Candlestick pattern on the weekly chart below suggests that it may trend sideways to neutral in the days ahead. 13week RSI is still in the overbought zone, implying that the prices are over-valued currently. But it seems that this market is not in a mood to undergo a serious decline in the near future. The gap above 12000 levels and the 50days SMA around 13000 would be the main support area for this index.
Union Budget in the first week of July is awaited anxiously by the market players because that would be the main trend decider for the rest of year 2009.
200days SMA around 11000 or 40week SMA around 10650 would be the stop loss for long term picks. As long as these given levels are holding, Long term investors could accumulate from their well researched sectors.
