Today's gap up opening will be a relief for Bulls, Use it to reduce your over-leveraged positions

After closing at the lowest point of the day around the major support band of 4925-4935, the index is expected to open gap up around 4970 level. This dead cat bounce rally may be limited to 5000-5020, only a move above 5050-5070 can see Nifty rally up to previous high of 5180. It's a good sign that Mid caps are not falling as much as the Index stocks.


Nifty View:

Nifty has almost reached its first major support of 4925-4935 ( green line ), a sustained close below this level can take Nifty to last major support of 4800 where two important trendlines coinicide, Red Line( low of 4800 formed in Nov), Blackline ( lower trendline of parallel channel formed since June 09 ). It is advised not to short Nifty till it gives a close below 4800.




There will be no stock recommendation for the day.


Sorry i could not post a detailed view on markets due to some personal reasons.

Have a nice trading day

Regards

Ankit