Dear
Trader…
Markets continued to scale higher for the fifth consecutive
session and closing at 22160.60 gaining nearly 0.28 percent. After an initial
decline, the market rebounded sharply from the lower levels and printed a high
of 22259.94.Meanwhile, on the sectoral front PSU Bank and CNX IT witnessed
profit booking wherein Pharma, FMCG and Oil and Gas sector remained top
gainers. The broader indices traded insync with the benchmark index gaining
nearly 0.4 percent.
Nifty has managed to surpass the hurdle of 22202, but failed
to close above the same. For index to continue its upward momentum, it would be
crucial for the private banking majors to participate and contribute to the
move. We maintain our view to stay focused on stock selection and refrain from
aggressive bets until Nifty decisively close above 22202.
Nifty futures opened at 22142.19 points against the previous
close of 22097.80 and opened at a low of 22055.00 points. Nifty Future closed
with an average movement of 204.94 points and a rise of around 62.80 points and
22160.60 points…!!
On the NSE, the midcap 100 index will rise 0.36% and small
cap 100 index is closing rise 0.40%. Speaking of various sectoral indices, Realty,
PSU Bank and IT stocks were seen selling on the NSE, while all other sectoral
indices closed
higher.
At the start
of intra-day trading, April gold opened at Rs.61970, fell from a high of Rs.62107
points to a low of Rs.61970 with a rise of 154 points, a trend of around Rs.62032
and March Silver opened at Rs.71395, fell from a high of Rs.71650 points to a
low of Rs.71306 with a decline of 607 points, a trend of around Rs.71505.
Meanwhile, The
BSE market cap touching a record high of around $4.7 trillion reflects the
strength of the ongoing bull run and the momentum in the market. The fact that
the crucial Buffet Ratio (market cap to GDP) is signalling very high valuation
at above 120 per cent is a matter of concern. But this is unlikely to halt the
bull run in the near-term since flows into the market from domestic individual
investors and DIIs continue to be strong.
The US
equity market is closed on Monday on account of President’s Day. Overall, we
expect the market to continue its upward momentum while taking support from
global cues. US Fed meeting minutes that would be released during the week
would hold importance after the US reported above-expectation CPI and PPI data,
which dampened sentiments.
Technically, the important key resistances are placed in Nifty future are at 22202 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 22303 – 22373 levels. Immediate support is placed at 22088 – 22008 levels.
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