Welcome to the FIFA 2010 and Global crisis…….

64 matches will be played within 32 countries. $12.64bn amount world cup will pump into South African economy. 695000 Jobs will be created within 31 days of the tournament. 373000 visitors expected in SA. 3.3m spectators will be viewing the match LIVE. 26.3 bn TV viewer ship. With 214 countries watching.

Japan too in the race for bankruptcy… Just chill. There is still no news for the same. But the Prime minister of Japan has given indication about the increase in bad debts.

It’s been a Global recovery this weekend. Indian markets too followed the rally. But the fall in the initial days of the week treble the markets men. Nifty once again closed below the 200DMA but bounced back sharply to close above the 5100 levels. Positive global cues and buying in heavyweights like RIL and leading banks helped the markets to gain in the end of the week.

Markets corrected since the start of the week. As mentioned in my last article that the markets may feel some heat and Indian markets might correct in the coming weeks. Nifty even after closing in the positive zone on last Friday 04^th June, corrected heavily on Monday and Tuesday. Nifty made a low of 4967 below the 200DMA after closing 5135 on 4^th June. Sensex made a low of 16560.

Sensex almost rallied nearly 200 points on Friday but corrected in the post lunch session. The news in the markets was that the Japan Prime minister has hinted about the countries debt. But few articles back also I had mentioned about the debts of the various countries. There was nothing new in the news. It was just another round to panic the investors and trying to short sell or it may be some case of profit booking.

IIP grows17.6% in April vs 13.5% in March. The country’s IIP output rose for the 7^th month in April. There was strong growth in capital goods sector, which rose 72.8% from negative 5.9% on year on year basis. India's Index of Industrial Production (IIP) has maintained its double-digit growth rate for the sixth month in a row in Apr’10, backed by a strong growth in manufacturing and mining sectors, particularly capital goods.

The data enhanced the estimated growth rate for Mar’10 to 13.9% from the earlier 13.5%. The growth rate of the manufacturing sector surged 19.4% in Apr’10, as against 0.4% in Apr’09. The power sector fell by 6% in Apr’10, as against 6.7% in Apr’09. The mining sector grew by 11.4%, compared to the growth of 3.4% in Apr’09. Fifteen out of the 17 industry groups showed a positive growth in April, compared to the corresponding month of the preceding year. During April, the growth rate in six core-infrastructure industries, having a combined weightage of 26.7% in the IIP, was 5.1%, up from the 3.7% in Apr’09, mainly driven by growth in the production of finished steel, petroleum and crude oil.

Euro almost crashed to 1.20 as compared to dollar. Debts in the Euro countries are spreading like a Cancer.

Nifty is once again near its resistance level of 5150-5187 levels. This week also Nifty corrected from almost the same levels. Nifty closed above the 200DMA on Thursday. On Friday, Nifty closed above the 100DMA also. Nifty will continue to find support at the 5000 levels. Nifty will face resistance at 5180-5187 levels.