Sunday, July 14, 2013

Markets at Cross-Roads

The markets gave a breakout last week. It closed up by 2.4 pc over the previous week. So is the worse over for the markets? Let us try and explore this week.

1. The markets if they were correcting the down move from 6229 - 5566, then a 3 legged move was on.

Leg A 5566-5904
Leg B 5904 - 5760
Leg C 5760 or 5802 and ongoing.

If this is just a corrective up move then max, it will top out around 6100-6115. Ay move above this will lead to breakouts and new highs.

2. The FIIs have stopped their large sales and have small sale figures or net buys. If this continues, then we can expect new highs.

3. The Result season will be on next week with TCS and the Private Banks Results coming in.

4. Supports come in at 5935 - 5951. Also, 5840 and 5790 are other supports.

5. The Fed has given indications that the liquidity will continue for the next 6 months. This may lead the rally to continue.

The Strategy is to buy if markets sustains above 6100. The wait and watch strategy continues till we get clear indications from the markets.

3 comments:

  1. Nishit I have been following blog for quite some time . Its amazing how accurately you are giving the levels for entry and exit of nifty
    One of best positional nifty blog
    Thanks for all your hard work
    Dr praveen agrawal

    ReplyDelete
  2. Thanks Praveen for your kind words. They are really very encouraging.

    ReplyDelete
  3. Hi Nishit i am very much happy to see your blog with such an informative and helpful post..
    Have to share this to ma friends..surely i ll do it..Thanks for sharing..

    Ads

    ReplyDelete