Nifty on 18.1.2011

The supply, it seems, has dried out. The Nifty ended at 5724 up 69 points. The lack of demand was clearly visible. However, further upside of say 60 or 70 points cannot be ruled out. The market may surprise on the upside as much as it did on the last two weeks downside. In case of another supply, and consequent drop in Nifty by 3 or 4 percentage points, heavyweights like L&T, BHEL, ONGC and RIL will become attractive. It is time for bottom fishing in select heavyweights. Start downside averaging Voltas around 195 levels from a mid term perspective.