Market Outlook 14/07/08

Interesting week ahead for market

Market crashed on friday with high inflation and crude oil and will resume again today with weak global cues.The Dow Jones industrials on Friday briefly fell below 11,000 for the first time in two years settling at 11,100.54 and the oil prices on Friday soared to a new trading record above $147 a barrel, following the two-day pullback back of nearly $10 a barrel Monday and Tuesday.With political uncertainty continuing, indian stock market is weak and facing selling at every raise.This trend may continue till the day of vote of confidence motion.Investors seems to be more scared in investing now, though market is at an attractive lower end and in oversold condition. Market just needs one trigger to move strongly on upper side.But now, sentiments are negative and for today on upper side nifty will face definite resistance at 4090-4115 and on downside 3990 will be strong support for today and break below that may go to 3940 support.If there is lower opening above 3850 buying might come and don't short blindly on lower side.

Stock watch for the day:

BHEL (1521): Short this stock at higher levels with stop loss 1560 for target 1500-1480