GOOD MORNING!!!
WE HAVE WITNESSED YET ANOTHER DOOMS DAY. INDICES SLIPPED BELOW THE CLOSING PRICE IMMEDIATELY AFTER MAKING A TIMID START IN THE EARLY TRADE TRACKING THE SOMBER ASIAN COUNTERPARTS WHICH GOT DRAGGED AS SENTIMENTS WENT AWRY AMID RENEWED APPREHENSIONS OVER THE GLOBAL ECONOMIC RECOVERY PROSPECTS. THE FIRST DAY OF NEW F&O SERIES WITH HUGE CUTS, JUST ABOVE THE CRUCIAL SUPPORT LEVELS AS SOME SHORT COVERING IN THE DYING HOURS OF TRADE PULLED UP THE MARKETS A BIT. A BULK OF STOCKS, RIGHT FROM THE HEAVYWEIGHTS TO THE RELATIVELY SMALLER PEERS, WITNESSED THE BLOODBATH IN THE ABSENCE OF ANY LOCAL OR GLOBAL TRIGGERS THAT COULD LIFT SENTIMENTS. THE MARKET BREADTH WAS AWFULLY BAD COMPARED TO ANY OTHER DAY IN THE RECENT PAST. THE HIGH BETA, REAL ESTATE STOCKS ONCE AGAIN LANGUISHED AT THE BOTTOM OF THE SECTORAL LIST AFTER TUMBLING AROUND FIVE PERCENT, MAJORS LIKE HDIL AND DLF REMAINED THE BIGGEST LAGGARDS IN THE SPACE AFTER DRIFTING 10.06% AND 7.02% IN A SINGLE DAY. THE CONSUMER DURABLE COUNTER TOO WITNESSED HUGE PROFIT BOOKING AS IT SHAVED OFF 3.91% WITH THE LIKES OF BLUE STAR AND WHIRLPOOL SLIDING DEEPER INTO THE RED WITH 11.61% AND 5.73% LOSSES RESPECTIVELY.
TODAY, MARKETS WOULD OPEN NEGATIVE BUT MAY TAKE SUPPORT AT LOWER LEVELS AS SPECIFIED BELOW. IF NIFTY TRADES BELOW 5500 THEN LIKELY TO COME DOWN TO 5442 AND THEN TO 5407 LEVELS AND ANY BREAK BELOW THIS POINT WOULD TAKE NIFTY TO 5370 LEVELS WHERE NIFTY WOULD TAKE GREATER SUPPORT AND MAY LIKELY TO INCLINE FROM THERE ON BUT ANY BREAK AND CLOSE BELOW THIS LEVEL WOULD DRAG NIFTY TO 5200 LEVELS. THE BIGGEST MATTER OF CONCERN IN THE MARKET IS THE INDICES HAVE FALLEN LIKE A HOUSE OF CARDS IN THE LAST TWO SESSIONS OF TRADE AND THAT TOO ON HIGH VOLUMES. ON THE FLIP SIDE IF NIFTY TRADES ABOVE 5550 THEN LIKELY TO MOVE UP TO 5611 LEVELS AND BREAK ABOVE THIS LEVEL WOULD TAKE NIFTY WOULD BE ON THE POSITIVE TRACK, ONE SHOULD SEE UNLESS THERE IS SOME KIND OF SUPPORT TAKING AT THE BOTTOM IT IS ADVISED TO BE VERY CAUTIOUS IN THE MARKET AS THE INTENSITY OF SELL-OFF IN THE MARKET IS HUGE. TRY TO AVOID BUYING COMPLETELY AS LONG AS NIFTY TRADES ABOVE 5611.
STAY CAUTIOUS IN THE MARKET LIKELY TO COME DOWN TO 5200 AND BREAK BELOW THIS LEVEL WOULD TAKE NIFTY TO 4600 LEVELS SO STAY CAUTIOUS
