NIFTY TODAY : EPISODE 124

NIFTY TREND FOR 19-06-2012


Major Resistance Levels : 5167-5260-5317
Major Support Levels : 4993-4936-4842
Short / Middle Term Target : 4880-4895


Nifty is clearly bearish below 5100. Most probably, Nifty may close in red tomorrow.


Nifty ( Closing ) : 5064.25

Nifty opened with a positive gap due to international cues. Pro-reform parties won the polls in Greece. In this context, Greece may not leave European union. Thus, Euro could escape from destruction for the present. It could make positive impact on world markets.

But, after 11 O' clock, market was under strong selling pressure. RBI was not ready for further CRR and rate cuts.

Actually, it was not easy to cut rates for RBI as inflation is on increase. Standard & Poor, rating agency gave warning to India last week. Another leading rating agency, Fitch, warns India that India's sovereign credit rating may be slow growth and increased inflation.


Moreover, S & P indicated the political inconsistency of the country for taking strong policy formation. Kumari Mamatha Banarji, leader of Thrinamool Congress which is a second party in ruling alliance, is not on good terms with the leading party, Congress regarding the presidential election. If she withdraws his party from UPA , the central government may get trouble.

All negative factors may lead nifty towards our short / middle term target, 4880-4915 level.


GOOD LUCK........