Monday, December 10, 2018

10535 BELOW 10588; 10722-10747 CONTINUES TO BE RESISTANCE ZONE


10535 BELOW 10588; 10722-10747 CONTINUES TO BE RESISTANCE ZONE

WORLD MARKETS

US indices nosedived 2.2%-3% on Friday on the back of a weaker-than-expected jobs report and China-U.S. trade tensions.

The U.S. economy added 155,000 jobs last month, lower than the expected gain of 198,000 jobs. Wage growth also missed estimates.

Wall Street Journal reported federal prosecutors are expected to bring charges against Chinese hackers allegedly trying to break into technology service providers in the U.S.

US crude rose 2.2% to $52.61 and Brent rose 2.7% to $61.67 a barrel after OPEC, Russia and several other producers reached an agreement to cut output by 1.2 million bpd during the first six months of 2019.

European markets, except 0.2% lower DAX, gained 0.5%-1.1%.

For the week, US indices nosedived 4.5%-4.9%. European markets tumbled 2.9%-4.2%. In Asia, Nikkei and Hang Seng fell 3% and 1.7% respectively, while Shanghai rose 0.7%.

AT HOME

Sensex and Nifty soared 1% and 0.9% respectively, breaking three-day losing streak. Sensex settled at 35673, up 361 points while Nifty added 92 points to finish at 10693. Broader market however underperformed with 0.2% higher mid-cap index and 0.3% lower small-cap index. BSE Bankex and Finance indices climbed 1.7% and 1.1% respectively, becoming top gainers among the sectoral indices while Utilities and Oil & Gas indices were the top losers, down 1% and 0.6% respectively.

FIIs net sold stocks worth Rs 817 cr but net bought index futures and stock futures worth Rs 617 cr and 855 cr respectively. DIIs were net buyers to the tune of Rs 243 cr.

Rupee appreciated 10 paise to end at 70.80/$.

For the week, Sensex and Nifty fell 1.4% and 1.6% respectively.

Exit polls released on Friday predicted clear wins for the Congress in Rajasthan and TRS in Telangana and a hung assembly in Mizoram, but presented a confused picture/close contest in Madhya Pradesh and Chhattisgarh.

OUTLOOK

China's November exports rose 5.4% y-o-y, the weakest performance since March and below the 10% jump predicted by a Reuters poll. Import growth was 3%, the slowest since October 2016, and a fraction of the 14.5% expected.

U.S. Trade Representative Robert Lighthizer told in an interview on Sunday that the end of the 90-day pause in tariff escalation between Washington and Beijing in their trade war is a "hard deadline."

Today morning, Nikkei and Hang Seng are down 1.8% and 1% respectively while Shanghai is off 0.3%. SGX Nifty is suggesting about 110 points lower start for our market.

Readers would recall that we had turned our view negative after Nifty broke the immediate support of 10750, where 200-DMA was also placed. Nifty, after touching a low of 10588, which roughly coincided with the 38.2% retracement level of the entire 10004-10941 upmove, rebounded on Friday to end at 10693 but is set to open around the bottom made last week. We had also said on Friday, that, 10747-10722, the gap created by Thursday's gap down opening, would now act as the immediate hurdle, with the stop-loss of which, trading shorts can be held on to.

Below 10588, which is the bottom made last week, next important support to eye would be 34-DMA, which is placed around 10535. Below 10535, 10470, the 50% retracement level of the entire 10004-10941 upmove, would be the next support to eye.

10747-10722 continues to be immediate resistance zone, with the stop-loss of which, trading shorts should be held on to.

Friday, December 7, 2018

US EQUITIES STAGE MAMMOTH COMEBACK; EXIT POLLS IN FOCUS AT HOME


US EQUITIES STAGE MAMMOTH COMEBACK; EXIT POLLS IN FOCUS AT HOME

WORLD MARKETS

After falling nearly 3%, US indices made a spectacular comeback after news broke that the Federal Reserve could tighten monetary policy at a slower pace than previously expected, to end mixed with modest changes. Dow and S & P 500 ended lower by 0.3% and 0.2% respectively while Nasdaq rose 0.4%.

