Dear
Trader…
Markets began the week on a feeble note, shedding nearly half
a percent amid mixed cues. After an initial positive tone and range-bound
movement in the first half, the presence of a critical resistance at the 20-day
EMA not only capped the upside but also triggered profit booking as the session
progressed. As a result, the Nifty future index closed near the day’s low at
22,515.65, down 0.59%. All key sectors declined in line with the broader trend,
with realty, energy, and auto leading the losses. The broader indices also came
under pressure, falling between 1.8% and 2.4%.
For the market to surpass the short-term resistance of the
20-day EMA at 22,700, a fresh catalyst is needed. However, mixed global cues
and the underperformance of the banking index remain key hurdles. Amid all, we
suggest continuing with a positive yet cautious approach in the prevailing
scenario, with focus on stock selection and risk management.
Nifty futures opened at 22599 points against the previous
close of 22659 and opened at a low of 22486 points. Nifty Future closed with an
average movement of 241 points and a decline of around 134 points and 22515 points…!!
On the NSE, the midcap 100 index will decline 1.53% and smallcap
100 index is closing decline 1.97%. Speaking of various sectoral indices, the
NSE saw gains in only FMCG stocks, while all other sectoral indices closed
lower.
At the start
of intra-day trading, April gold opened at Rs.85981, fell from a high of Rs.86139
points to a low of Rs.85732 with a rise of 47 points, a trend of around Rs.85924
and May Silver opened at Rs.97451, fell from a high of Rs.98098 points to a low
of Rs.97355 with a rise of 549 points, a trend of around Rs.97750.
Meanwhile, Global
headwinds continue to drag the market sentiment, with the rise in US
unemployment rates and tariffs leading to uncertainty, indicating that
volatility is here to stay for the near term.
The domestic
macros are favouring investors to start accumulating the beaten-down stocks
with caution in the short term, while the long term appears attractive. A slew
of economic indicators this week, US and India CPI data, will be keenly watched
by investors for any ease in the current volatility.
Technically, the important key resistances are placed in Nifty future are at 22606 levels, which could offer for the market on the higher side. Sustainability above this zone would signal opens the door for a directional up move with immediate resistances seen at 22676 – 22737 levels. Immediate support is placed at 22474 – 22404 levels.
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