What a week it has been for equity markets – higher MSP for farmers, trade tensions between the US and China, rising crude oil prices and rupee depreciation. But, Indian markets managed to climb all wall of worries and closed 0.54 percent higher for the week ended July 6.

It closed below 10800 levels but above 10,770 which is a good sign. Also, it is trading above all its crucial short-term moving averages 

However, the big consensus among the analyst community is that the downside looks fairly limited but investors should wait for a breakout or a breakdown on either side before initiating fresh positions

It has to continue to hold above 10777 zones to extend its move towards 10835 then 10888. 

A drift below 10740 - 10735 zones could drag it towards 10700 then 10660 zones.