Dear
Trader…
Markets took a pause after the recent rally and ended
slightly lower. Following an initial uptick, Nifty future remained range-bound
throughout the session and ultimately settled at 23772.60. Sectoral trend was
mixed, with metals and energy registering decent gains, while realty and FMCG
remained under pressure.
Going forward, the Nifty index may continue to consolidate
after its recent surge, but the broader trend remains positive unless there is
a decisive close below the 23474 level. With all key sectors contributing to
the rally on a rotational basis, traders should focus on stock selection and
prioritize accumulating fundamentally strong stocks during dips.
All eyes are now on the RBI monetary policy committee (MPC)
meeting on February 7, which could announce a rate cut for the first time in
the last five years, as well as the Delhi Assembly election results to be out
on February 8.
Nifty futures opened at 23825 points against the previous
close of 23785 and opened at a low of 23755 points. Nifty Future closed with an
average movement of 98 points and a decline of around 12 points and 23772 points…!!
On the NSE, the midcap 100 index will rise 0.68% and smallcap
100 index is closing rise 1.85%. Speaking of various sectoral indices
only Realty, FMCG, Consumer Durables and Auto stocks were seen selling on the
NSE, while all other sectoral indices closed higher.
At the start
of intra-day trading, February gold opened at Rs.84362, fell from a high of Rs.84910
points to a low of Rs.84000 with a rise of 1324 points, a trend of around Rs.84910
and March Silver opened at Rs.95538, fell from a high of Rs.96485 points to a
low of Rs.95420 with a rise of 236 points, a trend of around Rs.95945.
Meanwhile, The
Rupee weakened to its all-time low of 87.35 against the U.S. dollar, pressured
by expectations of a rate cut by the RBI. India’s Services PMI fell to 56.5 in
January, its lowest since Nov’22 on the back of lower demand and a softer
increase in sales and output.
Going ahead,
investors will watch out for US Services PMI for January to be released later
today and BOE’s interest rate decision tomorrow. We expect markets to remain
range-bound with stock/sector specific action on the back Q3 earnings
announcements as tomorrow will be a result-heavy day with several large-caps
including Bharti Airtel, SBI, ITC, Trent, Brittania, BSE, Hero Motocorp amongst
others announcing numbers
Technically, the important key resistances are placed in Nifty future are at 23808 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 23939 – 24008 levels. Immediate support is placed at 23606 – 23474 levels.
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