Benchmark indices BSE Sensex and NSE Nifty were trading marginally in green in morning deals on Wednesday after market sentiments got some boost with with rating agency Ind-Ra revising India’s economic growth forecast to 7.8 per cent for the ongoing fiscal on better monsoon. It has said the positive impact of monsoon on agriculture will support the overall GDP growth with its backward and forward linkages. Some support also came with report that India is re-negotiating over a two-decade old tax treaty with Singapore and the revised protocol will take into account the concerns of both. However, gains also remain capped as traders roll-over positions to the September series with the August derivative contracts set to expire on August 25 (Thursday). At 10.38 am, Sensex was trading 40.18 points up at 28030.39, while Nifty was trading 9.15 points up at 8,641.75.
Meanwhile, Ojas Shah, senior manager- institutional derivatives research at Motilal Oswal Securities gave his technical calls on Bank of Baroda and Cipla with ‘Buy’ rating and on Bharat Financial with ‘Sell’ rating.
Bank of Baroda (Bullish): Stock has bounced back from strong support zone. Watch for a rally towards Rs 180 on sustenance above Rs 150. The counter was at Rs 164.25 on Tuesday.
Cipla (Bullish): Stock has given an “Inverse Head & Shoulder” break out. Watch for a rally towards Rs 600 on the sustenance above Rs 530. The scrip was trading at Rs 554.95 on Tuesday.
Bharat Financial (Bearish): Stock has given a negative break out from rising channel. Watch for a correction towards Rs 660 on the sustenance below Rs 800. Shares of the company were at Rs 759.50 on Tuesday.