Weekly News letter and stocks to watch out for.

The Indian benchmark indices touched its five month high at the beginning of the week on the back of positive global cues which continued till mid- week.

On the last trading day of the truncated week, weak IIP numbers and a marginal decline in headline inflation numbers fuelled volatility ahead of the long weekend. Yet, the markets managed to end with a gain of close to 5 per cent.

Better than expected sales numbers for March 2009 led to buying interest at auto counters. Reliance Industrial Infrastructure shot up by as much as 157% during the week for no apparent reason, while Essar Oil Ltd rose by 65% as it is expected to close the Kenya Petroleum Refinery deal in Mombasa.

Markets worldwide appear to be harbouring a positive sentiment on the back of expectations that the economic stimulus packages undertaken worldwide will bear soon fruit.

Inflation is now at 30 years low.

Sectors I am bullish on.

• Automobile.
• Telecom.
• IT
• Textile

Short term stock ideas -

Satyam Computers - (47.15) Targets of 55.65 and 62 - SL of 44.10

LNT - (828.85) Targets of 845 and 875 - SL of 785

HDIL - (118.95) Targets of 126 and 132 - SL of 113

Unitech - (42.05) targets of 46 and 51 - SL of 36

NIFTY Weekly Technical Analysis.