Infosys may touch Rs 7,500

B. Krishnakumar

ITC (Rs 905.9): The scrip failed to move past the resistance zone of Rs 940.

After touching a high of Rs 928.8, the scrip turned weak to close at Rs 905.9. The short term trend in the stock does not appear positive. Existing holders could use price rally to book profit in ITC. Fresh exposures may be avoided for the time being.

Hindustan Lever (Rs 206.45): The share price of the company was confined to a relatively narrow zone last week. The scrip now needs to see break-out to determine the future trend.

A move past Rs 211 could infuse short term uptrend in Hindustan Lever while a decline below Rs 196 would have bearish implications. A break past the above mentioned level could be use to initiate appropriate position in Hindustan Lever.

Infosys Technologies (Rs 6,793): In tune with expectations, the share price of the company faced resistance at Rs 6,900 level. After touching a high of Rs 6,935, the Infosys stock turned weak to close at Rs 6,793. On the upside, Infosys appears to have the potential to touch a price target of Rs 7,200-7,500 range. Existing holders could use price rally either to or past Rs 7,300 to book profit. Fresh buying may contemplated on a break past Rs 6,900, with a price objective of Rs 7,300. A decline below Rs 6,200 would impart bearishness in the stock.

Satyam Computers (Rs 414.7): The share price of the company failed to close below the level of Rs 406 mentioned last week. After edging below Rs 406, the scrip recovered ground immediately on Tuesday. The firm trend in Satyam has infused short term uptrend. Existing holders could remain invested. Fresh buying may be contemplated once the share price declines to the support zone of Rs 385-395.

(Note : This column analyses the outlook for major Nifty constituents based entirely on Technical Analysis of the past price behaviour of the company concerned. There is a risk of loss in trading.)