Indices opened in green, but immediately slided in the negative territory. and remor ained there for the rest of the day. Nifty closed below 4300 at 4291 down by 99.85 points or 2.27%. Nifty made a low of 4267, and a high of 4391.50. Sensex lost 291 points to close at 14493. Real Estate and developers shares have been shuttered in todays trading session. The companies which are lined up for the fund raising, and whose shares have seen pheonomenal rally in the past weeks were the shares which triggered the indices fall by around 2.50%. In my last blog i had mentioned that the indices have closed below their 20DMA. But acc to me, the Indices should go up, but a huge selling triggerd the Indices to close down. Nifty support levels were aat 4315-4325, but have closed below. Nifty will find support at 4270-4240-4205 in extreme case.
I had given call on TCS to buy above 397 above 405 wil see some fast moves. But that did not triggered and the stock closed at 389.70.Infosys looks week.

==>> Indices closes below 20DMA, but will continue its rally.

Actually there is nothing much to say about the markets today. As the market ended flat. Volumes were also pretty low in the markets. Markets men remained on the side. Markets will continue its northward movement. Markets opened up strong, remained in the positive zone for most of the day, but slided to almost flat in the closing session. Sensex at a point was up almost 190 points, but closed merely 21 points up. Nifty as mentioned earlier that it will face resistance at 4448 levels. Nifty made a high of 4438 before closing at 4387. Both the Indices faced resistance at 20DMA.
Many companies have lined up for raising up money from the Markets. From where are all these money coming from. Real Estate companies are the major borrowers via FCCB's or QIP's or some other way's. I really dont understand how much money will the borrow. I am sure that the Debt-Equity ratio of the comopanies might have shot up like anything. Will there be any change in the fundamentals??? Next week is the BIG day for the India, as the New UPA Govt will be coming out with the Budget, so these companies are lined up to borrow money before the BIG day arrives. If the Budget is not as per the expectations, then the markets may come down, and the stock prices may fall. So this Week all the companies are lined up..... Watch out for the stocks that have raised money. Kindly do not make any position on those stocks......

==>> Gap Theory

Firstly, I would like to thank the Publisher of ‘Informed Investor’ to give me a chance to write for their weekly edition.

For the week ended 26th June 2009, FII’s remained Net seller in the cash markets. According to the provisional figure provided on the site FII’s sold stocks worth Rs 3200 CR. But on the other hand DII’s were Net buyers for Rs2600 CR till 25th June 2009. As the last week for the F&O contract expiry, Volumes had picked up in the market.
Roll overs in the F&O were pretty good. Rolls in the stocks were better than the rolls in the Nifty future. Nifty registered its lowest ever rolls at just 55%. Sectors like Sugar, Auto & Shipping were the top performer in the rolls.

Technically speaking. As per the Fibonacci Theory, if we take the levels of Nifty from its all time high to its low that was made in the month of Oct 2008, i.e. 6289.80 and 2252.75, the 50% retracement level comes nearly about 4315-4325 levels. This week Nifty tried its luck for 3 times, to close above the same, but could not conquer the same. Nifty fell down to make of low of 4143 for the week. Finally Nifty closed above 4315-4325 levels on Friday at 4375 up by133.65 points or 3.15%. Nifty made a high of 4383 and low of 4143 levels. Nifty above 4405 will touch 4448-4529. The gap, that has been created in the Nifty and the Sensex chart after the rally that has been witnessed when the UPA govt came in the power, are not yet filled up, so that still remains the concern for the market. But as the Nifty has crossed and closed above 4325 levels, the rally will continue for a while. In the weekly chart a ‘Hammer’ Pattern has been made at the lower levels. That may confirm the upside move for the Nifty. Sensex Retracement levels were is 14525 levels. Sensex closed above the same at 14764.64 up by 419 points or 2.92%. Since the 1st week of June when the Nifty was at 4550 levels this writer had continuously warned the readers in the personal blog (www.technicalsvishaldangaich.blogspot.com) that, the markets will soon witness some correction. Since then, Nifty from the high of 4688 dropped down to make a low of 4143 levels.

