Indian Stock Market would open flat to negative. Today, Further positive movement would be seen in market on the account of short covering. ECB announced the possibility of giving further stimulus, if required. This is a positive news for stock markets.
Metals would remain strong but some selling pressure may be seen in Banking and IT sector.
Market would not be considered as bullish until it closes above 8090 levels. Breaching 8090 levels would develop a double bottom pattern that is bullish in nature and would force market to see 8400 levels.
But remember, market has not yet bottomed out and for now, Indian Stock Market is still in negative zone where last support lies at 7665 level, breaching which a sharp downfall would be seen in the market that may take Nifty to 7500-7200 levels.
BankNifty’s target of 15950-15500 levels may achieve in next few days. Overall, the trade is in negative direction and traders should go short at every positive movement in the market until Nifty manages to close above 7900 levels.
Unfortunately, FIIs were still bigtime sellers in Indian Stock Market. DIIs have been saving the market for sometime but would not be able to hold it longer.
FIIs were net sellers of Rs.394.31 crores whereas DIIs were net buyers of Rs.840.35 crores in last trading session.
Nifty would see strong support at 7750-7665-7576-7500 whereas strong resistance would be seen at 7880-7910-8000-8060 levels.
NSE Nifty: (7823) The support for the Nifty is 7750-7665-7576-7500 and the resistance to the up move is at 7880-7910-8000-8060 levels.
NSE BankNifty: (16555) The support for BankNifty is at 16300-15950-15800-15500 and the resistance to the up move is at 16620-16740-16911 levels.
BSE Sensex: (25764) The support for the Sensex is at 25500-25395-25232-25020 and the resistance to the up move is at 25880-26011-26150 levels.