MARKET VIEW:
The American Markets have closed weak. The Asian Indices are trading with a negative bias. We too can expect a flat opening for our markets, following the international cues. After that, our markets will then try to move up to higher levels, but will face some upside resistance at 5950 levels. We can expect, slight profit booking at higher levels, but the intra day support at 5850 could be under test today. Hence, we expect to close slightly negative for the day. We can see that the markets have closed at 5858 levels yesterday. We can also notice on the daily charts, that the Nifty is trading close to its strong support at 5850 levels. After yesterdays flat closing, the markets have now again started to trade, very close to its 5 Day Moving Average at 5748 levels. Hence, we expect our markets to move slightly lower to 5750 levels in the short term.
SECTOR INDICES:
BSE METAL (18869)
The BSE Metal Index closed at 18869 levels yesterday, which is (3.22%) above its previous close. We can also see that this index has got a strong support at 17400 levels, which is unlikely to be tested in the short term. Hence, we expect this index to consolidate in the 18800-19000 levels in the short term, We like Ispat Inds. and Jindal Stainless in this sector.
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