Battle field . . . .

Hi All,

Though we are happy to book small profits on Nifty Longs initiated in the morning, Nifty failed to cross key levels of 7590-7610 as mentioned yesterday.

One thing is clear that bulls are not able to take charge of the markets completely, as at higher levels selling pressure is waiting to pull down the Nifty.

Even today the market breadth is not in favour of bulls, where Advance: Declines are 350: 1200, even like yesterday, the volumes are on sluggish side.

To sum it up, looks like Nifty is stuck due to lack of decision making and the levels to watch out for will be 7400-7420 on the lower side whereas, 7610-7640 on the higher side. A convincing move / close outside the range will decide the further plan of action.

Traders are advised to take trades with strict stop losses as the Implied Volatility is trading near 19%, and if it crosses 20 – 21 % mark, it can really cause a panic in market once more.

Cheers

Battle field