GOOD MORNING!!!
INDICES STARTED THE DAY ON AN ABSOLUTELY FLAT NOTE SINCE LEADS FROM THE ASIAN MARKETS WERE MIXED AS INVESTORS REMAINED CAUTIOUS ON THE BACK OF UNENTHUSIASTIC CLOSING IN OVERNIGHT WALL STREET, WHERE FED OFFICIALS RAISED CONCERNS THAT HIGHER ENERGY PRICES COULD WEAKEN THE ECONOMY. THE INDICES AFTER TRADING ABOVE NEUTRAL LINE FOR AROUND AN HOUR DRIFTED IN TO THE RED AND SOON GOT DRAGGED TO INTRADAY LOW LEVELS. THEREAFTER THE INDICES MANAGED TO BOUNCE BACK INTO THE GREEN TERRAIN FOR A BRIEF PERIOD IN THE EARLY NOON SESSION AS HEFTY BUYING WAS WITNESSED IN REALTY AND CONSUMER DURABLE STOCKS. HOWEVER, THE RECOVERY PROVED TO BE SHORT LIVED AND IMMEDIATELY SLIPPED BACK INTO THE RED ONLY TO KEEP GYRATING IN A NARROW BAND THROUGH THE END OF TRADE. EVENTUALLY THE FRONTLINE INDICES CONSOLIDATED THEIR POSITIONS FOR YET ANOTHER DAY AND SETTLED AROUND WITH MODERATE LOSSES BELOW PSYCHOLOGICAL LEVELS. THOUGH MARKETS CLOSED NEGATIVE THE BREADTH REMAINED POSITIVE FOR THE MARKET.
TODAY NIFTY WOULD OPEN FLAT AND RANGE BOUND. IF NIFTY TRADES BELOW 5900 THEN LIKELY TO COME DOWN TO 5865 LEVELS AND BREAK BELOW THIS POINT WOULD SLIDE NIFTY DOWN TO 5825 LEVELS AND ANY BREAK AND CLOSE BELOW THIS POINT WOULD TAKE NIFTY DOWN TO 5744 LEVELS. ON THE FLIP SIDE IF NIFTY TRADES ABOVE 5936 THEN LIKELY TO MOVE UP TO 5975 AND ABOVE THIS POINT WOULD TAKE NIFTY TO 6000 WHERE IT WOULD FACE A TOUGH RESISTANCE. IF NIFTY CLOSES BELOW 5865 THEN ONE CAN CARRY SHORT POSITIONS TO THE NEXT DAY. STAY CAUTIOUS ON THE UPSIDE FOR TIME BEING AS THERE IS EVERY POSSIBILITY FOR THE MARKETS TO RETRACE AS THERE IS GOOD AMOUNT OF UPSIDE SEEN IN THE LAST 10 TRADING SESSIONS.
