Thursday, December 17, 2009

Bears slowly taking upperhand. Markets to test further lows ?!


Markets tested the range bottom of 5020 levels yesterday towards the end of the session also.

Looking at the build up in 5100 and 5200 calls, it looks like market is slowly beginning to be controlled by bears. There is unwinding seen in 5000 puts which also is favouring bears and the volume PCR has increased to 1.14.

All these indications are pointing to the fact that bears are slowly taking the upperhand and are likely to push markets to test 4970 levels also and any break of that would push Nifty further towards 4900 levels.

Resistance levels : 5053, 5067, 5087


Support levels : 5018, 4985, 4970


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Happy Trading
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