Market to cross 5300 in all possibility: Deepak Mohoni, director, trendwatchindia.com

Deepak Mohoni, director, trendwatchindia.com, in a chat with ET Now talks about the markets.

Do you think there would be a bit of a sell off and we perhaps consolidate again between 5200-5300 or will the market actually make an attempt to break out of 5300 with volumes also coming in?

The market right now is showing extreme long-term sluggishness. So we get breakouts and that gets everybody worked up that at last some new move is starting and then the move sort of tops out. So that’s now happened three or four times. Whenever the index made a new high, it lasted another week or so and then there was a reversal.

So unless there is really a radical change, the chances are we will cross 5300 because we are progressively making new highs but probably top out around 5400 and get another intermediate downtrend. That’s what would happen if the market repeats itself. Repeat is never guaranteed but that’s looking increasingly like the likely scenario right now.