Finally the Rains are there. Rains too are a major concern for the Indian markets. Till now rainfalls in the month of June are below normal by 52%. The Indian Meteorological Department has predicted that the Rainfall this year will be below normal. Some of the states have been worst hit by around 70-80% deficit in rainfall. If India does not get sufficient rains in the year, it may cause a serious issue. The State which produces Soya bean, Cotton, sugarcane, corn & other pulses, will be worst hit. The prices may sky rocket in the near future. But as the rains have started, in some state, that might definitely give some relief.

Stocks to watch are

BUY Power grid cmp 110 tgt 116-125 SL 104 SL 104.5
BUY ADLABS cmp 366 tgt 374-386-390 SL 359
Hero Honda looks week, at close below 1405.
BUY REL Capital cmp 937 tgt 972-1015 SL 949
BUY TCS above 396 tgt 405- 434 SL 389

==>> Niftys Roller coaster ride

Indian markets opened up strong, Remained in the positive zone for most of the day, but had to bear the heat on the last day of the F&O expiry. Indices slipped down from its early gains to the negative zone. Indices ended its show by closing down by nearly a percent. Nifty once again closed down below 4250 levels. Major sell off in the frontline stocks spoiled the party. There was major selling in the counters like NTPC, ONGC by many Index based funds. From Friday 26th June 2009, NSE Nifty will be using Free Float methodology which will bring the weightage of these stocks. ONGC and NTPC witnessed continous selling pressure since the mkts started. In the last last Half hour, there was huge buying in the ONGC that pulled back the Sensex which had lost around 160 points in the end. Nifty has a good support at 4200 levels. Acc. to me for the time being the Nifty should not go below the same. Nifty should close above 4315-4325 levels for the upward move. If tom also Nifty closes below then Nifty may come doen to 4169 levels.
Turnover for the day was Rs 96000 Cr just from the F&O segment, NSE Cash segment contributed around Rs23500 CR, and the remaining Rs 4600 Cr came from BSE segment. US markets closed flat, Asian markets gained nearly 2- 2.5%.

==>> Markets closes flat

Markets had a very volatile session throught out the day. Index swing from the low of 300 points to almost positive zone and then again back to the negative teritorry. Indices ended the session on a flat note. In the early trading session there was a gap up opening on the back of week US markets. Sensex was down nearly 300 points to make an intraday low of 14394.19, but closed higher at 14016 just down by 2 points. Short covering in the closing session lead the markets to cover all its lost glory. Index zoomed to the positive zone. Buying in the frontline stocks lead the Nifty and Sensex to close almost flat. Nifty made a low of 4143, closed at 4247 down by 11.75 points or 0.28%. Nifty closed just below 4250.
In the early trade Nifty made a low of 4143. In my last blog I had mentioned that the Nifty below 4251 can fall down to 4205 and the close below that the Nifty can test 4189-4159 levels also. Nifty took good support at 4164 levels and then pulled back. It never turned its back to the point. Markets continued its rally. We had a pretty volatile session today. But RIL counter saw good buying. In the Daily chart of Nifty, a "Doji" pattern have been created, that may prove that the markets may turn positive. In the Past also we have seen that whenever a Doji pattern is created at the lower level of the markets, or after some correction, we might see some pull back. As Indian markets too depend on the Global markets too, and if they turn out to be positive then the Nifty may be pulled back to 4350 levels. RSI is also at its 50 value. This may also turn to be positive sign..
Some of the Buy calls which have been given in the open markets were...
BTST
BUY Relcapital at 884 tgt 898-918.
BUY Adlabs at 35.5 tgt 361-374.
([15:13] vishal_retail: If the Nifty closes flat then it will be the very good. Nifty will make a Hammer like pattern, that too at the lower levels. If the Global mkts endeds flat also, Indian mkts can outperform the other mkts. BTST Nifty futures)
Fresh built up seen in Nifty, ACC, JP Ass, Ibreal, Unitech, Relcapital, SBIN, Ttata Steel, Idea, Rcom. Long built up seen RIL, RILinfra, ONGC, NTPC, T Power, LITL, IVRCL, HDFC. Short covering in DLF, LT, Punj, Suzlon, HDFCBank, ICici, Jindal steel, sesa goa, MCdowel & titan.

