Market outlook

Market slightly bounced back from its 200 DMA level of 4670. Due to global market bounce back our markets slightly recovered from oversold zone.

Now I feel market may trade in this broad range of 4650 to 5300 levels & breaking from either side may not happen in near term until unless some major break out of news.

If you look at the chart, if market breaks out 4950 level (which is the intermediate resistance & may shorts starts building up) then market head towards 5180 levels. And break out from that level can be taken as starting new bull rally.

And there are some long term buying opportunity in some stocks like...

Bharti Airtel : Major support @ 270 & if it breaks then free fall...
HDIL: Major support @ 300...
Sesa Goa: Support 330-340 levels...
Gitanjali Gems: 110-115 levels...
Renuka Sugars: 175-180 levels...
Educomp Soln: 650-660 levels...
Kesoram Industry: 350 levels...

But there should be step by step buying as in the case of Systematic Investments Plan (SIP) as being participants we are expecting some bad news from RBI (tightening of monetary policy to curb inflation which has already crossed RBI's comfort level of 8%), normal/slow exiting of fiscal polices announcements in budget to control Fiscal Deficit & Ultimately global markets & economy still mysterious whether there is U or W shape recovery because W recovery means double dip recession which I feel very much possible in these kind of crisis due to various reasons like multiple bubbles in multiple countries, instead curing roots of problem, just removing the symptoms like regulatory issues in US & etc...