The Wall Street Journal reported that the U.S. central bank is considering whether to signal a wait-and-see approach to rate hikes at its upcoming meeting this month. The report said Fed officials do not know what their next move on rates will be after December.

The initial fall was attributed to news of the arrest of Huawei CFO Meng Wanzhou in Canada reportedly over the possible violation of sanctions against Iran. She faces extradition to the U.S. The arrest decreases the likelihood that a permanent U.S.-China trade deal will be reached.

US crude tumbled 2.7% to $51.49 a barrel and Brent fell 2.9% to $59.79 as OPEC reportedly agreed to cut production, but delayed making a decision on how deeply it would cut production until after it meets with Russia on Friday.  

The U.S. economy added 179,000 private jobs in November, below an estimate of 195,000, according to a report from ADP and Moody's Analytics.

European markets tumbled 3.2%-3.5%

AT HOME

Sensex and Nifty nosedived 1.6% and 1.7% respectively, extending the losing streak to third straight day and suffering the worst fall since 11th October, 2018. Sensex settled at 35312, down 572 points while Nifty tumbled 181 points to finish at 10601. BSE mid-cap and small-cap indices fell 1.5% and 1.4% respectively. All the BSE sectoral indices ended in red with Energy index leading the tally, down 2.4%, followed by 2.3% lower Auto and Realty indices.

FIIs net bought stocks worth Rs 72 cr but net sold index futures and stock futures worth Rs 1722 cr and 1047 cr respectively. DIIs were net sellers to the tune of Rs 390 cr.

Rupee closed at 70.90/$, depreciating 44 paise compared to previous close.

Fitch Ratings cut India's FY19 GDP growth forecast to 7.2% from 7.8%. The rating agency has also cut growth forecasts for FY20 and FY21 to 7% from 7.3% and 7.1% from 7.3%, respectively.

OUTLOOK

Today morning, Asian markets are trading with modest gains and SGX Nifty is suggesting about 50 points higher start for our market.

For past couple of sessions We had been mentioning that the 200-DMA, placed around 10750, is the immediate support and had given downside target of 10675 below that.

Nifty broke 10750 yesterday and plunged all the way to 10588 before closing at 10601 and is set to open around 10650 today.

10588, the low made yesterday, roughly coincides with the 38.2% retracement level of the entire 10004-10941 upmove and hence is the immediate support to eye. Below 10588, 34-DMA, placed around 10530, would be the crucial support to eye.

10747-10722, the gap created by yesterday's gap down opening, would now act as the immediate hurdle, with the stop-loss of which, trading shorts can be held on to.

Rajasthan and Telangana will poll for assembly elections today and exit polls for all the five assembly elections-Rajasthan, Telangana, Madhya Pradesh, Mizoram and Chhattisgarh-will be released after 5.30 pm today. The counting of votes will take place on December 11.

Thursday, December 6, 2018

10675 IS THE NEXT SUPPORT; 10850 IMMEDIATE HURDLE


 10675 IS THE NEXT SUPPORT; 10850 IMMEDIATE HURDLE

WORLD MARKETS

U.S. stock market was shut yesterday out of respect for former President George H.W. Bush's funeral.

Main European markets ended with cuts of 1.2%-1.4% as resurgent trade worries worsened fears about global economic growth. Eurozone retain sales were up 0.3% month-on-month and 1.7% year-on-year gain.

Sterling to fall below the $1.27 mark for the first time since the end of October after British Prime Minister Theresa May suffered a series of embarrassing defeats in Parliament on Tuesday.

US oil fell 36 cents to $52.89 a barrel and Brent was down 24 cents at $61.84 ahead of a meeting of the world's biggest oil exporters who will discuss cutting output to help shore up prices and curb excess supply..

