Nifty IT – Another leg of correction ?After the corrective move around end of April, the final leg of correction seems to have commenced in Nifty IT NSE:CNXIT .
IT stocks including large caps like TCS and Infosys witnessed heavy selling pressure today.
Looks to me that the selloff will continue and is the start of a corrective move in IT index before a fresh uptrend begins.
I can see that IT index formed an Evening Star pattern today with a large Bearish candle.
Even Nifty formed an Evening Star pattern today confirming the Double top structure which indicates that a lot of weakness is left in the markets and this time around we may see IT stocks falling with Nifty and Pharma stocks acting as a hedge.
Went short on IT stocks today with target of at least 13450 followed by 13300 and 13000 levels on IT index.
Disclaimer: Views expressed here are my own, and should not be interpreted as an Investment Advice. Please consult your Financial Advisor for investments.