==>> Nifty closes below 4250

Markets today opened up with strong upside movement. Sensex was up almost 150 points in the opening sesssion, but continued its volatility. In the last 3-4 trading session we had seen selling pressure aroung mid session. The markets witnessed the same. In the mid session, Indices lost all its glory and tanked nearly 248 points. Sensex fell down from its intra day high of 14668 to make a low of 14273, but closed at 14326. Nifty made a intraday high of 4352, but closed down at 4223.95 down by 78 points or 1.82%. Sensex was down by 195.67 points or 1.35%. Volumes in the markets were pretty low. Major selling emerged in the frontline stocks liek RIL, Bharti, TCS, SBI, ONGC. European markets too opened week. Commodities fell sharply in the LME. That too added the spark in the sinking market. In the closing session, traders enjoied that the roller coster ride in the markets. Sensex zoomed up to just 60 points negative from -ve 175 points and again back, to make a new low of 250 points. Nifty could not sustain above the retracement level marked with the Yellow lines. Nifty has closed below 4251 levels, so 4205 is likely to be tested tommorrow. Below that 4189-4159 can be tested. Till the time Nifty is not closing above 4315-4325, buying should be avoided. There has been Short built up seen in the Mini Nifty lot. Heavy shorts created with gud volumes in Century, Bharat Forg, DivisLad. Fresh long built seen in IFCI, EVeron, Essar Oil, MRPL.

==>> Nifty good support at 4205 levels

Its been a very volatile day for the Indian markets. Markets rebounded sharply, after witnessing heavy selling in the last two days. Indices opened up strong, remained in the positive zone for most of the day. Sensex was up almost 180 points, but fell down to zero level after mid session. In the last 2-3 trading session we have seen some heavy selling pressure after mid session. Sensex was down by 60 points, but it was again the 2.30 factor that pulled the markets. Short covering in the markets helped Indian brousers regained its lost shine. Sensex zoomed nearly 300 points and finally settled at 14521.89 up 256 points or 1.8%. Nifty closed at 4313.60 up by 62.20 points or 1.46% after making a high of 4326.20.

Nifty made a low of 4206 and a high of 4326.20. In my last blog I have clearly given the support & the resistance level of 4205 & 4315-4325 respectively. But Nifty closed at 4313.60, below the resistance level. Buying in Metals, Banks and Capital goods lead the markets closed above its previous close. Positive Gloabal markets too helped the Indian markets. Short covering in the frontline stocks were seen. DII were the major buyers in the market, where as FII were net sellers.

Nifty for the week closed below at 4313.70 levels. As mentioned that the Nifty has made a "Doji" pattern in the last week that may lead to some correction in the coming week. Last week Nifty made a high of 4693 and closed at 4583.

For the first time since 1977-1978, Inflation for the week came at -1.6% vs 0.13%. So does this mean that India is in recession?? No not at all.. For a country to be in recession will declare its negative real economic growth or falling GDP for atleat continuesly for 2 Quarters. It just means that there is fall in the demand of goods & services and increase in the real value of the money.

Nifty took good support at the 4205 levels, But as mentioned earlier in my last blog (www.technicalsvishaldangaich.blogspot.com) that Nifty has resistance level at 4315-4325 levels. If we take the retracement level by Fibonacci levels from the all time high to the low of Nifty, which was made in the month of Oct i.e 6357 & 2252 respectively, 4315-4325 levels are derived. Till the time the close is not above the same, long position should be avoided. Friday's rally may be just a bounce back after the heavy selling in the markets. Nifty has fallen down by 500 points and Sensex by almost 1400 points. Correction has been down for now. Traders are adviced to buy in small qty...

