July 9, 2008
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NIFTY closes at 3988.55. SENSEX closes at 13,349.65.

"International crude prices or currencies would set a new trend in few trading days. They might set the next short to medium term trend. New trend would have an influence on the equity markets." This is a quote from yesterday's post. Crude seems to have set the new trend. It is likely to have impact on our market trend.

Left's withdrawal of support, Samajwadi lending support, slight cooling down of crude,etc. likely to bring some cheers to markets in short term. As mentioned in previous post NIFTY might test 4130 levels in short term.

4045 to 4060 - Initial resistance Zone.

Investors, who are averse to risk avoid trading at least for 35 days. Technical analysis may not work well in this market. Markets are driven more by news than technical analysis.

Market is expected to bottom around 3550 to 3800 levels. If this level is broken, then we're in a bear market.