17377-17414 IS THE NEXT TARGET ZONE; TRAIL STOP-LOSS TO 16650

 

17377-17414 IS THE NEXT TARGET ZONE; TRAIL STOP-LOSS TO 16650

 

WORLD MARKETS

 

US indices climbed 1%-1.2% despite the latest GDP report showing a second-straight quarter of contraction, as markets bet the economic downturn would soon cause the Federal Reserve to end its aggressive hiking campaign.

 

U.S. economic growth fell 0.9% in the second quarter, as against the estimate of 0.3% growth. First-quarter GDP declined by 1.6%.

 

US 10-year treasury yield fell 10 bps to 2.68%. Dollar index fell a fourth of a percent to 106.21. Gold rose 1.3% to $1756 per ounce.

 

Brent crude futures rose 52 cents to $107.14 while WTI settled 84 cents, or 0.9%, lower at $96.42 a barrel.

 

In Europe, FTSE was little changed while DAX and CAC gained 0.9% and 1.3% respectively.

 

AT HOME

 

Sensex and Nifty soared 1.9% and 1.7% respectively to close at the highest level after 2nd May. Sensex settled at 56857, up 1041 points while Nifty added 287 points to finish at 16929. Nifty mid-cap and small-cap indices gained 0.8% each.  Except 0.4% lower Telecom index, all the BSE sectoral indices ended higher, with IT index on the top, up 2.5%, followed by 2.2% higher Finance and Teck indices.

 

FIIs net bought stocks, index futures and stock futures worth Rs 1638 cr, 1797 cr and 1014 cr respectively. DIIs were net buyers to the tune of Rs 600 cr.

 

Rupee appreciated 15 paise to end at 79.75/$.

 

OUTLOOK

 

Today morning, Nikkei and Shanghai are up a third of a percent each while Hang Seng is down a quarter of a percent. SGX Nifty is suggesting around 200 points higher start for our market.

 

In yesterday's report we had said that 16750-16800 was the immediate resistance zone above which, 200-DMA, placed around 17035, would be next target.

 

Nifty surged to touch a high of 16947 before closing at 16929 and is set to open near 17100 today.

 

A higher start today would achieve 200-DMA target of 17030. 17377-17414, where two tops made in late April are placed, would be the next target zone; 16650 is the immediate support on the hourly chart, with the stop-loss of which, trading longs can be held on to.

 

37700, 38134 are upside levels for Banknifty; 36750 is immediate support.

 

16750-16800 IS THE RESISTANCE ZONE; 16438 SUPPORT

 

16750-16800 IS THE RESISTANCE ZONE; 16438 SUPPORT

 

WORLD MARKETS

 

US indices soared 1.4%-4.1% after Fed announced its much anticipated 0.75% rate increase to fight inflation, but hinted that it could slow the pace of its hiking campaign at some point.

 

“As the stance of monetary policy tightens further, it likely will become appropriate to slow the pace of increases while we assess how our cumulative policy adjustments are affecting the economy and inflation,” he said. Markets were also encouraged after Powell noted that he doesn’t believe the economy is currently in a recession.

 

Alphabet shares rose 7.7% after quarterly report showed strong revenue from Google’s search business. Microsoft gained 6.7% after reporting a 40% jump in revenue growth for Azure and cloud services.

 

US 10-year treasury yield fell 3 bps to 2.778%. Dollar index fell 0.7% to 106.46. Spot gold rose 1% to $1734 per ounce.

 

Brent crude settled 2.1% higher at $106.62 and WTI crude ended the day 2.4% higher at $97.26 per barrel.

 

European markets rose 0.5%-1.5%.

 

AT HOME

 

Benchmark indices surged 1% each, snapping 2-day losing streak. Sensex settled at 55816, up 547 points while Nifty added 158 points to finish at 16641. Nifty mid-cap index rose 1.1% while small-cap index ended absolutely flat. Except 0.8% lower Telecom index, all the BSE sectoral indices ended higher, with Healthcare and Capital Goods indices on the top, up 1.7% each.

 

FIIs net sold stocks worth Rs 437 cr but net bought index futures and stock futures worth Rs 1643 cr and 1130 cr respectively. DIIs were net buyers to the tune of Rs 712 cr.

