GOOD MORNING!!!
INDICES GOT OFF TO A POSITIVE START AS INVESTORS PILED UP POSITIONS TRACKING BUOYANT LEADS FROM AMERICAN OVERNIGHT MARKETS WHICH WENT FOR A SMART RALLY ON THE BACK OF CONFIDENT CORPORATE EARNINGS AND SIGNS OF A STRONGER JOB MARKET. FRONT END STOCKS INITIALLY TRADED IN A NARROW RANGE IN THE FIRST HALF OF THE SESSION, IT AND CAPITAL GOODS WERE VERY PROMINENT IN THE GAINERS LIST. HOWEVER, BUYING CAUGHT UP IN THE SECOND HALF OF THE SESSION WITH BANKING AND SOFTWARE COMPANIES OUT PERFORMING WHICH EVENTUALLY TOOK BEYOND PSYCHOLOGICAL LEVELS IN BOTH THE INDICES. BREADTH OF THE MARKETS WAS EXTREMELY BULLISH AND VOLUMES IN THE MARKETS WERE VERY GOOD.
TODAY MARKETS LOOK FLAT AND RANGE BOUND TRACKING ASIAN INDICES WHICH ARE TRADING IN NEGATIVE TERRITORY. IF NIFTY TRADES ABOVE 5600 THEN LIKELY TO MAKE AN UPMOVE TO 5718 AND THEN TO 5750 AND TRADE ABOVE THIS LEVEL WOULD TAKE NIFTY TO 5789 LEVELS, ONE HAS TO BE EXTREMELY CAREFUL FROM 5750 LEVELS AS THERE IS EVERY CHANCE OF MARKET CORRECTING FROM THERE ON. ON THE FLIP SIDE IF NIFTY TRADES BELOW 5675 THEN LIKELY TO COME DOWN TO 5642 LEVELS AND BREACH BELOW THIS POINT WOULD TAKE NIFTY TO 5615 LEVELS AND ANY CLOSE BELOW 5600 WOULD DRAG NIFTY TO 5570 LEVELS. STAY CAUTIOUS IN THE MARKETS.
