1. Nifty did not take much time to move to the upper end of the mentioned trading band of 15980-16400. In the middle of last
week we were at the doors of a breakdown and now we are at the gates of a breakout.
2. The market action has been healthy all around. The technical studies are all looking up once again. The momentum has been great during the recovery of late last week. Many top line stocks have registered a quality rebound from medium-term supports.
3. There is some evidence to believe that the Nifty could breakout past 16400 levels in this coming week.
4. Once confirmed, a rally towards 16850 and beyond could be seen. The expected upmove should see all around participation. Strong support now seen at 16200 levels.
5. Bank Nifty is leading from the front. This index looks on course for 36600 in the near term. Higher levels are also possible.
6. Broader markets are likely to see continuing strength as well.
Summary View: Nifty continues to look well placed on the charts. A breakout beyond 16400 could be in the offing.
