WHAT NEXT

I had written a few days back that we have a target of 3140-50 or lower at 3100, where we may tend to take support, we met that target yesterday and bounced back smartly from there.. Severe capitulation has taken place in small/mid cap shares and many index stalwarts have also not been spared.If this low holds the correction which started from 4649 should come to a end. The next few days will tell, as any upmove does not survive more than 2-3 days. US markets last night gave a BULLISH reversal pattern( recovered all losses and closed in huge positive). Nearer home support of 3240-3225 should hold failing which we may retest the lows..Resistance to the upmove will be 3350-3500 for the time being..Our markets may trade flat to positive before it charts its course.Trade carefully ..cheers