Bears are likely to dictate terms in the early session when Dalal Street opens for trade on Thursday morning on weak Asian cues.
Except for Japanese market Nikkei, rest of the Asian markets were hit really hard in the past one week. Wall Street closed the day flat on good retail sales numbers.
Traders eyeing technicals
While Nifty has huge support at 5970 level the next major support stands at 5840, we still believe that Bulls have an out and out chance in today's trade to protect the major support level today.
Traders should keep an eye on next week's F&O expiry. For now the "Max Pain" for Nifty stands at 6000 levels and it is worth noticing that FIIs were net buyers in Index options and Index Futures on Wednesday.
Chinese rate hike fears are overblown and we expect things to settle down soon. Investors are adviced to start adding stocks to their kitty but avoid buying at a single price inorder to tackle market corrections