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Sunday, October 23, 2011

Mktviews Weekly Nifty Analysis (24/10/2011-28/10/2011)


Market Sentiment is likely to remain cautious & volataile due to F&O expiry & RBI policy in a 3-day truncated trading week.

RBI policy meet on 25th Oct would be a key trigger as to whether it gives preference for sustaining growth or tighten rates further to tame rising Inflation.
Rupee breaking below 50/$ mark is a major cause of worry.

Nifty Futures displayed displayed reluctance to cross & sustain above 5150 or break below 5025 as selling pressure was witnessed on all rises & buying support emerged at lower levels resulting in Nifty to oscillate between 5025-5165 range with highest open Interest built up in 5000 Put Option & 5200 Call Option.

Going Forward, Pullback upto 5290/5360 would be witnessed only if Critical Resistance area 5168-5186 is crossed & Nifty Fut closes above it.
If does not cross 5186, Nifty Futures may trade in trading range 5015-5186.
Strong support lies @ 5015-5025 & Selling pressure would intensify upto 4904/4849 on break & close below 5015. 

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Team Market View Investments.
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