Key downside support level at 7,893

The stock market inched up through the first week of 2017. The market awaits Q3 earnings reports and it's also processing the Budget rumours and new US policy stances. Nobody is expecting strong Q3 numbers, given demonetisation, poor macro-data and low bank credit. But low expectations means that the market would view even minor improvements as bullish.

The Nifty gave one bullish signal as it recorded higher highs in the past week. Early December saw intra-day Nifty highs in the 8,250-8,275 range. The last week has seen an intra-day high of 8,306. However the market has not been able to