HDFC, SBI and HDFC Bank are also among the prominent gainers, up 0.6-3.5% each.

On the other hand, Mahindra & Mahindra, TCS, Cipla, Jindal Steel, Bharti Airtel, ONGC, Infosys and Wipro are the laggards on the Bombay benchmark index.

From the mid-cap space, Jai Corp, Wockhardt, KSK Energy, Shoppers Stop, Jet Airways, Pantaloon Retail and Dish TV are among the top gainers.

BSE Realty index is the top sectoral gainer, up 4.6% or 69 points at 1,547 levels. Metal index has also jumped 2.3% to 10,316 levels. Consumer Durables, Bankex, Power, Oil & Gas and PSU indices have also added 0.5-1.4% each.

At the same time, technology stocks are under a mild selling pressure. BSE IT index is down 0.5% at 5,883 and the Teck index has shed 0.4% to 3,438.

From the realty pack, Sunteck Realty is the top gainer, up 14% at Rs 293. Anant Raj Industries, HDIL, DLF, Unitech, Parsvnath Developers, Prestige Estates and Oberoi Realty are also trading higher by 3.5-10% each.

Overall market breadth is extremely positive as 1,878 stocks are advancing while 714 stocks are declining.