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Thursday , 18 July 2019
Breaking News

Expect some consolidation at record highs

“Our markets opened lower on the back of some nervousness seen in the global bourses. This weakness extended a bit during the day; but, a smart recovery in last couple of hours pulled the index higher to reclaim the 10000 mark on a closing basis.
In last couple of weeks, we witnessed a strong rally in our market and in the process, the Nifty managed to register record highs in five digits. If we look at the monthly chart, the index has now finally reached the ‘Upward Sloping trend Line’ level of 10040. This coincides with the 100% ‘Price Extension’ of the previous up move from 7893.80. Although, we didn’t participate much in last couple of weeks on the index front, our sense more or less remains the same that it’s very difficult to catch a precise top/ exit point and hence, in such kind of extended rallies, it’s always a prudent strategy to keep booking profits in advance. May be, this tide has not yet turned, it’s hard to say; but, there is no harm in liquidating your positions in advance in order to avoid any kind of surprises.
We have been actively participating in stock specific moves and would continue doing so with a proper exit strategy. In the forthcoming week, we expect index to consolidate a bit in a trading range of 200 – 300 points. As far as levels are concerned, 10055 – 10115 would be seen as immediate resistances; whereas, 9980 – 9950 would be the levels to watch out for on the downside.”

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