Reliance moved up again by 5.48 per cent, aided by the raising of fibre prices. IPCL rose 4 per cent in sympathy. Transport stocks came up strongly again, Telco posting 7.58 per cent and Ashok Leyland 4.92 per cent. ITC rose by 3.14 per cent, Reliance 5.48 per cent and SBI 7.98 per cent.

All cement stocks too joined in the rally with around 2.5 per cent rise. The pharma stocks made modest gain. The software scrips stopped sliding further. The Sensex made an upthrust of 119 points over the previous close, triggering the daily stochastic into a buy signal.

The strength of the change in sentiment can be gauged from the following figures. The volume in advance shot up almost six times from Rs 221 crore to Rs 1332 crore at the BSE. At the NSE thevolume in advance shot up almost four times from Rs 254 crore to Rs 1930 crore. The volume in decline at the BSE shrunk from from 1491 crore to Rs 250 crore and at the NSE it went down from Rs 1698 crore to Rs 186 crore.

Apart of volume, the number of scrips in advance were also up. At the BSE it went up from 397 to 641, and at the NSE it went up from 357 to 611. The number of declines at BSE went down from 738 to 473 and at the NSE it went doown from 612 to 304.

For the Sensex the daily stochastic indicator has signalled a buy. Even the RSI indicator has signalled green. But despite all these plus factors, readers would as well make a careful note of the following. The daily range of movement continues to be high. On Wednesday the Sensex moved between a low of 3877 and a high of 4031. The previous day's low was 3892 and high 4002. With a 150 points intra day movement, you would need a cool head and prior planning not get scalded.