==>> Slide show continues

Indian markets continued its downward movement. Index fell by another 2.50%. Volumes are also pretty high since the last 2-3 days. Frontline stocks again had their rough time. Markets opened up flat, were stong for sometime, but again slided deep into red. Mid cap & the small cap stocks are on the verge of collapse. Last week showed the selling pressure on the Midcap & the smallcap stocks. Profit booking continued this week also.Short covering in some of the frontline stocks had made the Indices bounce back some but could turn the markets positive. Sensex at one point was down by around 335 points, tried to recovere in the last hour, but still closed lower by 257 points. Nifty fell down by 105 points. In the early trades the Nifty bounced back from the 4315-4325 levels, which I had already given in my last blog, as that was the support level by way of Fibonacci theory. Then after noon, due to heavy selling and fresh shorts in the market, Nifty fell down to 4222 levels, but shut down at 4251 levels. Nifty had closed below 4315 levels we might see index falling to atleat 4205 levels. Below that 4165 can be seen. Sesa goa looks good for short term Delivery.
For the first time since 1977-1978, Inflation for the week came at -1.6% vs 0.13%. So does this mean that India is in recession?? No not at all.. For a country to be in recession will declare its negative real economic growth or falling GDP for atleat continuesly for 2 Quarters. It just means that there is fall in the demand of goods & services and increase in the real value of the money.

==>> Nifty retracement levels at 4315-4325

It's raining like Cats and Dogs in the Indian markets. FIIs and the traders have started unwinding of their long postion after a long time. The Indices saw huge correction today. We saw sharp correction in the frontline stocks, that lead the Index fall nearly 3%. Sensex opened up flat, for most of the day remained marginally down, but in the later on witnessed some sserious unwinding of the long position, that lead the Index to fall down to 14447 levels, before closing at 14490 levels, down by 435 points or 2.90%. Nifty made an intraday low of 4332, down by 161 points or 3.58%, and closed at 4356 levels. As mentioned in my last blog that the Nifty has resistance at 4553 levels and the close above that will only take the Nifty to continue with its rally, but clearly mentioned also that if not crossed than the markets may come down again.

Since the start of the last week, it was clearly mentioned that the profit booking at every levels has to be done and the correction is expected and that too heavy. The readers may check themeselves the stock prices, at the time of the peak and now. The % of gain & fall.

In the weekly char the Nifty chart has made a doji pattern. That makes more clear that the correction was pending. Today Nifty has broken down below the 20DMA, technically Nifty may fall down to 4325-4315 levels, that being the 50% retracement level from the all time high to the low which was made in the month of Oct i.e 6357 & 2252 respectively. MACD was also showing signs of correction. Metal stocks and the Real Estate stocks witnessed some serious selling. I AM GLAD, THAT I HAVE INFORMED THE READER OF THIS BLOG, ABOUT THE CORRECTION WELL BEFORE THE ACTUALCORRECTION, when most of the technical analyst saw markets to rally further without any correction. The Sensex is already down by 1000 points from its recent high of 15600. Nifty is fallen down by 4693 to 4332 levels, down by 361 points.

==>> Indian Markets outperformed the Global Markets

Indices in the opening session tanked. Sensex made a low of 14621, and Nifty made a low of 4405. US markets were down by almost 2.5%. Asian markets were are also. Before the tradding commenced in the Indian markes, SGN Nifty was down by almost 98 points, but immediately after the Indian markets opened, in the inital trades the Sensex and the Nifty were down by 1.50% -2% but regained its strength & recovered smartly. In the initial trading hours almost all the frontline stocks were down, but some buying helped the Indices pull back. Ril continued to feel the heat from the FII, the DII and the traders. RIL counter saw some good buying in the mid session but in the end the stock started to tumble down. Due to which, the Sensex slipped to only + points 35, from the high of +150 points. Indian markets had already seen the correction in the last 3 days, so the type of correction in the Global markets was rulled out.

