Monday, January 17 2011: Market Update

The first day of the week turned out to be a mixed start with the frontline indices ending absolutely flat with a positive bias. Lot of news flowing the day, made the volatility persist through out the day. Concerned by market conditions, the year end is likely to be tough for the market. The immediate level to watch out for is the 200-day MA (5,606), if the Nifty closes below this level with higher volumes, that would definitely be a cause of worry. The investor should adopt cautious approach before creating fresh long positions.