TRAIL STOP-LOSS TO 15240

 

TRAIL STOP-LOSS TO 15240

 

WORLD MARKETS

 

Dow and S & P 500 rose 0.4% and 0.1% respectively while Nasdaq ended flat as optimism over economic recovery grew amid strong labor market data.

 

First-time jobless claims fell to a new pandemic low of 406,000, the expected figure being 425000. Durable goods orders for April showed an unexpected decline while the number of pending home sales last month fell 4.4%, due in part to record-low inventory of homes for sale in the first quarter. The U.S. economy expanded at an annualized 6.4% pace in the first quarter unrevised from the prior estimate released last month.

 

Senate Republicans unveiled a $928 billion infrastructure counteroffer to President Joe Biden. However, that’s well below Biden’s most-recent offer of $1.7 trillion.

 

Meanwhile, reports suggested that President Biden is set to propose a $6 trillion budget.

 

Brent crude rose 25 cents to $69.12 a barrel while WTI rose 34 cents to $66.55 a barrel.

 

The yield on the benchmark 10-year Treasury note rose to 1.6%. The dollar index was down 0.1%. Spot gold was little changed at $1,896.76 per ounce.

 

In Europe, FTSE and DAX fell 0.1% and 0.3% respectively while CAC gained 0.7%.

 

AT HOME

 

Sensex and Nifty gained a fifth of a percent after a choppy session with Nifty hitting a record high on closing basis. Sensex added 98 points to settle at 51115 while Nifty finished at 15337, up 36 points. Nifty mid-cap and small-cap indices climbed 0.5% and 1% respectively. BSE Bankex and Consumer Durables indices were the top gainers among the sectoral indices, rising 1.2% and 1% respectively while Realty and Telecom indices were the top losers, down 1.1% and 0.6% respectively.

 

FIIs net sold stocks and stock futures worth Rs 661 cr and 280 cr respectively but net bought index futures worth Rs 2637 cr. DIIs were net buyers to the tune of Rs 112 cr.

 

Rupee appreciated 18 paise to end at 72.59/$.

 

OUTLOOK

 

Today morning, Nikkei and Hang Seng are up 2% and 0.6% respectively while Shanghai is little changed. SGX Nifty is suggesting around 80 points higher start for our market.

 

In yesterday's report we had said that 15336, the top made in March, continued to be upside level to eye, upon crossover of which, 15431, the top made in February, would be the next target. We had also advised trailing stop-loss in long positions to 15150.

 

Nifty surged to touch a high of 15384 before closing at 15337 and is set to open near 15400 today.

 

15431, the top made in February, continues to be the next upside target.

 

Immediate support on the hourly chart has moved up to 15240, with the stop-loss of which, trading longs can be held on to.