AT HOME

Benchmark indices fell 0.7% each, extending the losing streak to second straight day. Sensex lost 250 points to settle at 35884 while Nifty finished at 10785, down 84 points. BSE mid-cap and small-cap indices tumbled 1.2% each. All the BSE sectoral indices ended in red with Metal and Auto indices leading the losses, down 3.8% and 2.4% respectively.

FIIs net sold stocks, index futures and stock futures worth Rs 358 cr, 1165 cr and 843 cr respectively. DIIS were net sellers to the tune of Rs 792 cr.

Rupee appreciated 3 paise to end at 70.46/$.

The monetary policy committee (MPC) kept the benchmark repo rate unchanged at 6.50% as expected and also kept its stance unchanged at 'calibrated tightening'. The committee decided to cut the statutory liquidity ratio (SLR) to 18.0% from 19.5%. Starting the January-March quarter, SLR will be cut by 25 basis points each quarter in order to align it with the liquidity coverage ratio. The RBI also cut its inflation projection for second half of FY19 to 2.7-3.2% from 3.9-4.5% earlier and for first half of FY20 to 3.8%-4.2% from 4.8% earlier. FT19 GDP growth target was maintained at 7.4%.

OUTLOOK

Today morning, Asian markets are down 0.7%-2.2% and SGX Nifty is suggesting about 80 points lower start for our market.

For past couple of sessions, we have been mentioning that 20-week moving average, placed around 10960, is the immediate hurdle, a crossover of which is required for a fresh upmove. We had also said that 200-DMA, placed around 10750, is the immediate support.

Nifty, yesterday, after touching a low of 10748, closed at 10782 but is set to open around 10700 today.

As mentioned yesterday, below 10750, next support to eye would be 20-DMA, which is placed around 10675.

10850 is the immediate hurdle on the hourly chart above which 10941, the top made on Monday, would be the next important hurdle to eye.

Wednesday, December 5, 2018

US INDICES NOSEDIVE ON RECESSION, TRADE CONCERNS; 10750-10960 CONTINUES TO BE IMMEDIATE RANGE FOR NIFTY


US INDICES NOSEDIVE ON RECESSION, TRADE CONCERNS; 10750-10960 CONTINUES TO BE IMMEDIATE RANGE FOR NIFTY

WORLD MARKETS

US indices nosedived 3.1%-3.8% on concerns over a potential economic slowdown and lingering worries around U.S.-China trade.

The yield on the three-year Treasury note surpassed five-year yield on Monday. When a so-called yield curve inversion happens — short-term yields trading above longer-term rates — a recession could follow, though it is often years away after the signal triggers.

Uncertainty surrounding the details of the agreement struck between U.S. President Trump and Chinese President Xi Jinping in Argentina also weighed on sentiment. Discrepancies over when that truce would begin has led to confusion, with conflicting messages coming from within the White House as well as differing opinions from Trump, Washington and Beijing over the actual details of the agreement.

Meanwhile, Trump made clear through series of tweets that he would revert to tariffs on China if the two sides could not resolve their differences.

US crude rose 30 cents to $53.25 a barrel and Brent rose 39 cents to $62.08.

European markets fell 0.6%-1.4%.

AT HOME

Sensex and Nifty ended lower by 0.3% and 0.1% respectively, breaking six-day upmove. Sensex lost 106 points to settle at 36134 while Nifty finished at 10869, down 14 points. BSE mid-cap index fell 0.1% but small-cap index rose 0.1%. BSE IT and Teck indices climbed 1.7% and 1.4% respectively, becoming top gainers among the sectoral indices while FMCG, Telecom, Realty and Consumer Durable indices fell 0.6% each, becoming top losers.

FIIs net sold stocks and stock futures worth Rs 56 cr and 399 cr respectively but net bought index futures worth Rs 37 cr. DIIs were net sellers to the tune of Rs 521 cr.

