The markets made the expected yesterday after the long period of consolidation, by breaking out of the trading range of 5880-5930 finally.
This breakout ahead of the Budget and after long period of consolidation is technically important since that indicates that the consolidation phase of the markets is over and now the hurdle to watch out would be the 5966 which if crossed successfully then the next target would be 5990-6030 easily.
Given the charts and technical outlook this 6030 mark now seems fairly possible if the PSU, banking and metal stocks give some kind of relief rally.
All said and done, the markets are better known to give the direction and as stated the trend for the time being is up and it would be worthwhile to buy with the 5860 levels as the stoploss and the target level of the 6030 ……
(Inputs: Mr. Hemanth.V, Faculty TA, Stock Market Institute – Bangalore)