Alex Mathew, head of research centre, Geojit Financial Services said, ``Nifty closed above 4,500 but tested an intraday high of 4,541 where we were facing resistance. Tomorrow if it breaks this level then it can test 4,600 and 4,628 easily.Beaten down Realty and Banking stocks attracted buying from institutional investors; which caused minor short covering.
The uptrend in these counters can sustain for another one or two days. Capital goods were also in good demand; bargain hunters were trying their luck while investing their stocks, he said.Japan`s Daiichi Sankyo buys Ranbaxy stake for Rs 147-198 million which will not have much impact on the stock price. The combined pharma company would probably be the 15th biggest in the world. The stock has tested an intraday high of 591.8 on NSE, but closed marginally higher at 561 with sell order of 27,101 shares at the post closing session.The overall trend remains negative but minor uptrend due to oversold situation may help the indices tomorrow.``P K Agarwal, president, research, Bonanza Portfolio said, ``Market continued to rally in continuation of yesterday`s strong closure.
The markets had gap up opening at 4,469 and continued to trade above the level of 4,500 for major part of the day. Nifty touched a day`s high of 4,540.5 and days low of 4,482.15.
In the last hour of the trade bulls took control of the market and rallied the market to close above the 4,500 level. Nifty closed at 4,523.6.
The star performer of the day was Ranbaxy. The management announced that Daiichi Sankyo will buy out the entire promoter stake of 35% in Ranbaxy Laboratories at Rs 737 a share.
This also helped other pharma stocks, most of which closed in the green.
Markets are likely to trade in the positive zone, at least in the first hour, for tomorrow also. Nifty can try to reach levels of 4,570/4,640 on the upside.
Nifty is likely to find support at around 4,450. Trading strategy for the day has to be stock specific
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