By Anand James

The fortnight ahead is crucial as positions get re-aligned in anticipation of fresh cues from the budget scheduled for July 23. Though the budget has come to be a non-event of late for capital markets, there is always a question of “what if” on the lips of many, as speculations never cease to leave the traders unaffected, be in terms of broad market announcements, or sector-specific cues. This is probably the reason why the rise in benchmark indices has been muted, but with all dips quickly bought, disappointing bears as well. VIX continued to decline from last month’s peaks, but we could potentially see a rise in the same in the next fortnight.

Nifty50

Early last week, the conditions were ripe for a swing lower, not only due to persistent overbought conditions but more because of how far Nifty stayed above the 20-day SMA. However, after being 3% away, which is extreme, a pause ensued in the uptrend, allow…