Bharat Mudgal’s comments:

(BSE Sensex chart )

(NSE Nifty)

There seems to be a strong support level here and this is the time where the market can find an internediate term bottom. The NIFTY has already come down to 61.8% retracement level if we consider the low of 849 in Years 2001 to the high of 6357 in 2008. Apart from thsi, one of my strong support also exists near 3000.

When I say NIFTY could find a bottom it does not mean there will be a sharp recovery. The NIFTY might spend months in this range before starting the uptrend again. An aggressive investor can start accumulating stocks with strong fundamentals. A risk-averse trader may wait for a clear buy signal on the charts.