Market outlook 30/09/08

U.S fianacial relief plan failed..DOW witness historic crash !!

It was a very bad day for world market yesterday as here in india nifty broke down to make a low of 3777-very near to support 3755 and in global scenario, setimesnts are very very weak as The Dow Jones industrial average witnessed its worst day fall in history of 21 years as it crashed 777.68 points 10,365.45 and the privious big fall was 684 points it lost on the first day of trading after the Sept. 11, 2001, terrorist attacks.This historic fall was due to the House of Representatives rejecting the $700 billion financial relief plan of U.S government.The bailout bill failed 228-205 in the House.Crude factor was another major hit as Light, sweet crude fell $10.52 to settle at $96.36 on the New York Mercantile Exchange as investors feared energy demand would continue to slide amid further economic weakness.Now the U.S government will have to search for some other alternative for saving their economy.In Indian market, if nifty breaks 3777 on opening bell will break even 3755 support in all probability and will march towards 3700 first and then stright to 3630 area.If nifty moves above 3850, it will face resistance at 3870 and then 3920 where heavy selling might be witnessed again.Be cautious in first hour trading today as there may be severe volatility in the market today.Today's opening will be interesting to see..can india decouple from world market..! in coming years, india will decouple from world market.Right now, all kinds of manipulations are killing the market.Manipulators are heavily using these kind of opportunities and very shortly base will be formed for short term super up move.

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