17500, 17592 ARE NEXT UPSIDE LEVELS TO EYE; 17150-17100 IS THE SUPPORT ZONE

 

17500, 17592 ARE NEXT UPSIDE LEVELS TO EYE; 17150-17100 IS THE SUPPORT ZONE

 

WORLD MARKETS

 

On Monday, Dow and S & P 500 gained 1% and 0.4% respectively, extending the winning streak to fourth straight day while Nasdaq fell 0.3%. Yesterday, US indices fell 0.5%-0.6% on economic worries.

 

Job openings, a measure of labor demand, decreased 632,000 to 9.9 million in February, the lowest since May 2021. U.S. factory orders also declined for a second straight month, down 0.7% in February after falling 2.1% in January.

 

US 10-year treasury yield fell 7 bps to 3.342%. Dollar index fell half a percent to 101.569, it's lowest level in two months. Gold surged 1.8% to $2021 per ounce.

 

Brent crude futures settled 1 cent higher at $84.94 a barrel, while WTI crude futures closed 29 cents, or 0.4%, higher at $80.71 a barrel.

 

In Europe, FTSE fell half a percent, CAC was flat while DAX inched up 0.1%.

 

AT HOME

 

Benchmark indices rose a fifth of a percent each, extending the winning streak to third consecutive day. Sensex settled at 59106, up 115 points while Nifty added 38 points to finish at 17398. Nifty mid-cap and small-cap indices gained 0.4% and 0.7% respectively. Nifty Auto and PSU Bank indices were the top gainers among the sectoral indices, up 1.5% and 1.1% respectively while FMCG and Metal indices were the top losers, down 0.4% each.

 

FIIs net bought stocks worth Rs 4534 cr but net sold index futures and stock futures worth Rs 511 cr and 307 cr respectively. DIIs were net buyers to the tune of Rs 5524 cr.

 

Rupee depreciated 17 paise to end at 82.33/$.

 

India's March manufacturing PMI hit a 3-month high of 56.4 in March, up from 55.3 in February.

 

OUTLOOK

 

Mainland Chinese and Hong Kong markets are closed today for a holiday. Nikkei is trading with cut of more than a percent. SGX Nifty is trading around 17515, suggesting nearly 40 points higher start for our market.

 

In Monday's report we had said that 17428 followed by 17592, the 61.8% and 78.6% retracement levels of the recent 17800-16828 fall, were the next upside levels to eye while 17050 was the immediate support on the hourly chart, with the stop-loss of which, trading longs could be held on to.

 

Nifty, after touching a high of 17428 at the open, closed at 17398. The benchmark is set to open near Monday's high today.

 

17500, around which 200-DMA is placed, is the next upside target, above which, 17592, the 78.6% retracement levels of the recent 17800-16828 fall, would be next upside level to eye; 17150-17100 is the immediate support zone, with the stop-loss of which, trading longs can be held on to.

 

For Banknifty, 41016, the 78.6% retracement level of the recent 41671-38613 fall, is the next upside target above which 41671 would be next level to eye; 40000 is the immediate support, with the stop-loss of which, trading longs can be held on to.