Mid caps shares saw some interest. Major of the mid caps which were down almost 5% , in the end were seen locked in the upper circuit. In the last 3 days we have seen Nifty falling from the high of 4688 to 4405 levels. Nifty has taken gud support at the 20DMA. In the last few weeks i have mentioned that the markets will see some correction and the seller at the higher levels will be beneficial. The person who had sold at teh levels of 4600-4650 levels also might have got the trading opportunity again. I have not turned bullish on the markets, but it seems that the movement above 4550 can again take the Nifty to its recent top, but if 4550 levels is not crossed then the markets can come down again. Carrying forward their position too much will not be suggested. Nifty resistance levels at 4553, the close above that only will decide the trend. Yesterday I had given a call on Rel Capital at 948, it had made a high of 1008 in the NSE.

==>> Nfity closes marginally above 4500 levels

Today Nifty has marginally closed above 4500 levels. Nifty made a high of 4600 but could not stabalize and immediately seen trading in the -ve zone. Profit booking was seen in the frontline stocks. RIL -RNRL case results were out. Markets men found favour in the RNRL side. The stocks was almost up by 22%, but RIL was down by 7%. HC asked RIL to supply gas to RNRL at 2.34per mmbtu to the tune of 28 mmscmd for 17 yrs.Due to this RIL will suffer loss of 3600 CR. But till 2011 earnings of RIL will not be hurt, as RNRL will take at least 2 yrs to build a gas - based power plant. Selling in the RIL counter triggered the Indices to fell almost 4.5%. Sensex made a low of 14808 but closed at 14941, marginally down by 15000 levels. Nifty still managed to close above 4500 to close at 4503, after making a low of 4469.
Before the RIL-RNRL case results were out, markets witnessed selling pressure. SGX Nifty was down around 1% before the open of the markets in India. Metals, Capital goods and reality stocks were down heavily. Viewers of this blog have been informed in the recent past the marekts are looking pretty heavy and the markets will see some correction.

==>> Nifty closes below 4600 mark

Today Indices opened up in the positive zone. Markets continued its upwards rally in the early session, but lost its control. The force with shifted from the Bulls to the Bears. Bears took the control, and the markets in the mid session tanked from the days high. Nifty made a high of 4693, could not touch 4700 levels. Sensex made a low of 15600. Nifty closed at 4583. Nifty slided down to 4566 levels. Sensex made a low 15174 before closing at 15237. But as mentioned earlier that the markets are in th over bought zone and we might see some correction. Markets in the morning session rallied, but immediately after the IIP data were announced, markets tanked. Sensex was more more than 180 points, but sinked nearly 225 points. We had a very voatile session. Reliance supported the markets.

IIP data were better then the expectation at 1.4% for the month of April vs 0.7% in March. But even after good numbers, Bulls could not get the grip of the market. Infrastructure stocks have fallen down much from their recent highs. After 5 weeks of rally, markets halted a bit. In the weekly chart of Nifty, a doji pattern has been formed at the top of the rally. Next week also we amy see some selling pressure. As mentioned earlier also, that the Daily chart of Nifty suggests that the correction is overdue, and within short time we will go through that stage.

==>> Unexpected rally

It was an Unexpected rally in the Indian markets. Index zoomed to close nearly 3% up. Indian markets after the betting that we saw yesterday, today opened almost flat, sinked to the negative zone, but regained the lost strength, and closed near its high. For most of the day the markets remained high. Post opening of the markets, indices surged. In the early trades buying in RIL, IT & Realty helped the Indices to close past 15000 and 4500 mark in Sensex and Nifty.
It was totally an unexpected rally.Techincally the markets were not looking that strong, but still the buying in the frontline stocks helped the markets to surge. I would like to inform all the readers of this blog, to stay cautious in the market. Trade with SL, do not carry forward too much position.

