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ITC (Rs 836): As anticipated, the stock ruled firm and managed to move towards the target zone of Rs 850-860 that was mentioned last week. After touching a high of Rs 861, the stock turned weak on Tuesday. The near-term outlook appears weak. A drop to the Rs 785-790 range appears likely. Only a close above Rs 870 would impart bullishness. Long-term holders could, however, remain invested as the overall trend appears bullish. Short-term traders having long positions could tighten stops and look for opportunities to book profit on price upmoves.

HLL (Rs 194): It managed to hold above the crucial bearish trigger price level of Rs 170. It also made a move towards the bullish trigger price of Rs 196 on Friday. The outlook continues to be bullish. A drop below Rs 175 would blunt this while a close above Rs 200 would have bullish implications. Existing holders could remain invested with a stop loss at Rs 170. A drop below Rs 170 would warrant dilution.

Infosys (Rs 4,198): The stock ruled firm in line with last week's expectations. The near-term trend is bullish. As observed last week, a move towards the next resistance level at the 4,450-4,500 range is likely. Only a close below Rs 3,750 would negate the positive outlook. Existing holders could remain invested with a stop loss at Rs 3,700. A move past Rs 4,450 could be used to pare exposures and book profits for a portion of the current holding.

Satyam Computer (Rs 253): The share price managed to move past the target price of Rs 245-250 that was mentioned last week. After touching a high of Rs 252.5 on Thursday, the scrip turned slightly weak on Friday. The near-term trend in Satyam is bullish. Only a close below Rs 225 would negate the positive outlook and could push the stock into a narrow trading range. Existing holders could remain invested with a stop loss at Rs 220. A trailing stop loss may be employed to protect unrealised gains.

Reliance Ind (Rs 420): The scrip moved in sync with last week's expectations. After touching the target zone of Rs 420-425, the stock turned weak on Tuesday. The outlook continues to remain bullish. The price patterns do not indicate the reversal of this trend. Existing holders could remain invested with a stop loss at Rs 400. A trailing stop loss could be used if the stock continues its upward journey.

Recommendation follow-up

Tata Telecom (Rs 146): Contrary to expectations, a weak trend prevailed last week. This, however, has not negated the earlier bullish outlook. Last week's view that the scrip could move to the Rs 200 mark is still valid. Existing holders could remain invested with a stop loss at Rs 121 while long-term investors may consider fresh buying. A move towards the Rs 210-215 range could be used to take profits.

Century Textiles (Rs 114): The stock managed to move above the bullish trigger price but failed to close above this level. It turned weak thereafter and closed at Rs 112 level for the week. The overall outlook continues to remain bullish and the view that the stock could seek Rs 150-155 range is still valid.

However, as mentioned last week, there is still a risk of the stock dropping to lower levels of Rs 95-100. Existing holders could remain invested. Risk-averse investors could have a stop loss for a portion of their holdings at Rs 107. A close above Rs 126 could be used to re-enter if the stop loss gets triggered.

Focus of the week

ABB (Rs 478): The long-term outlook for the stock is bullish. The stock is in a sideways corrective phase.

A move towards the Rs 575-600 range appears to be on the cards. At the moment, only a drop below Rs 495 would negate the bullish outlook. Existing holders could remain invested with a stop loss at Rs 495.

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