Experts expect a small correction for this week in the market. Based on mixed data, standard index ended higher for the last week.
Analyzing this trend, experts predict the near future market to be profitable. It is highly expected that budget, stock wise Q3 results and foreign inflows will define the market trend.
Momentum indicators like RSI, MACD stipulate small market correction till the level of 14180-14200. This correction can happen if the market closes below the levels of 14380. Monday can be positive yet, precautions need to be taken.
The traders can have difficulties in managing positions because of sudden market volatility.
Nifty can also drop down to 14000/47500 levels in case, the sensex crosses the level of 14350/48800.
Being stock specific till the market gets consolidated is advisable as selling short below the level of 14350/48800 can gain profit.
Preferring hedge strategies over naked leveraged positions is sensible as of now.
Breaking of Nifty at 14350 can result in worst situation as Nifty can drop down at 14000 instantly. To get a prediction regarding market direction, we will need a clear picture of Nifty.
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