03-03-2016 - Index views

Nifty :

Nifty has closed at 7361.95. Nifty has posted the gain of 324 points from yesterday’s low. Almost 5 % gain in two days. And 530 points from Monday’s low of 6833. The trend is good, momentum is positive but generally after this sudden & huge rally, I always get suspicious of a trend reversal as generally trend reverses with a slow, steady and continuous pace. It’s a process & not a one day event. It does not mean. It won’t go up, but a retracement or a consolidation is a must for the health of the market. Levels won’t change a bit unless it is achieved. For upside, 7370-7400 must be achieved with a sustained trade for at least two days. On the down side, below 7240 if trades sustainably, weakness is tend to deepen. 7100 is a short term solid support. Trade with levels mentioned.

Bank Nifty :

Bank Nifty closed at 15,109.60; as we have stated, Bank Nifty is stronger & in a much better shape than Nifty. It has been proved in past three days. 15,300 & 15,600 are the probable targets for upper side. In case of Nifty tumbles down or consolidates, even Bank Nifty might follow that. 14,800 / 14,700 will be a support & a Stop Loss kind of zone. Break & trade & close below that might put it again into a negative zone.  For tomorrow’s trade, 14,900 must be kept as a Stop Loss for short term. Keep these levels handy and trade accordingly.