==>> Nifty closed below 4450

Today Markets opened up strong, remained in the positive zone for sometime. There was some fake trades done in RIL in the BSE exchange at 1847.90, that lead the BSE Index down around 380 points in the early trade, but due to normal trades the Index was once again in the positive zone. BSE in the early trades made a high of 15200, but lost its power till the midsession. Sensex closed down 438 points to close at 14665.92 after making a low of 14604. NIfty was down by 157 and closed at 4429.90. Nifty made a low of 4404.65.Index were down by 3% -3.50%.
In my last blog written on Friday, i have clearly gave an early indication of the sell off in the market, and that too a bit on the higher side. Nifty as mentioned earlier, that it has a good support at 4450 levels, Nifty in the last week closed above the same, but could not sustain above the same. Nifty today closed below 4450 levels. It was clearly told that the markets were trading in the over bought zone, and the profit booking will come. In the last few days Mid caps also did not perform well, and selected frontline stocks continously saw profit bookings. Today, market men tried to pull back the markets by rigging the heavy weight RIL shares, but lost their hold in front of the Bears. We might see some more correction, before the next round of buying in the marekts. Those who have book their profits in the last week, will get to buy the stocks at the lower levels again.
In the last week Baltic Dry index was up, so all the Shipping stocks were doing good. But now the Index is down again and so is the stocks of SHipping.

==>> Markets may witness some correction from next week

Markets opened strong on back of strong Global markets. US mkts closed up around 1%, Asian mkts too opened up strong. Indian mkts too opened up stong. Indices felt a bumpy ride in the intra day session. Opened up strong, but slided to almost to the -ve zone in the closing session. Sensex closed at 15103 up just 95. At a time it was high as 225 points. Sensex made a high of 15257. Nifty made and intraday high of 4636, but lost its glory in the end, and finally setteled at 4585 just 16 points up. Still, I prefer to stay cautious in the Market, as in the last 4 days trading pattern still significes that the correction may be in the making. Today also markets surged through out the day but lost its glory in the mid session. Traders are booking profits at every rise. Profit booking were seen in many of the frontline stocks. Mid caps did not perform well in todays trading session.In the last 4 days 2 Doji pattern, and 1 small Inverterd hammer pattern has been created on the recnet top, in the chart of Nifty. The RSI is trading above 70 since a long period and the MACD is also giving the sell signal in the short term. Markets are trading in the over bought position, and within sometime the markets will witness some healthy correction.

==>>

Markets opened strong on back of strong Global markets. US mkts closed up around 1%, Asian mkts too opened up strong. Indian mkts too opened up stong. Indices felt a bumpy ride in the intra day session. Opened up strong, but slided to almost to the -ve zone in the closing session. Sensex closed at 15103 up just 95. At a time it was high as 225 points. Sensex made a high of 15257. Nifty made and intraday high of 4636, but lost its glory in the end, and finally setteled at 4585 just 16 points up. Still, I prefer to stay cautious in the Market, as in the last 4 days trading pattern still significes that the correction may be in the making. Today also markets surged through out the day but lost its glory in the mid session. Traders are booking profits at every rise. Profit booking were seen in many of the frontline stocks. Mid caps did not perform well in todays trading session.In the last 4 days 2 Doji pattern, and 1 small Inverterd hammer pattern has been created on the recnet top, in the chart of Nifty. The RSI is trading above 70 since a lon period and the MACD is also giving the sell signal in the short term.