 

Rupee depreciated 12 paise to end at 79.90/$.

 

OUTLOOK

 

Today morning, Shanghai is marginally higher while Nikkei and Hang Seng are marginally in the red. SGX Nifty is suggesting around 90 points higher start for our market.

 

In yesterday's report we had said that 16450-16460 continued to be immediate support zone, while 16750-16800 was the resistance zone.

 

Nifty, after touching a low of 16438, rebounded to end at 16641 and is set to open above 16700 today.

 

16750-16800 is the immediate resistance zone above which, 200-DMA, placed around 17035, would be next target; 16438, the low made yesterday, is the immediate support.

 

For Banknifty, upon crossover of 37000, 37700, around which a trendline adjoining tops made February and April is placed, would be the next upside level to eye; 36000 continues to be immediate support.

 

Dr Reddy, TVS Motors, Nestle and Vedanta will report their quarterly earnings today.

 

16200 BELOW 16450; 16750-16800 IS THE RESISTANCE ZONE

 

16200 BELOW 16450; 16750-16800 IS THE RESISTANCE ZONE

 

WORLD MARKETS

 

US indices fell 0.7%-1.9% after Walmart cut its earnings forecast, sending other retail shares lower.

 

Walmart cut its quarterly and full-year profit estimates because of rising food inflation.

 

The International Monetary Fund cut its global GDP forecasts for 2022 and 2023. It now expects growth to come in at 3.2% this year, 0.4% lower than its April projection.

 

US 10-year treasury yield fell 2 bps to 2.8%. Dollar index rose 0.7% to 107.20. Gold fell 0.2% to $1716 per ounce.

 

Brent crude inched a fourth of a percent lower to $104.60 per barrel. WTI crude fell 0.8% to $95.49 per barrel.

 

In Europe, FTSE was flat while DAX and CAC fell 0.9% and 0.4% respectively.

 

AT HOME

 

Benchmark indices slipped nine tenth of a percent, extending the losing streak to second straight day. Sensex settled at 55268, down 498 points while Nifty lost 147 points to finish at 16483. Nifty mid-cap and small-cap indices tumbled 1.2% and 1.5% respectively. All the BSE sectoral indices ended in red, with IT and Teck indices leading the losses, down 2.8% and 2.2% respectively.

 

FIIs net sold stocks, index futures and stock futures worth Rs 1548 cr, 924 cr and 632 cr respectively. DIIs were net buyers to the tune of Rs 999 cr.

 

Rupee depreciated 5 paise to end at 79.78/$.

 

OUTLOOK

 

Today morning, Asian markets are trading with cuts of 0.1%-1% with Hang Seng leading the losses. SGX Nifty is suggesting around 20 points lower start for our market.

 

In yesterday's report we had said that 16794, the top made in June, continued to be immediate hurdle, while 16460 continued to be immediate support on the hourly chart, with the stop-loss of which, trading longs could be held on to.

 

Nifty fell to 16463 before closing at 16483.

 

16450-16460 continues to be immediate support zone, upon breach of which, 20-DMA, placed around 16200, would be the next downside level to eye; 16750-16800 is the resistance zone.

 

36000 continues to be immediate support for Banknifty; 37000 is immediate hurdle.

 

Tata Motors, Maruti and Bajaj Finance will report their quarterly earnings today.

 

16794 CONTINUES TO BE IMMEDIATE HURDLE; 16460 IMMEDIATE SUPPORT

 

16794 CONTINUES TO BE IMMEDIATE HURDLE; 16460 IMMEDIATE SUPPORT

 

WORLD MARKETS

 

Dow and S & P 500 gained 0.3% and 01% respectively while Nasdaq fell 0.4%, bracing for Fed decision and key economic data scheduled later in the week.

 

US 10-year treasury yield rose 5 bps to 2.80%. Dollar index was little changed at 106.48. Gold fell 0.4% to $1719 per ounce.

 

Brent September futures settled 1.9% higher at $105.15 a barrel, while WTI crude futures ended the day at $96.70 for a gain of 2.1%.

 

In Europe, FTSE and CAC rose 0.4% and 0.3% respectively while DAX fell 0.3%. Germany's Ifo business climate index for July came in at 88.6, its lowest level in more than two years.

