Tuesday, August 31, 2010

Markets to test further support before a strong up move


Yesterday markets faced stiff resistance at the first level of 5469 and corrected below 5400 levels intraday to close at 5415.

Options data indicates heavy accumulation in all the near strike puts of 5400, 5300 and 5200 with some build up in 5600 calls also. This indicates market is confined in a larger range and any further down move will be equalized by a powerful up move.

Markets have opened weak today and overall market is likely to test further support levels for the week and a move towards 5352 is possible.



Resistance levels : 5449, 5469

Support levels : 5394, 5352


-Happy Trading

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