Market in a downward spiral

The market plunged in opening trade,the reasons for which are stated as weakness in Asian markets and scared by data showing sustained FII-sales in the past few days.At 11.45 pm,the Nifty is at 3610.10 which is almost 118 points less than fridays closing.
The sensex is at 12492 ie 395 points down.

The other factors which analysts think have triggered the fall are lack of inflows at higher levels, the surprise CRR-hike, high valuations, rising inflation and rising interest rates, fears of an earnings slowdown in the coming quarters, defeat of the Congress in Uttarakhand and Punjab, weak global markets and profit-taking at higher levels.

Trading has been has been extended by 45 minutes till 16:15 IST from today due to sun outage. The extended trading hours are till 19 March 2007. Trading on NSE will be stopped from 11:45 IST to 12:25 IST daily during the same period.

We feel that the recent fall in the markets is a good oppurtunity for long term investors to enter into some stocks. We recommend Dabur,Reliance communications,Gujarat ambuja cements as some of the stocks which have consolidated and investors can buy these stocks.