The indices have closed at the lower end of the day's spectrum even as the market internals remained extremely weak. As was advocated yesterday, the post-expiry session tends to be an anti-climatic one as the bulls are enticed into rolling over their longs till expiry day.
The 4375 / 4260 range advocated for Friday was convincingly violated on the downside as the selling pressure remained overwhelming for the bulls. The coming session is likely to witness a range of 4000 on declines and 4245 on advances. The Nifty spot will have to consistently trade above the 4240 levels if the bulls are to return in the fray.
The outlook for the markets on Monday is that of adversity for the bulls as the overseas cues such as crude prices and allied triggers will impact domestic sentiments. Traders should focus on capital preservation as a priority. Selective buying is recommended near the Fibonacci level of 3960 levels only, that too in market out-performers only.
Vijay L. Bhambwani
(CEO- BSPLindia.com)
Mandatory disclosure: the analyst has no exposure to any scrip/s recommended above.
