A disappointing week for Indian Markets - Nirmal Bang

Last week turned out to be disappointing for Indian markets. Domestic political uncertainty, dismal economic data and expectations of weak earnings weighed on the sentiments. Global cues were also not supportive for the markets. FMCG, metal, tech and auto led the drop in the market. On the other hand, mid and small-cap stocks outperformed their larger counter-parts.

The 30-share benchmark index, Sensex fell sharply by 385.54 points, or 2.05%, to 18,450.23 in the week ended Apr. 05, 2013. On the other hand, the broad based NSE Nifty declined 129.30 points, or 2.28%, to 5,553.25 in the same period.

Nifty has a strong support at 5,520-5,500 levels on the downside. If Index manages to sustain above these levels for couple of trading sessions one can expect short term bounce to 5,600-5630 levels which faces crucial resistance on the upside, There is an immediate resistance at 5,630 levels on the upside and on a decisive close above expect rise to 5,670 & 5,720 levels.

Action: Nifty has an immediate support at 5,520 and on a decisive close below expects declines to 5,500 levels.

The Bank Nifty has closed below the important support of 11060 levels expect declines to the 10970 10850 levels. There is a strong resistance at 11,250 & 11,350 levels on the upside where selling pressure is expected.

Source : Equity Bulls

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