Posted By : Kishore B.S
Last week was an amazing week where the Indices not only moved up though the week being short due to holiday on account of Gurunanak Jayanthi, but reached nearly the first target level of the 5890 levels.
Though much had been written or told about the direction of the Indices and the markets alike yet markets being its own direction seeker did what was best that could be done. All the negative newsflow was factored in with regard to the Economy, growth, Inflation, Interest, Govt and still the Indices inched up.
Now that the Indices have closed on the weekend on a positive note above the 5800 levels for the first time in the last 18 months, this itself is an achievement and we could tread further on, but that would entirely depend on this week behaviour of the Indices as to whether they would hold on to the fort of the 5800 levels or roll down.
If that is broken down then would slide further down to the 5700 levels which is the first pivotal support zone, and if that is held on then still there are chances of the Indices moving up further to the 6000 mark in the days to come. If the 5800 levels is retested and then the Indices bounce back then the chances of the Indices esp. Nifty moving above the 6000 are more.
And at this levels the stocks to look out would be those which have not moved in tandem with the Indices during the last few sessions though being fundamentally good like the power, infra, PSUs and some Realty stocks which could guide the upmove.
On the flip side if the 5700 levels is broken during the course of the week, then we might witness the 5500 levels again …..
Inputs: Mr. Hemanth.V, Faculty TA, Stock Market Institute – Bangalore)