10550 ABOVE 10450; TRAIL STOP-LOSS TO 10350

10550 ABOVE 10450; TRAIL STOP-LOSS TO 10350

WORLD MARKETS                             

Dow gained 0.4% while S & P 500 and Nasdaq ended flat after digesting the details of the tax-reform plan proposed by Republicans.

The corporate tax rate would be reduced to 20% from 35% percent under the plan, which also aims to lower the number of income tax brackets.

President Trump, as was widely expected, nominated Jerome Powell, a Federal Reserve governor, to be the next head of the central bank.

Facebook posted better-than-expected quarterly results.

The U.K. central bank (BOE) raised interest rates for the first time in more than a decade, but signaled only gradual easing in the future. British pound fell to $1.3052 after the announcement from $1.32 seen earlier.

In Europe, FTSE rose 0.9% but CAC and DAX ended modestly lower.

AT HOME

It was a day of consolidation as benchmark indices ended modestly lower after a choppy session. Sensex lost 27 points to settle at 33573 while Nifty finished at 10424, down 17 points. BSE mid-cap and small-cap indices however gained 0.5% and 0.4% respectively. BSE Healthcare index soared 2.5%, becoming top gainer among the sectoral indices, followed by 1.3% higher Consumer Durable index. FMCG and Auto indices were the top losers, down 0.9% and 0.6% respectively.

FIIs net bought stocks worth Rs 1033 cr but net sold index futures and stock futures worth Rs 760 cr and 333 cr respectively. DIIs were net sellers to the tune of Rs 457 cr.

Rupee depreciated 1 paise to end at 64.61/$.

Vedanta's second quarter consolidated profit grew by a higher-than-expected 20% to Rs 2986 cr. Revenue jumped 36% to Rs 21590 cr. EBITDA  grew by 21.3 percent to Rs 5,669 crore, but margin contracted by 159 basis points to 26.26 percent compared with corresponding quarter.

Hero MotCorp October sales fell 5% to 6,31,105 units.

OUTLOOK

Today morning, Asian markets are trading mixed and SGX Nifty is suggesting a marginally higher start.

Nifty, after achieving 10440 target on Wednesday, consolidated yesterday by ending 17 points lower at 10424.

10450 has been the intraday top for past two days and once that is taken out, 10550-10600, the next major target as well as resistance zone, would come into picture.

Meanwhile, immediate support on the hourly chart has moved up to 10350, with the stop-loss of which, existing longs should be held on to.