The terror lead…..

Now the markets are feeling the real tremors of the terror lead market progress that towards South. The November series closed with a positive not despite of the threats, Bulls interested to participate in the global recovery journey.
The December series started with a positive note in the morning but closed deep in red in the late hour selling due to weak European openings and the political uncertainty at the centre along with the visible contraction of growth due poor sales figures from auto sector and decline in export earnings add weight to drag the indices fall faster than expected to touch a low of 2669.50 and closed at 2682.90

The markets witness the selling at the higher level due to the negative developments. In my earlier post it was mentioned that the support was at 2663-61 level where today Nifty took bottom support. The worry some factor is that the SBI is trading below 1085 and the RIL closed below 1120 level and the ONGC well below 695levels.

The Global weakness may force Nifty to touch 2581-83 level but the challenge is the recovery from the lows. In case Nifty closes below 2631-33 level for tomorrow, then the markets smell something bigger problem as the rate cuts were postponed and the market friendly policy announcements could put a back seat to tackle the internal security and the foreign affairs can consume lot of time and challenging times a head.