Last Friday as we all know the markets had outperformed the expectations and the global markets as well. The rally continued with the opening this Monday as predicted by us earlier. Nifty saw a rally of 91 points which resulted in a close of 4979 which is above the crucial 4900 levels. Sensex on the other hand saw a rally of 324 points to close at 16,557 points.
As per experts the rally is a welcome by most of the investors but it’s not expected to be a permanent one. It is believed that the rally is just a short covering rally. As predicted earlier the markets should play between the levels of 4700 to 5200 for quite sometime now. The nearest strong resistance is of the 5000-5035 levels for the Nifty. On the downside the crucial level of 4800 seems to be one of the strong supports. The heavy weight Tata Motor, Sesa Goa, Tata Power, and IDFC were among the top gainers today. On the losers list was Maruti, Jindal Steel, and Sun Pharma.
The Asian markets on the other hand gave a mixed reaction with most of the Index in green with moderate gains of 1-1.5% on an average
Bell the Bull says: Although the markets saw a upside rally of more than 1000 points in just 2 days recovering most of its loses last week it is still unpredictable and highly volatile.