>Equity Weekly Watch (ANAGRAM)

After the week ended December 19, 2008, this was the first instance when the Nifty produced two back rallies on a weekly closing basis. The 3.23% rise in the Nifty and 2.40% hike in the Sensex, effectively hides the enthusiasm on the street which saw the BSE Small cap Index rising 6.15% during the week.

Around a 1000 stocks rose more than 10% and 246 rose more than 20% during the week, the BSE Small Cap rose more than 7.2% during the course of the week from the previous weekly closing. The percentages mentioned are for the best gains during the week and are not closing gains.

The gymnastics of the small cap stocks not withstanding, the Nifty was unable to close above the 2830 mark. Though the popular index did cross the 2830 mark on an intraday basis on Wednesday,it's subsequents rallies had lower tops. So both on the daily and the weekly charts the 2830 mark has stood like a rock fending off any attacks on its territory.

Meanwhile, let's not forget that our rally was essentially manufactured in the US. And the Dow too was under similar situation, unable to close above the 7500 mark. The rally, which was led by short covering in the banks, showed signd of sputtering.

To see full report: WEEKLY WATCH 210309