Rupee depreciated 4 paise to end at 70.49/$.

OUTLOOK

Today morning, Asian markets are trading with cuts of 0.8%-1.7% and SGX Nifty is suggesting about 50 points lower start for our market.

In yesterday's report we had reiterated the view that 20-week moving average, placed around 10960, is the immediate hurdle, a crossover of which is required for a fresh upmove. We had also said that 200-DMA, placed around 10750, is the immediate support, with the stop-loss of which, existing longs can be held on to.

Nifty yesterday closed at 10869 and is set to open near 10800 today.

10750 continues to immediate support, upon breach of which 10660, where 20-DMA as sell as a trendline adjoining recent bottoms on the daily chart is palced, would be the next support to eye. 10960 continues to be immediate hurdle.

Key event to watch out today would be the monetary policy decision by monetary policy committee. While repo rate is widely expected to be unchanged at 6.5%, lower inflation and slower growth could change the tone.

U.S. stock market will be closed today out of respect for former President George H.W. Bush's funeral.

Tuesday, December 4, 2018

NIFTY RETREATS FROM THE VICINITY OF 20-WEEK MOVING AVERAGE HURDLE; 200-DMA LANDS SUPPORT AT 10746


NIFTY RETREATS FROM THE VICINITY OF 20-WEEK MOVING AVERAGE HURDLE; 200-DMA LANDS SUPPORT AT 10746

WORLD MARKETS

US indices gained 1%-1.5% after U.S. President Donald Trump and Chinese President Xi Jinping agreed to a 90-day cease-fire in the trade war.

Shares of General Motors, Ford and Tesla all jumped after Trump tweeted that China agreed to cut tariffs on U.S. cars sold into China.

US crude rose $2.02 or 4% to $52.95 a barrel and Brent was up $1.66 or 2.8% at $61.12.

European markets rose 1%-2.3%. Basic resources stocks — with their heavy exposure to China — jumped the most. Auto stocks too joined the party.

AT HOME

After rising more than half a percent in the initial trade, benchmark indices gave away most of the gains through the session to end just marginally higher. Sensex settled at 36241, up 46 points while Nifty added 7 points to finish at 10883. BSE mid-cap and small-cap indices however gained half a percent each. BSE Utilities and Realty indices climbed 2.7% and 2.6% respectively, becoming top gainers among the sectoral indices while Healthcare and Energy indices were the top losers, down 1.2% and 0.5% respectively.

FIIs net bought stocks, index futures and stock futures worth Rs 293 cr, 401 cr and 350 cr respectively. DIIs were net sellers to the tune of Rs 806 cr.

Rupee plunged 86 paise to end at 70.45/$, suffering worst fall since August 13.

India's November manufacturing PMI rose to 2018 high of 54 Vs 53.1 in October.

TVS Motor's total sales rose 27% to 3.2 lakh units. Ashok Leyland reported 9% fall in total sales at 13121 units. M & M's tractor sales rose 13% to 25949 units.

OUTLOOK

Today morning, Asian markets are trading with cuts of upto 0.6% and SGX Nifty is suggesting about 25 points lower start for our market.

In yesterday's report we had said that "10965, where 20-week moving average is placed, continues to be immediate upside target as well as resistance to eye."

Nifty, after touching a high of 10941 in the initial trade, retreated to end at 10883 and is set to open around lower today.

10960, where 20-week moving average is placed, continues to be immediate hurdle to eye, a crossover of which is required for a fresh upmove. If that happens, 11090, the 61.8% retracement level of the entire 11760-10004 fall, would be the next hurdle to eye.

200-DMA, placed at 10746, continues to be immediate support, with the stop-loss of which, existing longs can be held on to.

