First, we are just entering the earnings season. A pessimsitic guidance by Infosys (reporting on July 13) can cause a lot of havoc and confusion.
Second, The American Markets have seen a rally after a big decline. If this rally is a relief rally, we may see lower levels which will certainly affect our own markets.
Third, unknown political events can affect us, for example, Afghanistan, Kashmir, Maoists, or even, Iran.
So, what should traders & investors do?
A breakout (close above 5360) is a reason to buy. keep stop losses.
chart from Trend Analyser from www.technicaltrends.com