The worrying worries….

The situation at India is not worsen but accepting the troubles of the big brother-US. The markets are adjusting to the ground realities whether we like it or not.
The situation at India is also worsening due the redemption pressure as the markets are plunging day after day with out a relief.
The Nifty has been testing its bottom support as it deeper than the expectations of the most. As discussed yester day, the Nifty immediate support at 3365-80 was taken out yesterday and the closing was much below the level. The Indian markets are used to follow the US and other markets when they are in bull mode but now going a head while in down turn.

The markets will be considered stabilized when the Reliance high crosses 1750 and closes above 1685 level. The earlier discussed level to ONGC is still valid-it has to cross the 1020 level and trade above 960 levels to see the down trend halted. The Nifty has to cross the 3680 level to see the down turn put a halt. The real estate and the infra structure stocks are being in accumulation mode even at this disparate situation.

The stocks like Rel Cap and HDFC are being beaten down and will be continued due to their exposure to Mutual funds business, now a drag to pull up.