 

AT HOME

 

Benchmark indices slipped half a percent each, snapping a 6-day winning streak. Sensex settled at 55766, down 306 points while Nifty lost 88 points to finish at 16631. Nifty mid-cap and small-cap indices fell 0.1% and 0.6% respectively. BSE Auto and Energy indices tumbled 1.7% and 1.3% respectively, becoming top losers among the sectoral indices while Metal index was the top gainer, up 1.5%, followed by half a percent lower Capital Goods and Basic Materials indices.

 

FIIs net sold stocks, index futures and stock futures worth Rs 845 cr, 987 cr and 629 cr respectively. DIIs were net sellers to the tune of Rs 72 cr.

 

Rupee appreciated 13 paise to end at 79.73/$.

 

OUTLOOK

 

Today morning, Hang Seng is up 0.4% while Nikkei and Shanghai are modestly lower. SGX Nifty is suggesting around 30 points lower start for our market.

 

In yesterday's report we had said that 16794, the top made in June, was the immediate upside target, while immediate support on the hourly chart had moved up to 16460, with the stop-loss of which, trading longs could be held on to.

 

Nifty slipped to touch a low of 16564 before closing at 16605.

 

16794, the top made in June, continues to be immediate upside target, upon crossover of which, 200-DMA, placed around 17050, is the next upside level to eye; 16460 continues to be immediate support on the hourly chart, with the stop-loss of which, trading longs can be held on to.

 

For Banknifty, 37000, the 50% retracement level of the entire 41830-32155 fall, is the upside hurdle, upon crossover of which, 37700, around which a trendline adjoining tops made February and April is placed, would be the next upside level to eye. 36000 is the immediate support on the hourly chart, with the stop-loss of which, trading longs can be held on to.

 

L & T, Asian Paints and Bajaj Auto will report their quarterly earnings today.

 

TRAIL STOP-LOSS TO 16460

 

TRAIL STOP-LOSS TO 16460

 

WORLD MARKETS

 

US indices fell 0.4%-1.9%, with Nasdaq leading the losses, as markets digested disappointing economic data and results from Snap that sent social media shares reeling.

 

A preliminary reading on the U.S. Composite PMI fell to 47.5, down from 52.3 in June and marking the lowest level in more than two years.

 

US 10-year treasury yield slipped 13 bps to 2.752%. Dollar index was flattish at 106.54. Spot gold rose 0.3% to $1,723 per ounce.

 

Brent crude futures settled 0.64% lower at $103.20 per barrel, while WTI crude futures declined 1.71% to $94.70.

 

European markets ended marginally higher. Eurozone flash composite PMI for July came in at 49.4, below the 50 mark that separates growth in activity from contraction. In the U.K., the composite reading came in at 52.8, slightly below a forecast of 53.0 and down from 53.7 in June.

 

AT HOME

 

Benchmark indices rose seven tenth of a percent, extending the winning streak to sixth straight day and closing at the highest level after 02nd May, 2022. Sensex settled at 56072, up 390 points while Nifty added 114 points to finish at 16719. Nifty mid-cap index ended flat while small-cap index rose 0.4%. BSE Bankex and Finance indices were the top gainers among the sectoral indices, up 1.5% and 1.4% respectively whereas Power index was the top loser, down 0.9%, followed by 0.8% lower Teck and Utilities indices.

 

FIIs net sold stocks worth Rs 675 cr but net bought index futures and stock futures worth Rs 1182 cr and 1110 cr respectively. DIIs were net buyers to the tune of Rs 739 cr.

 

Rupee appreciated 10 paise to end at 79.85/$.

 

For the week, Sensex and Nifty gained 4.3% and 4.2% respectively, notching their best weekly gain after the week ended 5th February 2021.

 

OUTLOOK

 

Today morning, Asian markets are trading with cuts of 0.2%-0.9% and SGX Nifty is suggesting around 70 points lower start for our market.

 

In Friday's report we had said that 16794, the top made in June was the next upside level to eye while immediate support on the hourly chart had moved up to 16340, with the stop-loss of which, trading longs could be held on to.

 

Nifty touched a high of 16752 before closing at 16719.