Monday, December 3, 2018

ASIAN EQUITIES CHEER US-CHINA TRADE TRUCE; 10965, 11090 UPSIDE TARGETS FOR NIFTY


ASIAN EQUITIES CHEER US-CHINA TRADE TRUCE; 10965, 11090 UPSIDE TARGETS FOR NIFTY

WORLD MARKETS

US indices gained 0.8% each on Friday on renewed bets the U.S. and China could strike a deal on trade.

Reuters reported that a Chinese official said "consensus is steadily increasing" in U.S.-China trade talks. U.S. Trade Representative Robert Lighthizer said he expected the meeting to be a "success," raising hope that a trade truce between the world's largest economies could be struck.

WTI oil fell 52 cents or 1% to $50.93 a barrel and Brent eased 76 cents or 1.3% to $58.75.

European markets, except 0.2% higher Italy, fell upto 0.8%, with FTSE leading the losses. Italian Prime Minister told an Italian newspaper that he is working on a proposal to reduce the planned deficit target for 2019.

For the week, US indices soared 4.8%-5.6% with S & P 500 and Nasdaq posting best weekly performance since 2011 and Dow had the best week in two years. European markets gained 0.4%-1.2%. In Asia, Nikkei and Hang Seng climbed 3.2% and 2.2% while Shanghai inched up 0.3%.  

AT HOME

Benchmark indices ended with modest gains, extending the winning streak to fifth straight day. Sensex settled at 36194, up 24 points while Nifty added 18 points to finish at 10876. BSE mid-cap and small-cap indices gained 0.6% and 0.5% respectively. BSE Realty and Healthcare indices climbed 2% and 1.8% and respectively, becoming top gainers among the sectoral indices. Telecom and Oil & Gas indices tumbled 1.5% and 1% respectively, becoming top losers.

FIIs net sold stocks worth Rs 333 cr but net bought index futures and stock futures worth Rs 172 cr and 290 cr respectively. DIIs were net buyers to the tune of Rs 1490 cr.

Rupee appreciated 25 paise to end at 69.59/$.

For the week, Sensex and Nifty gained 3.5% and 3.3% respectively.

India’s GDP expanded at a slower-than-expected pace of 7.1% in the fiscal second quarter despite a lower base. GDP growth in first quarter stood at 8.2%, a nine-quarter high.

Fiscal deficit at the end of October stood at Rs 6.49 lakh crore, or 103.9% of full fiscal FY19 estimates as tax revenues remained muted, triggering concerns the government may miss the target for the year.

Maruti's November sales were down 0.7% y-o-y at 1.53 lakh units. M & M auto sales rose 17% to 45101 units. Escorts tractor sales were up 56.4% at 8005 units. Hero MotoCorp sales were up 0.8% at 6.10 lakh units. Eicher Motor's total motorcycle sales were down 6% at 65744 units.

November GST collections stood at Rs 97637 cr Vs Rs 100,710 cr month-on-month.

OUTLOOK

U.S. President Donald Trump and Chinese President Xi Jinping, who met for dinner on Saturday at the G-20 summit in Argentina, agreed to hold off on additional tariffs on each other's goods at the start of the new year to allow for talks to continue.

Owing to this, Asian markets are trading with gains of 1.3%-2% and US futures are up 1.5%-1.8%. SGX Nifty is suggesting about 70 points higher start for our market.

In Friday's report we had said that "10965, where 20-week moving average is placed, is the next upside target/resistance to eye" and had advised trailing the stop-loss to 10740 in long positions.

Nifty, after touching a high of 10922 in the initial trade, eased to end at 10876, but is set to open above 10900 today.

10965, where 20-week moving average is placed, continues to be immediate upside target as well as resistance to eye. Above 10965, 11090, the 61.8% retracement level of the entire 11760-10004 fall, would be the next hurdle to eye.

10744, where 200-DMA is palced, continues to be immediate support, with the stop-loss of which, trading longs can be held on to.

