GOOD MORNING!!!
MARKETS BEGAN ON A VERY CAUTIOUS NOTE TRACKING SLUGGISH CUES FROM THE ASIAN PEERS BACKED BY WEAK SIGNS FROM OVERNIGHT US MARKETS, WHICH CLOSED LOWER ON WORSE THAN EXPECTED RETAIL SALES REPORT THAT ONCE AGAIN RAISED THE CONCERN OF SLOW ECONOMIC RECOVERY. MARKETS TRADED ON A VERY TIGHT BAND THROUGH THE DAY’S TRADE MARKETS SEEMS LIKE THEY ARE IN A PHASE OF CONSOLIDATION MODE AFTER THE THREE DAYS OF PULLBACK RALLY. FRONTEND STOCKS HAVE MOVED UP TO RECORD INTRADAY HIGHS IN THE LATE HOURS BUT COULDN’T MANAGE TO HOLD ITS GAINS UNTIL THE CLOSE OF THE MARKETS AND DRIFTED TO SETTLE WITH PARTIAL GAINS BUT MANAGED TO EXTEND THE WINNING STREAK FOR THE STRAIGHT FOURTH CONSECUTIVE DAY. WITH THE EARNINGS SEASON ALMOST COMING TO AN END, THE BOURSES ARE NOW EXPECTED TO TURN THEIR FOCUS ON THE UNION BUDGET WHICH IS EXPECTED IN LESS THAN A FORTNIGHT; HOWEVER PEOPLE AT LARGE REMAIN APPREHENSIVE THAT THE BUDGET MAY NOT BE A MARKET MOVING EVENT. ALL IN ALL MARKETS WERE FLAT AT THE END.
TODAY MARKETS WOULD BE RANGE BOUND IF NIFTY TRADES ABOVE 5510 THEN LIKELY TO MOVE UP TO 5540 AND THEN TO 5560 LEVELS AND MAY FACE TOUGH RESISTANCE AROUND THESE LEVELS IN THE NIFTY AND MARKETS LIKELY TO TAKE A U-TURN FROM THESE LEVELS. ON THE FLIP SIDE IF NIFTY TRADES BELOW 5470 THEN LIKELY TO COME DOWN TO 5450 AND THEN TO 5400 ANY BREAK BELOW 5400 WOULD TAKE NIFTY TO ALMOST PREVIOUS LOWS I.E., 5200 LEVELS IN A VERY SHORT TIME. STAY CAUTIOUS IN THE MARKETS AS WE MAY SEE GREAT VOLATILITY GOING FORWARD. AT THE OPENING ONE CAN SHORT NIFTY WITH A STOPLOSS OF 5511 AS NIFTY WOULDN’T MOVE UP AS LONG AS NIFTY TRADES ABOVE 5511. STRENGTH ON THE POSITIVE SIDE OF THE MARKETS HAVE REDUCED TO A LOT OF EFFECT SO ONE IS ADVISED TO STAY CAUTIOUS ON THE LONGS.
TODAY MARKETS WOULD BE RANGE BOUND IF NIFTY TRADES ABOVE 5510 THEN LIKELY TO MOVE UP TO 5540 AND THEN TO 5560 LEVELS AND MAY FACE TOUGH RESISTANCE AROUND THESE LEVELS IN THE NIFTY AND MARKETS LIKELY TO TAKE A U-TURN FROM THESE LEVELS. ON THE FLIP SIDE IF NIFTY TRADES BELOW 5470 THEN LIKELY TO COME DOWN TO 5450 AND THEN TO 5400 ANY BREAK BELOW 5400 WOULD TAKE NIFTY TO ALMOST PREVIOUS LOWS I.E., 5200 LEVELS IN A VERY SHORT TIME. STAY CAUTIOUS IN THE MARKETS AS WE MAY SEE GREAT VOLATILITY GOING FORWARD. AT THE OPENING ONE CAN SHORT NIFTY WITH A STOPLOSS OF 5511 AS NIFTY WOULDN’T MOVE UP AS LONG AS NIFTY TRADES ABOVE 5511. STRENGTH ON THE POSITIVE SIDE OF THE MARKETS HAVE REDUCED TO A LOT OF EFFECT SO ONE IS ADVISED TO STAY CAUTIOUS ON THE LONGS.
