Keep your head

Hi Guys,

It seems a severe correction where weak hands are been wiped off. Generally these kind of corrections provide a good oppurtunity to buy. The nifty is very close to testing its trendline which it has been able to maitain for long time since budget. The biggest emotion that surrounds during these times is fear. This is the one you need to control. In case this trendline breaks then we will think of exiting our longs. Do not rush. If you have money do buy with tight stoplosses. On Nifty basis the stoploss has to be 4960 which should be the current value of this trendline. Indicators though are not looking good. Despite yesterday sell off RSI has not shown oversold signals. Also MACD negative convergance indicates 5250 is sometime away. But anyways maintain your head and keep calm.