Strong Global cues led today rally again proved that 4720 is strong support now. 10 months bearish moves and after that Indian markets are range bound between 4720-5229 for the last 34 sessions. Following lines have been told many times for the character of range bound markets since 16.09-2011 and repeating again:-
Markets always require completion consolidation for any rally after such big fall. Big rally started in March 2009 after lower level 5 monthe range bound consolidations. As range bound markets signals are emerging between 4720-5229 therefore this range break out will decide that 10 months long long term correction is over or not.Investment decisions,long term positions and Portfolio management should be done according to break out of mentioned range.
Good up moves seen above 4929 and Whole day straight rally with mixed signals between 4955-4980 in last 2 hours therefore precautionary this range will be watched tomorrow for next moves confirmations otherwise resistances above 5000 are expected to test in the coming sessions.
Markets always require completion consolidation for any rally after such big fall. Big rally started in March 2009 after lower level 5 monthe range bound consolidations. As range bound markets signals are emerging between 4720-5229 therefore this range break out will decide that 10 months long long term correction is over or not.Investment decisions,long term positions and Portfolio management should be done according to break out of mentioned range.
Good up moves seen above 4929 and Whole day straight rally with mixed signals between 4955-4980 in last 2 hours therefore precautionary this range will be watched tomorrow for next moves confirmations otherwise resistances above 5000 are expected to test in the coming sessions.