GOOD MORNING!!!
MARKETS OPENED FIRM COULDN’T HOLD THE STRENGTH AS CHINESE STOCKS FELL ON RATE HIKE WORRIES. IT HIT INTRADAY LOWS AND THEN TRIMMED LOSSES TO CERTAIN EXTENT, MARKETS LOST GROUND AFTER RECOUPING ALMOST ALL THE EARLIER LOSSES OF THE DAY AND EXTENDED LOSSES IN THE LATE TRADE AND RECORDED FRESH INTRADAY LOWS AT THE FAG END OF THE TRADING SESSION. INTRADAY VOLATILITY WAS HIGH AS TRADERS ROLLED OVER POSITIONS IN THE DERIVATIVES SEGMENT FROM THE NEAR-MONTH NOVEMBER 2010 SERIES TO DECEMBER 2010 AHEAD OF THE EXPIRY OF THE NOVEMBER 2010 CONTRACTS ON THURSDAY, 25 NOVEMBER 2010. THE MARKET BREADTH WAS WEAK, BANKING, CONSUMER DURABLES, IT, METAL AND REALTY STOCK FELL. THERE ARE LOT OF PESSIMISTIC VIEW BY INVESTORS ON THE MARKETS AND NOT WILLING TO HOLD LOT OF POSITIONS IN THE STOCKS ON WEAK EUROPE SENTIMENT. THE MARKET BREADTH, INDICATING THE HEALTH OF THE MARKET, WAS WEAK, IN CONTRAST WITH A POSITIVE BREADTH IN EARLY TRADE.
TODAY MARKETS LOOK BROADLY RANGE BOUND, WE MAY WITNESS LOT OF VOLATILITY AHEAD OF EXPIRY THIS WEEK ONE NEEDS TO STAY CAUTIOUS AS MARKETS MAY BE VIOLENTLY VOLATILE. IF NIFTY TRADES BELOW 5860 THEN LIKELY TO MAKE ITS DOWNWARD JOURNEY TO 5840 LEVELS AND BREAK BELOW THIS LEVEL WOULD TAKE IT TO 5800 AND THEN TO 5750, NIFTY HAS A BREACHED MAJOR SUPPORTS ON THE LAST TRADING DAY WHICH IS NEGATIVE FOR THE MARKETS. ON THE POSITIVE SIDE IF NIFTY TRADES ABOVE 5925 ONLY THEN ONE CAN GO SHORT ON INTRADAY TERMS 5960 AND THEN TO 5980 ANY CLOSE ABOVE 5980 IS CONSIDERED TO BE NIFTY HAS TAKEN SUPPORT IN THE MARKET AND WE CAN HEAD TOWARDS LITTLE HIGHER ZONES BUT ONE IS ADVISED TO STAY AWAY FROM LONGS AS MARKETS ARE STILL UNDER PRESSURE.
NO RECOS FOR THE DAY
