Market Summary for the day 29/10/2013

Sensex rose nearly 2 % snapping a five-day losing streak to hit their highest close in nearly
three years and also managed to close at their highest level in 2013 so far led by bank shares after the RBI at its second Quarter Review of Monetary Policy 2013-14 announced today.  RBI in its monetary policy review today hiked the repo rate by 25 bps to 7.75%. The MSF rate was cut by 25 bps to 9.25%. CRR was left unchanged at 4%. RBI also cuts the FY14 GDP growth forecast to 5% from 5.5%. Giving a CPI forecast for the first time, the RBI said retail inflation will remain above 9%, adding that both WPI and CPI will remain elevated in the months ahead. The rupee was trading stable at Rs 61.52 compared with previous close of Rs 61.53 per dollar after an in-line monetary policy review. FIIs remained net buyers of equities yesterday.
Globally, Asian shares withered and the dollar lurked just above its recent lows while
European markets were trading in green boosted the sentiment. In Domestic markets, all the sectoral indices closed in the green with gains of at least 0.5%. Bankex was the top gainer among the sectoral indices on the BSE up 4.4% followed by Realty, Metal and Auto indices up 2% each. Others like PSU, Power, Consumer Durables, Health Care, Capital Goods and Oil and Gas indices up 1% each. Maruti Suzuki was up 8.2% after reporting a better than expected net profit at Rs 670 crore for the quarter ended September 2013 (Q2FY2014), driven by strong growth in exports, favorable exchange rate and cost control measures.
Other Sensex gainers include, Tata Steel, Mahindra & Mahindra, Hero MotoCorp, Hindalco,
SSLT, Hindustan Unilever, Tata Power and HDFC adding gains of 2-4% BHEL down 0.1% was the only loser among the Sensex-30. Sensex closed up by 359 points at 20,929 and Nifty ended up 120 points at 6,221. The market breadth was very positive on the BSE, 1,291 stocks advanced while 1,095 stocks
declined. 
Global Markets Updates:
European shares edged higher early on Tuesday to keep within their recent, tight range as
the banking sector slid after provisions for legal costs marred results at Deutsche Bank and
UBS.
However, Both NASDAQ & Dow futures started trading in Red at this evening ahead of
FOMC minutes outcome.
Technical Parameters of NIFTY
• RSI was at 65, MACD negative below & signal line; India VIX was at 19~ which all Indicate that market may see
new highs if US outcome from FOMC meet does not surprise us with any negative announcements.
• Nifty closed above all its moving averages like 5DMA (6161), 20DMA (6047) 50DMA (5811) and 200DMA

(5854) which all indicate that market may see new highs in the time to come if everything goes well.