Battle on the Edge of the Cliff - Thriller - Abhijit Phatak

So, after 2 weak days, the bears have sharpened their knives and are ready to go for the kill, or are they? Can we expect the 200-HMAgic work again?

The market is precariously poised and is on the edge of a cliff, below which lies a deep valley, and then the sheer force of unwinding will carry the bulls into the pits (that's what 'tips' become finally!). The low of 5000-5002 in Nifty future was touched on 4 occasions today and there is no further room to slip.

The bulls have their tasks clearly cut out for them. Firstly, they have to take the market up right from the word go, tomorrow, without breaking today's close and definitely not today's lows - a fifth attempt to protect that level will most probably fail.

The indices have to be taken far up above this level of the cliff till 11.30 am. This will ensure that they have some cushion to absorb any shock that the weekly inflation figure might have around 12 noon. If till 12.30 pm the bulls manage to control the Cliff level, then the bears will be cornered and the indices will have only one way to go: Up!

The first few minutes tomorrow are of utmost importance. So, stay glued to your computer terminals or in your broker dealing rooms, and enjoy the Battle on the Edge of the Cliff.

If 5000 level breaks, we have to see how many bulls stay alive to fight the battle another day. More about that over the weekend.