Close: Another high on momentum.. !

Market started the week with a firm and continued the rally from where it ended last week. Sensex consolidated the gains made in the mid session and touched an all-time high, which then traded ranged through out the day. Global cues helped the Indices to trade in positive territory. There was some profit booking was seen at higher levels in energy and telecom heavyweights and the indices slipped a bit. Buying was seen in Small and Mid caps. Energy, FMCG, Software, Telecom and aluminium sectors were in favor of the investors. Asian indices ended firm while Europe traded in Green.

Sensex ended up by 73 points at 14129.64. It was helped up by gains in TISCO (485.7,+4 percent), HDFC Bk (1091.75,+3 percent), Ranbaxy (430.5,+2 percent), L & T (1499.75,+2 percent) and Guj Ambuja (143.6,+2 percent). Restricting the gains were Maruti (905.85,-2 percent), BHEL (2221.6499,-2 percent), Hero Honda (733.6,-1 percent), ICICI Bank (957.7,-1 percent) and ONGC (916.3,-1 percent).

Telecom sector traded mixed. According to a leading business daily India's top international telecoms provider Videsh Sanchar Nigam Ltd is in talks to buy Sri Lankan private telecom operator Suntel for an undisclosed sum. VSNL Global, the international arm, recently won licenses to provide international long distance and Internet services in Sri Lanka, and wanted to enter the outbound voice traffic, data and enterprise business. Suntel is a joint venture backed by Sri Lanka's National Development Bank, Sweden's Overseas Telecom AB, Metrocorp Pvt Ltd, Hong Kong's Townsend Ltd and International Finance Corp, its Web site showed. VSNL, which earns three-quarters of its revenue abroad, holds 26 % in South Africa's second national fixed phone operator Neotel, and had also acquired Teleglobe International Holdings Ltd and Tyco International's global undersea fibre optic cable network. Which will help them capture Srilankan telecom market and it plans to leverage its success in this Srilankan market. The stock ended up around (7%) along with its peers TATA Tele (4.11%), RCOM (0.31%) and Bharti (0.35%).

Energy stocks traded mixed with the pack of gainers being led by Cairn India. According to a leading business daily, ONGC and Cairn India reached an agreement to transport crude oil from Barmer district of Rajasthan to Gujarat. The pipeline investment that is expected to be US$ 340 m will be shared in the ratio 70:30. The pipeline whose completion time is expected to be around 12 months will first connect facility in Viramgam. Smaller pipeline connecting to the coast, or Reliance and Essar with refineries in Jamnagar will also be built. The companies are in talks with various refiners to sell the Rajasthan crude at a slight discount to the Brent crude. This will help them diversify their customer base thus reducing the dependence on a single large customer. This was a big point of contention and this seems to have been resolved. The stock ended up 4%, with its peers Petronet LNG (3%) and Rel petro (1.34%).

TCS has delivered good results on the face of it. So this should help the sentiment for tomorrow. However a good part of that has already been discounted so big gains are unlikely to be sustained and some profit taking would be the order of the day. Later in the week we have the Japanese central bank which will take a call on the interest rates. We think this could be a dampener so its better to play cautious.

Technically Speaking: Market continues to trend up. Volumes were pretty good at Rs.4677 cr. Advances outnumbered the Declines as there were 1749 advances against 913 declines. Sensex touched an intra day high of 14202 and low of 14103. To maintain the Bull Run, Market has to sustain 14070 levels if it does not then we could see 13800 levels.