Despite heavy selling pressure in the final hour of the session in Indian market, Metals and FMCG maintained the gains while the other entire sector turned red. The Sensex closed at 20015, down 44 points from its previous close, and Nifty closed at 5984, down 16 points. The CNX Midcap index was up 0.1% and the BSE Smallcap index was up 0.4%. The market breadth was positive with advances at 705 against declines of 594 on the NSE. The top Nifty gainers were Bharti Airtel, Ranbaxy, Hindalco and BPCL and prime losers included Maruti Suzuki, Suzlon, Reliance Infra and Wipro. The FIIs were net sellers with sales worth Rs -67.57cr

Market Outlook

In the next session, NIFTY may take support around 5934. If sustained below 5934, NIFTY may test 5870 and 5800 levels. However, 6030-6040 may act as a strong resistance zone in NIFTY. Again, intraday traders are suggested to stay long as long as NIFTY holds 5930. METALS and FMCG may maintain strength while BANKING, IT and CAPITAL GOODS may face selling pressure at higher levels.

Expected Bullish Stocks

TATACHEM
ABAN
ABB
BHARTIARTL
LICHSGFIN
HINDCOPPER
HINDZINC
JINDALSTEL
YESBANK
STER
IDEA
VIJAYABANK
ORCHIDCHEM
IFCI
HINDALCO
IDFC
RANBAXY
RCF

Expected Bearish Stocks

OPTOCIRCUI
DRREDDY
SINTEX
SUNPHARMA
ZEEL LUPIN
SUNTV
DRREDDY
CROMGREAV
GODREJCON
SHRTRANFIB
PFC
RELCAPITAL
ALBK
ABB
PANTALOONR
ACC
AMBUJACEM

Fundamental Picks

Investors with a horizon of 6-12 months can consider following scrips for their investment. These companies have potential to give higher returns than index over a long term.

.. DIC India Ltd has achieved its target of Rs. 340
.. First Leasing Ltd has achieved its target of Rs. 92
.. GEI Industrial Systems Ltd has achieved its target of Rs. 170
.. Dena Bank has achieved its target of Rs. 108
.. Ballarpur industries has achieved its target of Rs 43
.. Visaka Industries has achieved its target of Rs. 180
.. Aarti drugs has achieved its target of Rs 135
.. Indoco Remedies has achieved its target of Rs 465, call given at Rs. 388
.. Riddhi Siddhi Gluco Biols has achieved its target of 258, call given at 216
.. Ess Dee Aluminium has achieved its target of Rs 520
.. TNPL has achieved its target of Rs. 115

Corporate Highlights

BS TransComm, an end to end Turnkey Services and Technology Solutions Provider to Power T&D and Telecom Sector has bagged the project worth Rs 300 crore from Rural Electrification Corporation (REC) through a tariff based Global Competitive Bidding on Build-own-operate-maintain (BOOM) basis for establishment of 765 KV transmission system associated with Krishnapattanam Ultra Mega Power Plant.

Public sector giant BHEL has bagged three orders for setting up solar photovoltaic power plants with a capacity of 2 MW each. The plants will be operationalised as per the Indian Renewable Energy Development Agency Ltd scheme under Jawaharlal Nehru National Solar Mission (JNNSM).

Union Bank of India (UBI) signed an agreement with its public sector peers from the telecom space, BSNL and MTNL, under which the lender will get access to telecommunication technologies at competitive rates.

Fortis Global Healthcare Holdings will acquire 30 per cent stake in Australia's Dental Corporation for about 100 million Australian dollars (about Rs 450 crore).

Economic Updates

An Empowered Group of Ministers (EGoM) is likely to meet on December 30 to consider hike in diesel and domestic LPG prices. This comes in the wake of crude oil prices ruling at a two year high of $93.59 per barrel and widening the gap between retail fuel price and their cost.