Some may remember from a few days ago the level of 2584-2586. It was mentioned here several times around the time the Nifty was repeatedly attempting this and falling back.
Should this get broken at some point, a deeper fall is likely.
Obviously the Funds, both domestic and foreign must be taking profits from the continual rise in the index stocks over several days. I had mentioned this yesterday, that the index stocks should come in for correction, and perhaps for this reason midcaps are not cracking too badly yet.
Not bad all told. We can now squeeze out of the extreme over bought zone and prepare for the moves ahead.
I do hope the sanctity of 2585 is not violated...too badly, and the players are all aware of this number, so it may survive.