Thursday, February 07, 2008

Nifty Shaves Off 200 Points


The Sensex went down by 612 points today while the Nifty closed 189 points in the red. The markets were pretty flat in the first half of the day and they started slipping shortly after noon. Our support of 5170 did provide some sort of support but soon that too was broken. That brings us to wait for our next support at 5000 levels. As seen from this 30 minutes chart of Nifty, the support of 5170 held only for an hour or so and the next hour brought the Nifty further down. While there is some support near 5000, but the target for this kind of a pattern breakout is near 4800. In the long term, we are still in a bull market, at least till 4600 is not broken. Any dips like these should be used by investors to pick up quality blue chip stocks. You will notice that after such a downfall the bluechips are the first ones to pick up.

For now, there seem to be no short term buying opportunities, which is why no stocks have been analyzed today. Keep watching this space to see some buying opportunities as and when they come.

Happy investing!!!


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