Buying activity was being seen across the board Friday led by gains in realty, capital goods and metals stocks. Benchmarks resumed the uptrend after a brief pause taking support from positive Asian markets.

“The mild reversal witnessed yesterday is likely to have a bearing today as well, more so with mixed US economic data yesterday and key data releases slated for later today. China has also indicated further tightening measures in the form of curbs on infrastructure spending which can prove to be a drag on Indian markets today. Expect stock specific action to continue with possibility of sector rotation trades making a comeback. Some short positions may open up in auto and IT names.

The Nifty consolidated sideways after 3 days of strong move. Short term oscillators are in strong overbought zone and would curtail immediate upmove here. Since the trend is strongly positive, long trader should wait for a better entry point in the market. 50 SDMA supports of 5028 can be a good level to look into for the same. Short term traders may look for come cool-off in the Nifty around these levels. Crucial supply levels are placed in range of 5140-5180 above which the Nifty would gather immense strength. Expect sideways action with marginally downside bias for the day after the gap up opening,” said Edelweiss report.

Bombay Stock Exchange’s Sensex was at 17055.84, up 84.14 points or 0.50 per cent. The 30-share index hit a high of 17097.71 and low of 16988.29 in early trade.

National Stock Exchange’s Nifty was at 5108, up 27.75 points or 0.55 per cent. The index hit a high of 5118.65 and low of 5080.25 in trade so far.

BSE Midcap Index was up 0.96 per cent and BSE Smallcap Index moved 1.21 per cent higher.

Amongst the sectoral indices, BSE Realty Index was up 1.34 per cent, BSE Capital Goods Index moved 1.10 per cent higher and BSE Metal Index advanced 0.75 per cent.

Market breadth was positive on the BSE with 1792 advances and 717 declines.

Wall Street ended little changed on Wednesday as worries about bank regulation and a setback for drug company Pfizer offset signs of improvement in the labor market and services sector.

The Dow Jones Industrial Average was down 9.22 points, or 0.09 per cent, to close at 10,396.76. The Standard & Poor’s 500 Index was up 0.48 point, or 0.04 per cent, at 1,118.79. The Nasdaq Composite Index fell 0.11 point at 2,280.68.

Asian stocks were also on the rise after US jobless claims fell and amid media reports that the Bank of Japan may further loosen monetary policy. The Nikkei climbed 1.96 per cent, Straits Times was up 0.53 per cent and Hang Seng rose 0.66 per cent.
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