Indian Markets: Another Dead Cat, Tempted?

As I said a few days ago, expect a sharp rally...Selling Exhaustion ...but it is another dead cat bounce...but this one will seem the most real...VERY TEMPTING.

If you must take a position then be long with puts...or just do as I did and buy some 2800 and 3000 calls on the Nifty.

Here is the picture:

The market is in an oversold position so expect it to trade towards the upper half of the blue band above...(2496 to 3053)...so 2800 + ...

The euphoria will give way as the next earnings estimates and then results come out...expect continued downwards revisions and consequent downleg in the market.

In the meantime, enjoy the ride...upwards.