Money Tree

Yesterday the markets saw some pull back and today is going to be the crucial day for the markets to find a direction. Two things might happen. One, the markets might test the previous lows once again and there may be more selling. Two, the markets will rise further on back of value buying and crosses crucial resistances placed at 3805 and 3825 (for NIFTY). The global cues have been positive today and the fact that FIIs had not sold out and there are no big triggers for a bear markets, the more chances are that the markets will hold up and if the NIFTY is able to sustain above 3805 today which is a crucial resistance we might not see a sell off and more buying will come in with short covering, which will take the markets further up.

Be watchful and trade cautiously. Try not to short the markets today.