mkt ahead...12th july 2010...

nifty positional buy on dips advice was given in initial stages of the current upmove from 4800.

in the last post the tsl of 5200 given was also held perfectly for the positional short to medium term long positions! thereafter we have seen a further rally 5350 and more.

how much more?

once the april 2010 high of 5400 is taken out it can continue upto resistance from 5530 onwards as shown in chart above.

valuations can start getting expensive in the region i mentioned earlier on my nifty p/e charts .i.e., band between 23-24. on the current upgraded eps that comes to a range 5500-5730.

the caveat is valuations is not by itself a reason to completely sell/exit from positions and miss a leftover rally, say in any euphoric situations, which is not seen yet happening now.