Nifty Upmove? Is it over?

OUTLOOK: STILL POSITIVE

Since the time I had written my previous post Nifty seems to have gone into some sort of negative territory, but is it actually so??? Sometimes we are led into believing things that might not really be, and that is where the charts come to the rescue. Although we have been going down for the last 3-4 trading sessions, it is technically still not a downturn yet. Some of the stocks that were moving up have continued to do so and even in these 3-4 days have moved up 15-20%!!! Also considering that this period currently should not be taken as a period of downturn but a period of relative consolidation....only if we break down considerably and break support levels can we say that the downtrend has again begun, but currently it looks far from it!!!

My sense is that we should not worry till the time the MACD goes below Zero, currently it is still in the positive territory coming up from the negative territory after months of being there!!!

MACD: still above zero

 so it would be very interesting to see how the Jan series pans out, sp considering that earnings might not be good for fourth quarter....but one thing we all must remember is that the markets look forward 6 months in advance, so if the markets start to recover we can expect that our results of Q3 09 CY would start looking bright as well...