Sensex loses 1000 points from the top …Hold on to cash.
Last Updated On: 17/06/ 2009
Sensex Technical View :
The index has now lost 1000 points from the high and has just hit below 14500 support levels which opens up more downside possibilities. A dead bounce ( good possibility ) should not go much above 14800-14950 for now. A move above 15300 would now negate bearish implications.
The momentum line which we have been looking at every since 8k-9k levels now comes to 13900 for the week. Gap support at 13500. So it would be a healthy move if index tests this zones in weeks to come.
The view to generate cash was mentioned clearly alongwith a detailed technical and strategy ( reduce volumes, volatility would increase, shift to defensives ) .