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GENTLE BOUNCE

Nifty posted a  close in at 5276 with a considerable gains of 23 odd points.The broader markets favored the bulls with 852 advances to 653 declines.Initially markets were hovering in red with a mild loss on the nifty.Post lunch session came some amount of demand which led to a bounce and markets started surfacing in green.It seems participants have started to accumulation.Also a close with the sustained gains makes the odds favor the bulls ,after this i expect to see some revival in the markets .
                                                                                                                Technically also the bears are also seen dispersing ,but we cant trust this  in a blind eyed way.We need to get some evidence of markets taking a support and bouncing back.The stochastics  oscillator has give a positive crossover and rising from the oversold region.The MACD though trading in negative crossover is floating  in the positive territory .The extent of the bounce itself will evidence the further direction of the trend.
                                                                                                            On after successful, violation of 5400 we can approach 5600, till then were are range bound with 5200 and broadly 5050 as a support.Violation of 5050 will definitely trigger greater concerns for markets and bearish alternatives will open op for short term leading us to the way down to 4770.

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