ASI from a low of 5199 in mid May moved up a little more than 1000 points by the end of Nov. That's more or less 6 months. Moving beyond this needs a lot of strong base formation. We are happy to see many structural changes are taking place in the economy, which will certainly help the Stock Market to test new highs in the next 6 to 12 months. However no market in the world has gone up in one straight line, so would the ASI. We now see that the index is trying to form a strong base above or around 6000 points. As such it has to defend the area around 6130 to 6135. Failure to stay above the brownish trend line shown in the chart will test the strength of the bulls in defending the zone between 6000 and 6100. Personally I like to see the area around 6100 to be strongly defended, but it is up to the BIG BULLS to do so. Till the making of a strong base above 6000 the index will head towards the south. Take this as a rewarding message for those who have still not got on board. Your chance to get in has arrived.
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