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.
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.
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