NIFTY broke out of two days of resistance with big positive Market breadth. We have a bog dollar volume push behind this breakout as well which is a strong sign.
Big cap stocks are not showing any sign of weakness as well. So far we are in a healthy bull market. I am seeing many good breakout in the big cap stocks with decent high volume which shows big money is flowing in this market.
We are right up against the next big resistance level which is 5170 resistance and major long term resistance 5229. We should see Nifty consolidating here for couple of days before making another move in either direction (up or down). Market breadth will give us an confirmation.
Market hasn't consolidated much since breakout of 4879 range. If it goes far from here then we can expect sudden pullback. If we see healthy consolidation around here for some time then its good for the markets big up move. Move your stops little closer to preserve your profits and be careful about adding big risk position.
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