Uptrend Under Pressure

An Uptrend Under Pressure market status is normally associated with rising number of distribution days on the Sensex. The index has 3-4 distribution days in the last five weeks and is showing some signs of deterioration. The index may be close to its 50-day and/or 200-day moving average support level, but is typically above at least one of the levels. Investors need to exercise caution and keep their buying decisions reserved to fundamentally strong stocks showing technical strength.