Sensex range bound.

Sensex rallied strongly after making a double bottom at the 200 dma and faced resistance at the measuring gap made when it fell from the recent top. Unable to close above the gap the sensex has fallen within a range of 900 points and can go down to the 200 dma again. Will be interesting at that point.

Sensex trying to make sense!

BSE Sensex has fallen from all time highs to the 200 dma (12391). Short term trend is down as witnessed by the moving averages. Bounces from the recent bottom have fizzled out and are at low volumes. A symmetrical triangle (pennant??) seems to be forming as the range is narrowing for the index. Breakouts have to be watched as should the accompanying volumes. Upside targets are 13145 and 13400. Downside the 200 dma is the levee to watch. Once broken downside targets open up towards 11700-11300.