MARKET VIEW FOR THIS WEEK
This week I thought that there would be profit booking but had not happened. Nifty traded above the trading range that I had given. I feel only the monsoon and Q1results factors had taken nifty to this level. Even though profit booking had happened in the middle of the week nifty closed strong and above the psychological level 4500. However trading had been in a tight range which shows market is expecting some news for a break out. Let’s see what happens next week.
MARKET VIEW FOR COME WEEK [27-07-09 – 31-07-09]
For next week there are two events to watch, one is RBI monetary policy and another is contract expiry. I feel market may take direction according to the events. As last week nifty closed above the resistant level 4551 we can expect market to be in positive territory for come week. In addition Q1 results continue so according to the results nifty may react. To my knowledge only above 4655 level we can expect nifty to have a breakout. To my mind I consider last week trade has a waiting move and come week there will be a break out and I am not sure about the direction either up or down. Would any event turns against to the market expectation, then nifty might take downside direction and in that case 4480 level to be watched. I could not see any strong fundamental reasons for the last week up move, only Q1 results are the driving force and monsoon too is not that much encouraging. As I am unable to guess the RBI action I could not give the trading range for the week. Let’s see what happens come week.
MARKET VIEW FOR MONDAY
As nifty closed above 4551 level on Friday we can expect a up move on Monday. In addition Q1 results to be watched. Technically still I could not see any strength in the price chart only on the event basis and FII’s had bought more than 1000 crores in two days, Thursday and Friday, I suggest buying. I caution visitors to stick with levels and trade.
NIFTY LEVEL
Technically above 4583 levels nifty may touch 4620 and only above 4655 levels we might see an up move. However only with strict stop loss at 4480 levels I suggest buying.
SUP: 4515, 4480, and 4440. RES: 4583, 4620, 4655. STOP LOSS: 4480.
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