Friday, November 30, 2018

NIFTY ACHIEVES 10880 TARGET; TRAIL STOP-LOSS TO 10740


NIFTY ACHIEVES 10880 TARGET; TRAIL STOP-LOSS TO 10740

WORLD MARKETS

US indices fell 0.1%-0.25% on uncertainty over trade deal between US and China.

Trump told reporters that he was "close" to doing something on trade with China but added he wasn't sure if he wanted to do it.  "Because what we have right now is billions and billions of dollars coming into the United States in the form of tariffs or taxes, so I really don't know," he said.

Meanwhile, reports said that White House advisor Peter Navarro would be attending the dinner between Trump and Xi. This dampened hopes of trade deal, given his longstanding hawkish tone on U.S.-China trade.

Minutes of the latest Fed meeting showed some officials think the federal funds rate could be "near its neutral level," possibly signaling fewer rate hikes down the road.

US crude rose 2.3% to $51.45 a barrel on report that Russia had accepted the need to cut production, together with OPEC ahead of its meeting next week. Brent rose 75 cents, or 1.3%, to $59.51.

European markets ended mixed with modest changes.

AT HOME

Benchmark indices soared a percent and fifth to close at the highest level since 1st October 2018. Sesex added 453 points to settle at 36170 while Nifty finished at 10858, up 129 points. BSE mid-cap and small-cap indices however underperformed, rising just 0.6% and 0.2% respectively. BSE Metal index and Bankex climbed 2% and 1.8% respectively, becoming top gainers among the sectoral indices while IT index was the top loser, down 1%, followed by 0.7% lower Utilities and Teck indices.

FIIs net bought stocks, index futures and stock futures worth Rs 823 cr, 3303 cr and 657 cr respectively. DIIs were net buyers to the tune of Rs 973 cr.

Rupee appreciated 78 paise to end at 69.84/$, the highest level since August 21.

OUTLOOK

Today morning, Nikkei and Shanghai are marginally lower while Hang Seng is up 0.2%. SGX Nifty is suggesting about 25 points higher start for our market.

Readers would recall that we had given upside targets of 10775 followed by 10880 after immediate hurdle of 10625 was taken out.

Nifty yesterday soared to 10883 before closing at 10858, achieving 10880 target and vindicating our view.

10965, where 20-week moving average is placed, is the next upside target/resistance to eye.

200-DMA, placed around 10740, would now act as the immediate support, with the stop-loss of which, trading longs can be held on to.

Thursday, November 29, 2018

10880 IS THE NEXT UPSIDE TARGET; TRAIL STOP-LOSS TO 10625


10880 IS THE NEXT UPSIDE TARGET; TRAIL STOP-LOSS TO 10625

WORLD MARKETS

US indices soared 2.3%-3%, with the Dow posting its biggest single day gain in eight months, after Federal Reserve Chairman Jerome Powell said interest rates are close to neutral, an important distinction from  "long way from neutral" remarks he made less than two months ago.

Bank stocks climbed as short-term borrowing rates fell and long-term rates rose following Powell's remarks.

Media reports suggesting that Trump was worried about the impact of a long trade war with China on markets and the economy, which could make him seek a compromise with China on trade, also boosted sentiment.

Dollar index fell about half a percent to 96.83.

US oil tumbled 2.5% to $50.29 a barrel and Brent fell $1.05, or 1.7% to $59.16 after U.S. crude inventories rose for the 10th week in a row.

European markets ended mixed with modest changes.

AT HOME

Sensex and Nifty gained 0.6% and 0.4% respectively, extending the winning streak to third straight day Sensex settled at 35717, up 204 points while Nifty added 43 points to finish at 10728. BSE mid-cap and small-cap indices however tumbled 0.5% each. BSE IT and Teck indices soared 3.6% and 2.9% respectively, becoming top gainers among the sectoral indices while Telecom and Realty indices tumbled 2.9% and 1.9% respectively, becoming top losers.

