Posted By : Kishore B.S
Hi Friends !!!
The markets opened with a gap down yesterday influenced by the Negative Asian markets and global fears near the support zone of 4860 and remained largely negative and below that mark.
Given the sentiments which are largely negative and also the faltering rupee to all time lows against the dollar has fuelled more negativity amongst the investors and traders alike that the Economic strength is likely to be faltered due to the burgeoning Trade and Fiscal deficit which would get triggered due to the Rupee depreciation.
However the charts are pointing out that the downfall is likely to face some traction and we could recover to some extent from current levels since the 4770-4860 levels is a good support zone which if failed could lead to more drastic fall to 4600 levels the lows witnessed during the December season.
For the time being though the negative sentiments are prevalent yet a fall below the 4760-4700 levels does not seem to happen and buying at current levels would be advisable.
(Inputs: Mr. Hemanth .V, Faculty TA – Stock Market Institute, Bangalore)