By Haresh Soneji, CNBC-TV18

The Sensex appears to have breached the lower tops and lower high trendline. Is this a sign of good times ahead?

The Sensex was making lower tops and lower bottoms it seems now it has breached that phenomenon and as we saw yesterday it closed at a higher high ahead of 16,127 odd levels and then from that level it has breached and currently it is trading at about 16,300 levels.

Is this a positive sign? What we have seen early is that Sensex tried to break through from its phenomenon. So newer highs were created. But then again a bigger fall came and every time then the Sensex is making lower tops over here, it is always making lower bottoms also.

So at this point in time, we have seen the lower high been breached and Sensex has moved beyond this level on a closing basis. Now this is only the first instance we have seen that the Index earlier tried three times to break that lower high levels to inch ahead but then a sharp sell off came in. So are we reading too much into this number?

Well, we will have to wait and see whether it breaks the second high level that was created at 16,542 levels and the third high at about 17,825 levels. So almost about 1,500 points to go before we can read too much into these numbers.

On an intra-day high level 16,683 is the high and at this point of time we have just seen about 16,350 odd levels so the previous high also on an intra-day level has now been broken. So too early to say whether a breakout is happening or not - we will have to wait and see whether Sensex breaches the previous highs that has been created or not in the time to come.