Nifty held the lower bands once again and that proves that the buying happening at lower levels is done by stronger hands. Tomorrow would be an important day as we have results of two large cap ie; SBI and TATA steel. Volatility data is showing that long positions are getting booked at higher levels and thus we could see some reduction in the premium. As long as the support zone holds we can expect the positive momentum to stay. Except L&T all other large cap stocks are still staying in the positive zone. Though we have the result of tata steel tomorrow the stock is seeing a good accumulation pattern in the technical charts. Turnover data was not so bad and institutions were net buyers in the equity market and dollar index is close to the mentioned upside target of 81.5 and these things would be in favor of bulls. One major threat that is facing Indian equity market would be the under performance of U S market and the market is a strong sell mode with some bounce backs.Thus the strategy should be to lessen the volume and duration of long trades should be short. The only one worrisome stock would be L&T and it can test 1600 levels once it breaks the previous low zone and i feel market will maintain the tight range with some outperforming stocks
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