Indian indices witnessed gap-down opening and weak trading in the first half session on account of disappointing IIP data, buy SBI’S result gave good recovery in index with finally flattish closing. SENSEX closed at 18073, up 3 points and Nifty at 5416, down 4 points from the previous close.

CNX MIDCAP index was up 0.4% and BSE SMALLCAP index was up 0.03%. The market breadth was negative with advances at 530 against declines of 741 on the NSE. Top gainers included SBIN, ONGC, HUL, TATAMOTORS, HINDALCO, PNB, CAIRN, AXISBANK and BPCL. Top losers are listed as WIPRO, STER, JAIPRA, ITC, INFOSYSTCH, AMBUJACEM and SAIL.

In the next session NIFTY may trade in the range 5400-5432, sustaining beyond the range might decide the trend. However, traders are suggested to be cautious in ling positions in the view of resistance 5475-5510. METALS and BANKING may appear strong while HEALTH CARE may face selling pressure.

Investors who have a horizon of 6-12 months can buy the following companies. The companies have potential to give higher returns than index over a long term.

Avantel has received an order from Bharat Electronics, Hyderabad for supply & service of electronic products worth Rs. 13.37 crore.

Nagarjuna Construction Company has secured new orders worth Rs 673 crore. Two orders valued at Rs 254 crore are secured from the Commissionerate of Ahmedabad for the construction of hospital buildings in Ahmedabad to be completed over a period of 30 months.

Mahindra & Mahindra has been selected as the 'Preferred Bidder' for acquiring Ssangyong Motor Company (SYMC). The Preferred Bidder status would require the company to enter into a Memorandum of Understanding, followed by a confirmatory due diligence process and signing of definitive agreements thereafter.