BRIEF MARKET FORECAST FOR THE DAY
Today, expect the Markets to see a weaker and near gap-down opening and trade weak in the initial trade. The Markets are expected to test its 50-DMA of 7602 and might well slip below it that well. The behavior of the Markets vis-a-vis the levels of 50-DMA would be crucial and it would be important to see if this level is maintained at Close levels.
The RSI--Relative Strength Index on the Daily Chart is 49.4895 and it is neutral as it shows no bullish or bearish divergences or any failure swings. The Daily MACD remains bearish as it trades below its signal line.
Being bearish in the immediate short term was imminent for the Markets as we have been mentioning that it is in the "Broadening Formation" which has bearish implications and it is also one of the reversal formations. Today, it is advised to refrain from making any fresh purchases and protect profits where ever applicable. Overall, high degree of caution is advised for today.