Dear Trader
Markets
extended rebound amid volatility and gained over half a percent. After the gap-up start, Nifty Future inched
gradually higher however the existence of a hurdle at 20 EMA capped the
momentum. Finally, it managed to close around the day’s high at 19,687.85
level; up by 0.61%. All key sectors contributed to the move wherein realty,
financials and pharma were the top performers. The broader indices also edged
higher and gained over half a percent each.
The
recent bounce has certainly eased some pressure but we are now again at the
hurdle of the short term moving average (20 EMA). We need sustainability above the same for a
further recovery towards 19800 else the decline would resume. Meanwhile,
traders should remain focused on stock selection and position management until
we see clarity over the next directional move.
The
risk of higher inflation led the RBI to become more realistic in their policy
approach. The central bank maintained a hawkish tone on liquidity management,
as they may consider OMO to contain liquidity in the system, which led to
India’s 10-year yield inching higher. The market, however, reacted positively,
as the status quo on the growth rate and a further drop in oil prices provided
near-term support
Nifty
futures opened at 19610.00 points against the previous close of 19568.00 and
opened at a low of 19601.10 points. Nifty Future closed with an average
movement of 90.85 points and a rise of around 119.85 points and 19687.85
points…!!
On the NSE, the midcap 100 index will rise
0.60% and small cap 100 index is closing rise 0.80%. Speaking of various
sectoral indices only Media stocks were seen selling on the NSE, while all
other sectoral indices closed higher.
At
the start of intra-day trading, December gold opened at Rs.56735, fell from a
high of Rs.56739 points to a low of Rs.56421 with a decline of 128 points, a
trend of around Rs.56480 and December Silver opened at Rs.66825, fell from a
high of Rs.67219 points to a low of Rs.66614, with a rise of 94 points, a trend
of around Rs.66862.
Meanwhile,
The FIIs as per Friday’s data were net sellers in equity segment, while they
were net buyers in debt segment, according to data released by the NSDL. In
equity segment, the gross buying was of Rs 11600.16 crore against gross selling
of Rs 11937.58 crore. Thus, FIIs stood as net sellers of Rs 337.42 crore in
equities. In the debt segment, the gross purchase was of Rs 413.52 crore with
gross sales of Rs 136.81 crore. Thus, FIIs stood as net buyers of Rs 276.71
crore in debt. In the hybrid segment, the gross buying was of Rs 7.09 crore
against gross selling of Rs 25.00 crore. Thus, FIIs stood as net sellers of Rs
17.91 crore in hybrid segment.
Technically, the important key resistances are placed in Nifty future are at 19707 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 19737 – 19770 levels. Immediate support is placed at 19606 – 19575 levels.
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