==>> Correction on its way

Markets opened strong on back of strong Global markets. US mkts closed up around 1%, Asian mkts too opened up strong. Indian mkts too opened up stong. Indices felt a bumpy ride in the intra day session. Opened up strong, but slided to almost to the -ve zone in the closing session. Sensex closed at 15103 up just 95. At a time it was high as 225 points. Sensex made a high of 15257. Nifty made and intraday high of 4636, but lost its glory in the end, and finally setteled at 4585 just 16 points up. Still, I prefer to stay cautious in the Market, as in the last 4 days trading pattern still significes that the correction may be in the making. Today also markets surged through out the day but lost its glory in the mid session. Traders are booking profits at every rise. Profit booking were seen in many of the frontline stocks. Mid caps did not perform well in todays trading session.In the last 4 days 2 Doji pattern, and 1 small Inverterd hammer pattern has been created on the recnet top, in the chart of Nifty. The RSI is trading above 70 since a lon period and the MACD is also giving the sell signal in the short term.

==>> Sensex closed above 15000 levels for the 1st time since Sep 2008

Indian markets for today also njoied the Roller coaster ride. Indices opened week. Sensex for a point was trading 270 points down, but in the mid session pull backed smartly to close up 138 points. Nifty closed 42 points up. Nifty closed at 4570 after making a low of 4453 ( as mentioned earlier the 4450 is a very good support). Sensex for the first time after Sep 2008 closed above 15000 level. Sensex made an intra day low of 14599, but recovered smartly and closed at 15008.68.
Yesteday I have mentioned that, the candle stick patter in the chart of the Nifty suggest some correction is pending, and will get the confirmation not before today trading session. Indian markets opened week, but surged again in the late hours. Indices were trading flat in the mid session, but surged in the closing session. This does not mean that, we may not see any correction. Traders are still adivced to keep their position light. We may have seen that the frontline stocks saw serious correction in the early trades, operators offloaded their major holdings in the midcaps too.

==>> Correction may be on the way......

Its been again a volatile session in the Indian markets. Indices opened up strong but slided in the -ve zone in the mid session. Sensex rallied in the early trading hours and for the first time touched 15000 mark after September 2008. But closed down at 14870, almost flat. Nifty closed at 4534 after making a high of 4574.90. Nifty made an intra day low of 4478.60.

Before the markets opened SGX Nifty was trading at a premium of around 55 points, but lost all its gain in the mid session. Indices after opening up strong, slided to the negative zone.

Profit have been seen frontline stocks. Mid shares have been corrected in the last 2 days. Selected counters are doing very well in the market. Candle stick pattern made in the last two days are "DOJI" pattern, and that too are made on the recent top, that may suggest that the markets temporarily will take a halt, but still the pattern comfirmation will be done tommorrow only. In my last blog too, I have mentioned that the Markets will witness some correction, and we may have seen that Major of the Index based stocks have seen correction, even the midcap sharess too have seen profit booking. We would still suggest that, traders should keep their positions light.

==>> Tug of war between the buyers & sellers leads market to close flat

Markets closed flat today. Indices opened with a gap in the positive zone, but seem to lost its control, and sliped in the red zone. But recovered in the closing session and finally closed flat. Sensex closed at 34 points + at 14875 after making a low of 14608. Nifty closed at 4525 after making a low of 4451. Nifty has a good support at 4450 levels. Its been a 2nd consecutive day, Nifty have closed above 4500 levels. But still there is selling pressure above 4500 levels. Fertilises stocks outperformed the Indices. Banking stocks helped the last movement pull back rally.

The Candlestick pattern made in the Nifty chart suggests that we might see some serious correction in the near term. The clear picture will be there, not before tom. As this kind of movement indiacates the tug of war between the buyers and the seller, that leads to volatility in the market and the indices closes flat. But when this candel stick pattern is made at the top level, the markets may see some correction. Markets also have been trading in the over bought zone. Nifty has a resistane at 4558 levels. Few days back I had given some buy calls on Suzlon, Opto Circuit, Moser baer, NTPC, DCb, Satyam etc.... major of the stocks have done well, but now I would suggest to book profits, as the stock prices may come down. Do not carry heavy positions.