 

16794, the top made in June, continues to be immediate upside target, upon crossover of which, 200-DMA, placed around 17050, is the next upside level to eye. Immediate support on the hourly chart has moved up to 16460, with the stop-loss of which, trading longs can be held on to.

 

For Banknifty, 37000, the 50% retracement level of the entire 41830-32155 fall, is the next target, upon crossover of which, 37700, around which a trendline adjoining tops made February and April is placed, would be the next upside level to eye. 35900 is the immediate support on the hourly chart, with the stop-loss of which, trading longs can be held on to.

 

TRAIL STOP-LOSS TO 16340

 

TRAIL STOP-LOSS TO 16340

 

WORLD MARKETS

 

US indices gained 0.5%-1.4% with Nasdaq again leading the gains as Tesla shares surged on the back of better-than-expected earnings results.

 

The Philadelphia Fed manufacturing index came in at -12.3, worse than the 1.6 estimate. Initial jobless claims climbed to 251,000 for the week of July 16, up from an adjusted 244,000 claims from the prior week, in its third straight weekly gain.

 

European Central Bank delivered a larger-than-expected 50 bps rate hike, which is the first hike in 11 years.

 

US 10-year treasury yield fell 15 bps to 2.878%. Dollar index fell 0.4% to 106.60. Spot gold rose 1.03% to $1,713.69 per ounce.

 

Oil prices fell on higher U.S. gasoline stockpiles and after an ECB rate hike stoked demand worries, while returning oil supply from Libya and the resumption of Russia’s gas flows to Europe eased supply concerns. Brent crude settled 2.9% lower at $103.86 per barrel and WTI crude futures ended the day at $96.35, for a loss of 3.5%.

 

In Europe, FTSE and CAC rose 0.1% and 0.3% respectively but DAX fell 0.3%.

 

AT HOME

 

Benchmark indices rose half a percent each, extending the winning streak to fifth consecutive day and closing at the highest level since early June. Sensex settled at 55681, up 284 points while Nifty added 84 points to finish at 16605. Nifty mid-cap and small-cap indices surged 1.4% and 0.8% respectively. Except 0.1% lower Healthcare index, all the BSE sectoral indices ended higher, with Telecom and Capital Goods indices leading the gains, up 2.2% and 2.1% respectively.

 

FIIs net bought stocks, index futures and stock futures worth Rs 1799 cr, 2449 cr and 510 cr respectively. DIIs were net sellers to the tune of Rs 312 cr.

 

Rupee appreciated 5 paise to end at 79.94/$.

 

OUTLOOK

 

Today morning, Asian markets are trading with gains of 0.3%-0.8% and SGX Nifty is suggesting around 50 points higher start for our market.

 

In yesterday's report we had said that 16600 was the immediate hurdle, upon crossover of which, 16794, the top made in June, would be the next upside level to eye and had advised holding on to long positions with the stop-loss of 16170.

 

Nifty touched a high of 16627 before closing at 16605 and is set to open near 16650 today.

 

16794, the top made in June is the next upside level to eye; Immediate support on the hourly chart has moved up to 16340, with the stop-loss of which, trading longs can be held on to.

 

36425, 37000 are upside level to eye for Banknifty; 35550 is immediate support.

 

NIFTY ACHIEVES 16570

 

NIFTY ACHIEVES 16570

 

WORLD MARKETS

 

US indices rose 0.2%-1.6% with Nasdaq on the top fueled by a rally in tech stocks. All major averages reached their highest point since early June.

 

Mortgage demand declined more than 6% week-on-week, dropping to its lowest level in 22 years. Existing home sales in June fell 5.4% from May.

 

US 10-year treasury yield was unchanged at 3.027%. Dollar index inched up a third of a percent to 107.04. Spot gold was fell 1% to $1,694.59 per ounce.

 

Brent September futures settled 0.4% cents lower at $106.92 per barrel and WTI August futures settled 1.9% lower at $102.26

 

European markets fell 0.2%-0.4%. UK CPI hit a new 40-year high of 9.4%, slightly above a consensus forecast and up from 9.1% in May.

