Nifty bias is on the long side if it maintains above 4980-4985 range: Ashwani Gujral

Ashwani Gujral, Chief Market Strategist, ashwanigujral.com in an interview with ET Now talks about his outlook for the Nifty.

Twice in last 1 month, Indian markets have failed to cross over that hump of 5100, what are the chances that this time it could be different?

According to my experience what does not happen 2 times happens the third time particularly in the markets and maybe this time it is different because had it not been different, we would not have come back from 4750.

Strange things happen in the market but given that twice we have retested 4700-4750, it is a solid base. Now we will see on the upside what kind of news flow comes in which takes it higher but you should assume that on the third opportunity of retesting 5150, the chances are much better than the 2 earlier opportunities.

Now what happened yesterday was that the day before's decline got cleaned out by yesterday’s rally. Now that means that weakness that came in day before has now been offset by this rally and now we can move forward from here. So broadly as long as we maintain above 4980-4985 on the Nifty, the bias should be on the long side and sooner or later, we should go up and test 5150-5160.

Remembering fully well that this is a choppy market things can turn, globally something can go wrong. So this is not a trending market where there are no problems. There are problems but this is the setup that you work with. Bank Nifty as long as we stay above 9582, it remains positive. Chances are if Nifty gets to 5150, Bank Nifty will get to 9920-9950. CNX IT we need to remain above 5705.