||Last week the NIFTY closed at 9857 registering a marginal gain of 0.20% over previous week. 9700 is a strong support for the NIFTY and good inflows have kept NIFTY above these levels. Last week was dominated by investors being upbeat on the new Infosys CEO and the PSU banks after the cabinet’s nod to alternative mechanisms of merger of these banks. The NIFTY is likely to take a breather here as there is a feel that valuations are high when compared to the actual earnings. The last earnings season was below par and there is a lot happening globally which might shake our markets anytime. However, we need to understand that the India story is still on. There is a reasonable amount of liquidity in the markets especially due to the heavy buying being seen by the DII’s ahead of FII’s. The whole market focus has actually shifted towards the global news inflow. Our markets seem to be taking clues from it and any negative trigger can pull our markets down but we don’t see a correction of more than 2-3% happening. This week and the next few weeks we expect a sideways movement from the NIFTY. Given the current liquidity in the markets our eyes should be on those opportunities where the valuations are at par with the earnings. Let’s wait and watch for now to see how things shape up. Nothing really to worry per se. Do not expect any major up move this week. All the best!