Nifty (5,139)
The Nifty too moved sideways with a positive bias last week implying inherent strength in the rally that is in motion since the June low. The third wave of this move can take the Nifty higher to 5,265 or 5,401 in the days ahead.
There is however a strong resistance in the band between 5,200 and 5,265 that short-term traders should watch out for.
If the week starts on a jittery note with the index unable to move beyond 5,150, the index could decline to 5,002, 4,940 or 4,914 in the short-term. Traders can buy in declines only as long as the index trades above 5,000. Decline below 4,914 will mean that the short-term view has turned negative. A re-test of the previous low at 4,770 then becomes possible.
The medium-term trend in the index will also be decided in the week ahead. If it manages to hold above 4,770, then there will be a possibility of the Nifty moving to 5,450, 5,630 or 5,870 over the rest of this year
thehindubusinessline
http://www.thehindubusinessline.com/features/investment-world/article3536726.ece?homepage=true