The Sensex reached the targets of ~30500 & ~30700 given in this column last week, albeit with a lot of gut-wrenching volatility.
The week-on-week 276/27 points gain on the Sensex & the Nifty does not reflect the current underlying weakness in the markets. There is tremendous resistance in the 30500-30600 zone and the Sensex will probably consolidate at the current levels with a negative bias before attempting a shot towards 31000.
Build fresh longs only around 30500 and keep a SL at 30131. Only with a close below 30131, will we see a deeper / longer correction.
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