As i write this blog just after the INFY results for the current Quarter which has been phenomenal and above the street expectations, the market is abuzz with the speculation that the Indices would thread further very high from current levels. However the charts have otherwise to indicate.
The charts are hinting at the fact that the Indices are likely to remain volatile unlike the earlier years, when the Indices would fluctuate highly on the positive side. But the current year would remain largely range bound since most of the Banking stocks are in the overbought zone, and the IT pack itself is lacking the conviction of further rally.
With this forethough in mind it would be best in the interest of the participants to remain stock specific with the Indices have little chances of higher upside unless the breakout of the 6028 is confirmed or buy at the 5900 levels which is the pivotal support zone.
Inputs: Mr. Hemanth.V, Faculty TA, Stock Market Institute – Bangalore)