Indian markets are coming close to their tops. There is not much room left for the benchmark indices to rise from here. Nifty can rise above 20,000. As the Nifty moves above 20,000, we will have to tone down our bullishness. It is then important to turn cautious. We see good chances of the current rally to run into a strong correction in the coming weeks.
So, it is time to turn a little careful rather than becoming overly bullish. We see limited room for a rise from current levels.
#Nifty can rise above 20,000 in the near-term. But a strong long-term trend resistance is around 20,200. We expect the Nifty reverse lower from there towards 19,500 and even 19,000.
#NiftyBank index can rise to 47,500-47,700 and then see a turn around.
#DowJones has resistances at 35,600 and 36,000. It can see a pull-back from either of these resistances towards 35,000 or 34,700.