Markets off day's low

Markets have recovered a wee bit from the intra-day low levels but continue to trade on a weak note in the noon deals on the back of selling pressure visible across the board. The Sensex has lost 122 points at 15,734 and the Nifty is down 43 points at 4,706 levels.

The Indian stock markets opened marginally lower tracking the weak global cues and the Sensex touched the low 15,664.

According to Salil Sharma, technical analyst, partner kapursharma.com, "The Nifty has been moving in the range of 4700-4800 for the past few trading sessions. The 20 DMA of the Nifty is at 4725 and the Nifty movement has confirmed a breakout above this average."

"A close below 4700 will be bearish and would take the Nifty down to its supports at 4639 and 4580. A close above 4800 would imply a higher top and bottom keeping the intermediate trend up," suggests Sharma.

Hero MotoCorp is the top loser among the Sensex stocks, down 4.4% at Rs 1,747. The stock is trading lower on back of reports that the world's largest two-wheeler maker and its former partner, Honda Motor, Japan, is planning to launch motorcycles at competitive prices. J P Associates has also shed 4.2% at Rs 53. Bharti Airtel, Jindal Steel, BHEL, Tata Steel, ONGC, L&T, Sterlite Industries, Wipro, DLF and ICICI Bank are also among the prominent losers, down 1.4-4% each.

However, Reliance Industries, Maruti Suzuki and Sun Pharma have bucked the overall weak trend and are among the notable gainers from the Sensex pack.

Among the individual shares, shares of telecom companies are under pressure on the bourses ahead of Telecom Disputes Settlement and Appellate Tribunal (TDSAT) hearing on the third-generation (3G) roaming case due Monday.

PG Electroplast has slipped 5% to Rs 122, its lowest level since its listing on September 2011, after four non executive independent directors of the company resigned from the board, over the allegations contained in the exparte order passed by market

Kingfisher Airlines has plunged 11% to Rs 18.25 in morning trades after the Directorate General of Civil Aviation has given the company three days time (till Monday) to come back with a detailed plan of financial recovery and safety.

Capital goods, metal and power stocks are amongst the worst hit in trades thus far. BSE Capital Goods index is the top sectoral loser, down 2% or 180 points at 8,452 levels. Metal index is also down 1.8% at 9,633 levels. Power, Consumer Durables, Teck, Auto, Bankex, Realty, PSU and IT indices are also down 0.6-1.4% each.

Pinj Lloyd is the top loser among the capital goods stocks, down nearly 4% at Rs 40. Crompton Greaves, Alstom Projects, Suzlon Energy, ABB, Bharat Electricals and BGR Energy are also trading weaker by 1.3-3% each.

Meanwhile, the BSE Oil & Gas index is the only sectoral gainer. From this space, BPCL, Indian Oil and HPCL are among the top gainers.

The broader markets are also trading with a negative bias. The BSE mid-cap index is down 0.6% at 5,229 and the small-cap index has shed 0.3% at 5,687 levels.

The overall market breadth is negative as 1,380 stocks are declining while 1,036 are advancing.