Posted By : Kishore B.S
Today was another lacklustre day on the bourses again with the Indices hovering between the 4946 to 4966 levels for the entire trading session. The markets opened today with a huge GAP down almost near the days low and made some attempts to recover the losses but failed continuously throughout the session for today.
The depreciation of the Re today again after yesterdays depreciation by 1% to touch the previous lows of 56.2 jittered the sentiments of the traders and investors alike that we may be faltering on the economy and not much positive newsflow could affect the markets now.
Given the move today it was noteworthy to observe and note that we moved in a narrow range supported largely on dips near the Fibonacci support level of 4946 for most of the day which can be taken as a indicative measure that the expiry of the current series could be either near the 4900 or the 5000 mark.
The momentum of today also brought to fore the volatility witnessed during the last month expiry which was too narrow closing near the lows of the month, and given the facts and figures for the current series the lows remain 4800 for the current series.
The Asian indices mostly opened on the Negative note since the Chinese easing was not upto the expected levels to bolster the drifting Chinese Manufacturing and Economy. Also the European markets added to further woes with their largely Negative opening influenced by fears of faltering Spain banks and no cues about further Easing awaited by the Investors and traders at large.
Tomorrow being just near the Expiry of trading series lot of action and volatility could be expected with the direction for the Expiry on Thursday as to whether it could be 4900 or below or retrace to the 5000 plus levels.
(Inputs Mr. Hemanth .V, Faculty TA, Stock Market Institute, Bangalore)