Nifty support 4635 Resistance 4770

Market opened on a pessimistic note as most of the stocks struggled to stay afloat. In most cases it was the continuation of the overnight momentum and the selling was particularly severe in Realty and Capital Goods stocks. Nifty promptly fell below 4650 and came almost around the key support level at 4630. Sensex too made a low around 15700 before some value buying coupled with short covering lifted the indices as well as beaten down stocks from the lows. RIL led the rebound as it recovered almost 5% from the intra day lows to take Nifty marginally above the 4700 mark. Beaten down stocks like DLF, Unitech, Punj Lloyd, JP associates, HDIL, SBI, Renuka Sugar and Praj staged smart recovery from the intra day lows to close with some gains. Some of the prominent gainers for the day were Essar Oil, LIC Hsg., Praj, Moser Baer, Ranbaxy, IFCI, Kotak, Divis Lab and Renuka Sugars. Some others that continued to languish and ended with losses were SCI, Balram Chini, Neyvelli, Lanco, BOB, Tata Chem, Rpower and Nalco. In fact Power as a sector was worst affected as most of the power stocks failed to recover much ground. Volumes were slightly better but the breadth continued to struggle.