A positive signoff

Technicals

 Traded volumes were marginally higher than the 10-day average which remains my leading worry.

 The market breadth remained widely positive and most frontline / index heavyweights were seen surging above their 13-day simple moving averages, which signals an end to the downward correction in the absolute short term.

 The indices have surged past their previous tops to hit 29-month highs. This indicates the strength in the underbelly.

 The support for the Nifty should be seen at 1170 levels in the coming week.

 Sectoral strength is presaged in oil & gas, public sector, power, pharmaceuticals, cement and automobile counters.

 Software is likely to remain an under-performer. The outlook for Monday is of bullishness as the mood is likely to be one of follow-up buying.

 The Nifty should see resistance coming at 1235 -1240 in the immediate future where selling is likely to be seen.

 Trades should be initiated on the long side rather than any aggressive short-selling.

 Among stocks, the Reliance Industries counter is likely to surpass it