The Nifty moved up about 0.5% in the week, after seeing through Monday and Tuesday when the index went below 5000, to end at 5084.
The recovery was on the back of Fed and other central bank guarantees that will temporarily provide anesthesia to the banking system while Greece ponders how exactly it will default. In India, inflation showed up at 9.78% and interest rates were raised by 0.25%. At 8.25%, we still have a way to go to catch up with inflation.
Are we nearing a near term top? My proprietary short term top indicator (Net number of stocks above x-day moving averages) isn’t giving a signal. It doesn’t say we go up, yet.