 

AT HOME

 

Benchmark indices climbed 1.1% each, extending the winning streak to fourth consecutive day and closing at the highest level in a month and half. Sensex added 630 points to settle at 55397 while Nifty finished at 16520, up 180 points. Nifty mid-cap and small-cap indices rose 0.2% and 0.8% respectively. BSE IT and Tech indices surged 2.6% and 2% respectively, becoming top gainers among the sectoral indices while Telecom and Power indices were the top losers, down half a percent each.

 

FIIs net bought stocks, index futures and stock futures worth Rs 1781 cr, 2823 cr and 162 cr respectively. DIIs were net sellers to the tune of Rs 230 cr.

 

Rupee depreciated 5 paise to end at 79.99/$.

 

OUTLOOK

 

Today morning, Asian markets are trading with cuts of 0.3%-0.9% and SGX Nifty is suggesting a flattish start for our market.

 

In yesterday's report we had said that 16570, around which a rising trendline adjoining recent tops on daily chart is placed, is the next upside level to eye; 16100 is the immediate support, with the stop-loss of which, trading longs can be held on to.

 

Nifty surged to touch a high of 16588 before easing to close at 16520.

 

16600, around which a rising trendline adjoining recent tops on daily chart is placed, continues to be immediate hurdle, upon crossover of which, 16794, the top made in June, would be the next upside level to eye; 16170 is the immediate support, with the stop-loss of which, trading longs can be held on to.

 

NIFTY SET TO ACHIEVE 16450; 16570 NEXT

 

NIFTY SET TO ACHIEVE 16450; 16570 NEXT

 

WORLD MARKETS

 

US indices soared 2.4%-3.1% following strong earnings reports.

 

Bank shares outperformed with Goldman Sachs, Bank of America and Wells Fargo climbing 3.4%-5.6%. Shares of IBM fell 5.3% after the tech company lowered its forecast for cash flow. Johnson & Johnson reported better-than-expected top and bottom line but cut full-year revenue and profit guidance on stronger dollar.

 

U.S. housing starts fell 2% in June to a seasonally adjusted annual rate of 1.559 million units.

 

US 10-year treasury yield rose 4 bps to 3.03%. Dollar index slipped 0.7% to 106.68. Euro gained 0.8% against the dollar as markets priced in a higher probability of a 50 bps hike from ECB on Thursday. Gold inched up 0.1% to $1711 per ounce.

 

Brent crude futures finished the day 1% higher at $107.35 a barrel and WTI crude settled 1.6% higher at $104.22 per barrel.

 

European markets gained 1%-2.7%.

 

AT HOME

 

After starting nearly half a percent lower, benchmark indices reversed these losses through the session to end higher by four tenth of a percent each, extending the winning streak to third straight day. Sensex settled at 54767, up 246 points while Nifty added 62 points to finish at 16340. Nifty mid-cap and small-cap indices climbed 0.7% and 1% respectively. Except 0.3% lower Oil & Gas index, all the BSE sectoral indices ended higher, with Realty index on the top, up 2.7%, followed by 1% higher Bankex.

 

FIIs net bought stocks and index futures worth Rs 976 cr and 310 cr respectively but net sold stock futures worth Rs 815 cr. DIIs were net sellers to the tune of Rs 101 cr.

 

Rupee appreciated 3 paise to end at 79.94/$.

 

HUL reported all-round beat as far as quarterly results were concerned however management commentary lacked optimism. Ambuja Cement revenue beat estimate while margins were in-line with estimates.

 

OUTLOOK

 

Today morning, Asian markets are trading with gains of 0.4%-2.4% with Nikkei on the top. SGX Nifty is suggesting around 170 points higher start for our market.

 

In yesterday's report we had said that 16450, the 78.6% retracement level of the 16794-15183 fall, was the next upside level to eye and had adivsed holding on to long positions with the stop-loss of 16060.

 

Nifty surged to touch a high of 16359 before closing at 16340 and is set to open near 16500 today.

 

16570, around which a rising trendline adjoining recent tops on daily chart is placed, is the next upside level to eye; 16100 is the immediate support, with the stop-loss of which, trading longs can be held on to.

 

35950-36100 is the next target zone for Banknifty, above which 200-DMA, placed around 36400, would be next upside level to eye; 35000 is immediate support.

 

Wipro and Indusind Bank will report their quarterly earnings today.