The index has finally taken out the support area between 5640 and 5610 decisively but could not sustain it . Nifty finally turned negative and ended at 5519 today.
We, however do not see such prospects becoming reality of uptrend given the kind of weakness that has become visible in the end . Now, use all rallies to sell this market for both the Nifty and the Bank Nifty have signaled that we are headed for much lower levels going forward....A move down to Nifty levels between 5350 and 5400 looks highly probable now .Immediately, if any recovery were to happen we need to monitor the levels between 5560 and 5590 if this range is pierced from below with high volume back up and lots of buying support then expect a test of 5610 through 5645 range else a failure corrective swing up to 5566 – 5586 zone would attract fresh selling again. Another psychological support would be at 5450.
SUPPORT: 5580, 5500,5450