Date:26/03/2006 URL: http://www.thehindubusinessline.com/bline/iw/2006/03/26/stories/2006032602590700.htm

Back Firm trend in Tata Steel

B. Krishnakumar

The share price of companies in the ferrous and non-ferrous space attracted buying interest during the week.

This stock was also a beneficiary of this trend.

The recent price action has strengthened the case for a move towards the long- term target zone at Rs 525-550.

Stop-loss for long positions may be placed at Rs 479.

Fresh buying may also be considered on weakness, with a stop-loss at the same level.

SBI

A positive trend prevailed as anticipated last week. The near-term outlook is positive and the stock could move to the immediate target zone at Rs 1,010-1,020. The stock appears well on course to move to the long-term target zone of Rs 1,100-1,150 mentioned in the earlier weeks.

Remain invested with a stop-loss at Rs 960. Fresh exposures may be considered on weakness, with the same stop-loss. The long- term positive outlook would be in force as long as the stock holds above Rs 848.

Reliance The stock ruled firm and moved closer to the target zone of Rs 795-800. The near-term outlook remains positive and move to Rs 815-820 appears likely.

The positive outlook would be in force as long as the share price holds above the stop-loss level of Rs 760. Remain invested with a stop-loss at this level. Fresh exposures may also be considered on weakness, with the same stop-loss. Partial profit-booking may be considered on the evidence of resistance at Rs 805-810.

Satyam

The stock was confined to a narrow trading zone last week.

The expected downward correction towards Rs 775-780 did not materialise and the stock went into a sideways correction instead.

The recent price pattern has not, however, negated the view of a rally to Rs 875-880. Long-term investors may hold with a stop-loss at Rs 765.

Fresh exposures may be considered at prevailing levels as well as on declines, with a stop-loss at Rs 780.

Infosys

The stock ruled weak as anticipated last week. It, however, failed to drop to the support zone at Rs 2,790-2,800.

There is a strong support zone at Rs 2,840-2,860.

A breach of this support zone would impart weakness and could push the stock to Rs 2,790-2,800.

As observed last week, the trend would turn positive once the stock closes above Rs 3,000. Till such time, it would be advisable to book profits on rally.