More Sideways Trading or What Now ?
Some Random Comments - It seems that some random market commentary is in order, as the market has not been doing anything interesting at all now a days. Most markets become moribund at this of the year because of the holiday season and the reluctance of fund managers to trade in the low volume holiday markets. Therefore, Indian markets are also undergoing this seasonal trading pattern at present. However, the strange thing about the present day market is the weakness or the lack of participation of a whole lot of index stocks from as many sectors to participate in the current rally or upswing which started from the 5750 levels on 10th December, 2010. By the end of Tuesday's trading, it seemed that only stocks from the IT and Pharma sectors were upholding the index at these levels. Another broad sector, the commodities sector, which exhibited some strength recently, too seemed to be loosing the strength. Now the question is - which is the sector or stocks capable of rallying further from here ? A cursory glance at the charts of most index stocks do not present much hope for a rally in the new year, unless the FIIs come in droves to buy in to the markets again !
Nifty Futures - Intra-day Chart
Nifty futures traded between the reference levels of 6000 and 6030 for the whole trading day. There is nothing more to write home about Tuesday's trading.
