US sneezes again-India to follow?

US markets have sneezed again with Dow falling more than 1% on weak housing data. Incidentally,Indian markets had been going up for 7-8 consecutive sessions and were ready for some correction.This will be a good time to see how much strength is there in Indian markets.

I would be closely watching the levels of 4350-4400 on the downside. These levels are important for NIFTY to keep its short term uptrend . This might be a good time to add quality stocks to your portfolio and sit tight.

Steel is one sector which is showing extreme strength.It might be a good idea to buy any sharp dips in the sector.Sail, Tata Steel, JSW Steel and Bhushan Steel remain the top picks in the sector.