TRAIL STOP-LOSS TO 17160

 

TRAIL STOP-LOSS TO 17160

 

WORLD MARKETS

 

Dow and S & P 500 climbed 1.1% each while Nasdaq rose 0.9% as strong earnings reports fueled stock gains for a second session.

 

Goldman Sachs rose 2.3% after strong trading results helped the investment bank beat quarterly earnings and revenue expectations. Lockheed Martin surged 8.7% after its earnings per share topped estimates. Salesforce rose 4.3% after activist Starboard Value LP revealed a stake in the company.

 

On the data front, homebuilder sentiment fell more than expected in October.

 

US 10-year treasury yield was little changed at 4.011%. Dollar index eased 0.1% to 111.99. Spot gold was up 0.1% at $1,651.50 per ounce.

 

Brent crude futures fell 1.7%, to $90.03 per barrel and WTI crude settled down 3.1% at $82.82 per barrel.

 

European markets rose 0.2%-0.9%.

 

AT HOME

 

Benchmark indices surged a percent, extending the winning streak to third straight day and closing at the highest level after 22nd September. Sensex settled at 58960, up 550 points while Nifty added 175 points to finish at 17487. Nifty mid-cap and small-cap indices rose 1.1% and 0.8% respectively. All the NSE sectoral indices ended higher, with PSU Bank index on the top, up 4%, followed by 2.1% higher Media index.

 

FIIs net sold stocks worth Rs 153 cr but net bought index futures and stock futures worth Rs 2421 cr and 595 cr respectively. DIIs were net buyers to the tune of Rs 2085 cr.

 

Rupee depreciated 1 paise to end at 82.36/$.

 

OUTLOOK

 

Today morning, Nikkei is up 0.7% while Hang Seng and Shanghai are down 0.6% and 0.4% respectively. SGX Nifty is suggesting 15-20 points higher start for our market.

 

In yesterday's report we had said that 17428, the top made on 6th October, was the immediate hurdle, upon crossover of which, 17581 and 17807, the 61.8% and 78.6% retracement levels of recent 18096-16747 fall, would be next upside levels to eye. We had also said that 17098, the low made Monday, was the immediate support.

 

Nifty crossed 17428 and surged all the way to 17527 before closing at 17487.

 

17581 and 17807, the 61.8% and 78.6% retracement levels of recent 18096-16747 fall, are the next upside levels to eye; 17160 is the immediate support on hourly chart, with the stop-loss of which, trading longs can be held on to.

 

For Banknifty, 40760, the 78.6% retracement levels of the recent 41677-37386 fall, is the next upside levels to eye, upon crossover of which, 41677; 39300 is the immediate support.

 

Ultratech Cement and Indusind Bank will report their quarterly earnings today.