11390-11190 CONTINUES TO BE IMMEDIATE RANGE

 

11390-11190 CONTINUES TO BE IMMEDIATE RANGE

 

WORLD MARKETS

 

US indices climbed 1%-2.1% as tech stocks rebounded from steep losses suffered in previous sessions.

 

Sentiment was also lifted after President Donald Trump said late Tuesday that the U.S. government will purchase 100 million doses of Moderna’s experimental coronavirus vaccine, which is currently in late-stage human trials.

 

Meanwhile, House Speaker Nancy Pelosi said both sides were still “miles apart” on relief negotiations.

 

Brent crude rose 95 cents, or 2.1%, to $45.44 a barrel while WTI gained $1.06, or 2.55%, to settle at $42.67 per barrel, after data from EIA showed crude inventories fell by 4.5 million barrels, higher than the expectation for a 2.9 million-barrel drop.

 

In Europe, FTSE surged 2% while DAX and CAC rose 0.9% each. U.K. GDP contracted by a record 20.4% in the second quarter of 2020, compared to the previous three months. However, June saw an 8.7% rebound.

 

AT HOME

 

After falling about seven tenth of a percent in the initial trade, benchmark indices recouped almost all the losses through the session to end just marginally lower. Sensex settled at 38369, down 37 points while Nifty lost 14 points to finish at 11308. BSE mid-cap index fell 0.3% while small-cap index ended flat. BSE Auto index climbed 1.9%, becoming top gainer among the sectoral indices, followed by 0.7% higher Utilities and Power indices. Healthcare index slipped 1.5%, becoming top loser, followed by 0.8% lower Consumer Durables and Realty indices.

 

FIIs net bought stocks worth Rs 351 cr but net sold index futures and stock futures worth Rs 1163 cr and 764 cr respectively. DIIs were net sellers to the tune of Rs 940 cr.

 

Rupee depreciated 6 paise to end at 74.83/$.

 

OUTLOOK

 

Today morning, Nikkei is up 1.7% while Hang Seng and Shanghai are modestly higher. SGX Nifty is suggesting a marginally higher start for our market.

 

In yesterday's report we had said that 11390, the top made on 5th March, continued to be upside resistance while 11190 was the immediate support on the hourly chart, with the stop-loss of which, trading longs should be held on to.

 

Nifty, after touching a low of 11242 in the initial trade, rebounded to end at 11308.

 

11390, the top made on 5th March, continues to be upside resistance to eye. Above 11390, 11433, the top made on 2^nd March, would be the next target.

 

11190 continues to be immediate support on the hourly chart, with the stop-loss of which, trading longs should be held on to.

 

Grasim, Hero MotoCorp, Eicher Motors, BPCL, GAIL and Tata Steel will report their quarterly earnings today.