FIIs net sold stocks and stock futures worth Rs 961 cr and 571 cr respectively but net bought index futures worth Rs 1067 cr. DIIs were net buyers to the tune of Rs 330 cr.

Rupee appreciated 14 paise to end at 70.62/$.

Yes Bank tumbled as Moody’s Investors Service downgraded its foreign currency borrowings (FCBs) by two notches to non-investment grade on the back of a series of resignations from the Board.

OUTLOOK

Today morning, Asian markets are trading with gains of 0.5%-1% and SGX Nifty is suggesting about 100 points higher start for our market.

In yesterday's report we had said that "10775, the top made on 19th November, continues to be next upside target above which 10880, the 50% retracement level of the entire 11760-10004 fall, would be the next target/resistance to eye".

Yesterday, Nifty touched a high of 10757 before closing at 10728 and is set to open above 10800 today.

10880, as mentioned above, continues to be next upside target to eye.

Immediate support on the hourly chart has moved up to 10625, with the stop-loss of which, trading longs should be held on to.

Wednesday, November 28, 2018

10775 IS THE NEXT TARGET/HURDLE; 10600 IMMEDIATE SUPPORT


 10775 IS THE NEXT TARGET/HURDLE; 10600 IMMEDIATE SUPPORT

WORLD MARKETS

Nasdaq ended flat while Dow and S & P 500 gained 0.3% and 0.4% respectively on hope that the U.S. and China will strike a compromise on trade.

National Economic Council Director Larry Kudlow said the White House was having "a lot of communication with the Chinese government at all levels" ahead of a meeting between Trump and his Chinese counterpart, Xi Jinping and that Trump thinks there is a "good possibility" the two countries can reach and agreement.

Kudlow's comments came after Trump told media that it was "highly unlikely" that the U.S. would delay from increasing tariffs on $200 billion in Chinese goods to 25% and a 10% tariff on laptops and iPhones imported from China could be imposed.

Fed Vice Chairman Richard Clarida said the central bank was "much closer" to a neutral rate than it was in December 2015, the first time the Fed hiked since the financial crisis. "How close is a matter of judgment, and there is a range of views on the FOMC," he said.

US crude fell 7 cents to $51.56 a barrel. Brent fell 27 cents to $60.21.

European markets fell upto 0.4%.

AT HOME

After falling about a third of a percent in the morning, benchmark indices rebounded smartly in noon trade to end higher by about half a percent. Sensex settled at 35513, up 159 points while Nifty added 57 points to finish at 10685. BSE mid-cap and small-cap indices gained 0.3% and 0.4% respectively. BSE IT and Teck indices climbed 1.7% and 1.4% respectively, becoming top gainers among the sectoral indices while Healthcare and Metal indices were the top losers, down 0.9% and 0.8% respectively.

FIIs net bought stocks worth Rs 812 cr but net sold index futures and stock futures worth Rs 705 cr and 103 cr respectively. DIIs were net buyers to the tune of Rs 31 cr.

Rupee appreciated 11 paise to end at 70.76/$.

OUTLOOK

Today morning, shanghai is flat while Hang Seng and Nikkei are up 0.3% and 0.7% respectively. SGX Nifty is suggesting about 30 points higher start for our market.

In yesterday's report we had said that 10665, the 61.8% retracement level of the recent 10775-10490 fall, is the immediate hurdle upon crossover of which, 10775, the top made last week, would be the next target to eye.

Nifty crossed 10665 hurdle and went all the way to 10695 before closing at 10685 and is set to open above 10700 today.

10775, the top made on 19th November, continues to be next upside target as well as resistance to eye. If Nifty is able to take out this hurdle, 10880, the 50% retracement level of the entire 11760-10004 fall, would be the next target/resistance to eye.

10600 is the immediate support on the hourly chart, below which 10490, the bottom made on Monday, would be the important support to eye. Traders are advised to hold long positions with the stop-loss of 10600.