10810-10860 CONTINUES TO BE RESISTANCE ZONE; 10690 IMMEDIATE SUPPORT

10810-10860 CONTINUES TO BE RESISTANCE ZONE; 10690 IMMEDIATE SUPPORT

WORLD MARKETS

US indices fell 0.4% each on the back of the release of a stream of disappointing economic data.

Durable goods orders for December rose 1.2%. Core capital goods orders fell 0.7% as against expected gain of 0.2%. The Philadelphia Federal Reserve business index fell to negative 4.1 in February — its lowest level since May 2016 — from 17 in January. Economists polled by Dow Jones expected a print of 14. IHS Markit U.S. manufacturing PMI fell to 53.7 in February, a 17-month low, from 54.9 last month. The Conference Board's leading economic index fell for the second straight month in January, marking the index's first back-to-back pullback since early 2016.

US oil fell 20 cents to $56.96 a barrel and Brent eased 13 cents to $66.95.

In Europe, FTSE fell 0.8%, CAC was flat while DAX gained 0.2%. Eurozone flash manufacturing PMI slipped to 49.2 this month, its lowest level since mid-2013. Meanwhile, IHS Markit's flash composite PMI, which is seen as a barometer to economic health, rose to 51.4 in February, from a final reading of 51.0 last month.

AT HOME

Sensex and Nifty gained 0.4% and 0.5% respectively, extending the winning streak to second consecutive day. Sensex settled at 35898, up 142 points while Nifty added 54 points to finish at 10789. BSE mid-cap and small-cap indices climbed 0.9% and 1.1% respectively. Except a 0.3% and 0.2% lower IT and Teck indices respectively, all the BSE sectoral indices ended in green with Basic Material and Metal indices leading the tally, up 1.3% and 1.1% respectively.

FIIs net bought stocks and stock futures worth Rs 55 cr and 301 cr respectively but net sold index futures worth Rs 472 cr. DIIs were net buyers to the tune of Rs 202 cr.

Rupee depreciated 14 paise to end at 71.25/$.

OUTLOOK

Today morning, Asian markets are trading with cuts of 0.3%-0.5% and -SGX Nifty is suggesting a flattish start for our market.

After Nifty crossed the immediate hurdle of 10723 on Wednesday, in yesterday's report we had said that 10810-10860, the region where 20, 34 and 200 DMAs are placed, is the next target/resistance zone to eye.

Nifty touched a high of 10808 before closing at 10790 and is set to open flat today.

10810-10860 continues to be important resistance zone to eye upon crossover of which 10915 followed by 10942 which are the 61.8% and 67% retracement levels of the entire 11118-10585 fall, would be next targets/hurdles to eye.

10690 is the immediate support on the hourly chart, with the stop-loss of which, trading longs can be held on to.