NIFTY MOVES CLOSER TO 10700 TARGET; 10510 CONTINUES TO BE IMMEDIATE SUPPORT

NIFTY MOVES CLOSER TO 10700 TARGET; 10510 CONTINUES TO BE IMMEDIATE SUPPORT

WORLD MARKETS                             

US indices gained 0.1%-0.4%

U.S. crude surged 2% to settle at $62.96 per barrel. Brent crude rose 1.5% to $68.82.

Yen strengthened and the yield on the 10-year U.S. Treasury note rose to a nine-month high after the Bank of Japan unexpectedly trimmed its long-dated government bonds purchases.

European markets added 0.1%-0.7%.

AT HOME

Benchmark indices ended with modest gains after a rangebound but choppy session. Sensex added 90 points to settle at 34443 while Nifty finished at 10627, up 4 points. BSE mid-cap index however fell 0.4% and small-cap index gained 0.1%. BSE Realty index soared 2.9%, becoming top gainer among sectoral indices, followed by 1.1% higher Energy index. Telecom and Utilities indices were the top losers, down 1.4% and 0.7% respectively.

FIIs net sold stocks worth Rs 304 cr but net bought index futures and stock futures worth Rs 292 cr and 360 cr respectively. DIIs were net buyers to the tune of Rs 523 cr.

Rupee depreciated 22 paise to end at 63.72/$.

Coal India soared after the company approved an average price hike of nearly 10% in non-coking coal prices for both power and non-power consumers with immediate effect.

OUTLOOK

Today morning, Asian markets are trading flat to modestly lower and SGX Nifty is suggesting a flattish start for our market.

At the risk of repeating, we have been working with target of 10700 followed by 10950 ever since 10490 hurdle was taken out. Nifty yesterday touched a high of 10659 before closing at 10637, moving towards the first target.

10700 continues to be immediate target to eye. 10510 continues to be immediate support, with the stop-loss of which, trading longs should be held on to.