GOOD MORNING!!!
IT TURNED TO BE YET ANOTHER TUMULTUOUS DAY OF TRADE FOR THE INDIAN STOCK MARKETS WHICH GOT THRASHED FOR THE SIXTH STRAIGHT SESSION TO END. INDICES GOT OFF TO AN OPTIMISTIC OPENING AS LEADS FROM THE ASIAN MARKETS REMAINED SUPPORTIVE SINCE INVESTORS SHOWED RENEWED FERVOR AFTER REPORTS THAT AL QAEDA’S ELUSIVE LEADER OSAMA BIN LADEN IS DEAD AND HIS BODY WAS RECOVERED BY US AUTHORITIES. BUT THE FRONTLINE INDICES FAILED TO KEEP THEIR HEAD ABOVE THE WATER AND SLIPPED IN THE NEGATIVE TERRAIN IN JUST MATTER OF SECONDS AND CONTINUED TO BLEED THEREAFTER. THE BOURSES SHOWED SOME SIGNS OF RECOVERY IN THE LATE MORNING SESSION AMID A SLEW OF ECONOMIC LEADS BUT FAILED TO GAIN ANY KIND OF MOMENTUM AND DIVED YET AGAIN AND THIS TIME DEEPER INTO THE RED TERRITORY. VOLUMES WERE NOT OF GREAT CONCERN BUT THE MARKET BREADTH WAS WEAK.
TODAY MARKETS WOULD OPEN NEGATIVE AND CONTINUE TO BE UNDER PRESSURE UNTIL NIFTY CROSSES 5762 IS BROKEN ON THE UPSIDE FOR INTRADAY TERMS. IF NIFTY TRADES BELOW 5704 THEN LIKELY TO COME DOWN TO 5668 LEVELS AND ANY FUTHER BREACH BELOW THIS POINT WOULD TAKE NIFTY DOWN TO 5618 ANY CLOSE BELOW THIS LEVEL WOULD DIRCTLY TAKE SUPPORT AT 5578 LEVELS. ON THE FLIP SIDE IF NIFTY TRADES ABOVE 5762 THEN LIKELY TO MOVE UPTO 5787 AND THEN TO 5805 LEVELS AND ANY CLOSE ABOVE 5805 LEVELS WOULD ELEVATE NIFTY TO FURTHER UPSIDE. SINCE THERE IS RBI POLICY REVIEW TODAY THERE MAY BE VERY HIGH VOLATILITY OF TRADES TO TAKE PLACE SO AVOID TAKING HEAVY POSITIONS AND STICK WITH LITTLE WIDER STOPLOSS AND CONTINUE TO HOLD THE POSITION AND ONCE THE STOPLOSS IS HIT TRY TO REVERSE THE TRADE AND CONTINUE TO HOLD IF NIFTY TRADES POSITIVE AT THE END OF THE DAY THEN LIKELY TO TAKE-OFF FROM THAT LEVELS.
TODAY MARKETS WOULD OPEN NEGATIVE AND CONTINUE TO BE UNDER PRESSURE UNTIL NIFTY CROSSES 5762 IS BROKEN ON THE UPSIDE FOR INTRADAY TERMS. IF NIFTY TRADES BELOW 5704 THEN LIKELY TO COME DOWN TO 5668 LEVELS AND ANY FUTHER BREACH BELOW THIS POINT WOULD TAKE NIFTY DOWN TO 5618 ANY CLOSE BELOW THIS LEVEL WOULD DIRCTLY TAKE SUPPORT AT 5578 LEVELS. ON THE FLIP SIDE IF NIFTY TRADES ABOVE 5762 THEN LIKELY TO MOVE UPTO 5787 AND THEN TO 5805 LEVELS AND ANY CLOSE ABOVE 5805 LEVELS WOULD ELEVATE NIFTY TO FURTHER UPSIDE. SINCE THERE IS RBI POLICY REVIEW TODAY THERE MAY BE VERY HIGH VOLATILITY OF TRADES TO TAKE PLACE SO AVOID TAKING HEAVY POSITIONS AND STICK WITH LITTLE WIDER STOPLOSS AND CONTINUE TO HOLD THE POSITION AND ONCE THE STOPLOSS IS HIT TRY TO REVERSE THE TRADE AND CONTINUE TO HOLD IF NIFTY TRADES POSITIVE AT THE END OF THE DAY THEN LIKELY TO TAKE-OFF FROM THAT LEVELS.
