Indian indices closed higher at 5282.5, up by 66.85 points or 1.28%. Today's gains were largely in reaction to the better than expected payrolls data in the US, appreciation in rupee against dollar after Finance Minister said that the government would unveil policies to attract investments in mu-tual funds. Nifty has finally witnessed sharp upside breakout from the strong primary resistance of around 5,250 and closed above that level. Nifty opened today with gap up of around 40 points and continued its northward journey throughout the session and tested its next resistance of 5,300, as we emphasized earlier that above 5,250 market can test 5,300. Nifty has formed a Bull candle with no lower shadow that indicate buying support at lower levels, and at the same time market also create upper shadow suggest that traders cautiously booking profit near immediate resistance level of 5,300. The index also made a new higher top higher bottom formation which reflects positive bias, and a...
While the Indian stockmarkets were not generous to investors (declined week-on-week), the rain gods gave a handful to Mumbai and as usual, the city choked during the last week! This did have an impact on the daily volumes traded, which was low in the first three days, only to gain momentum in the later half. Despite a weak start, there was selective buying interest in some sectors. But sentiment was dampened following the Prime Minister's decision to keep disinvestments of public sector units on hold (read Neyveli Lignite Corporation). This time, it was not only the 'Left' that was 'as usual' against the move, but also an important ally from Tamil Nadu (DMK). Incidentally, DMK was a strong supporter of disinvestments of PSUs under the erstwhile NDA government. Besides these domestic concerns, global factors such as North Korea testing missiles and renewed worries about interest rates increasing in Japan added to the nervousness. In this backdrop, it was a tug-of-war between the bulls and the bears with bears winning the battle towards the end of the week.
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