NIFTY TAKES OUT 9576 HURDLE; STAY LONG WITH THE STOP-LOSS OF 9525

NIFTY TAKES OUT 9576 HURDLE; STAY LONG WITH THE STOP-LOSS OF 9525

WORLD MARKETS                             

Dow and S & P 500 gained 0.6% and 0.2% respectively while Nasdaq fell half a percent in a truncated session and ahead of independence day holiday. Dow hit a fresh record intraday high. Financial and Energy stocks led the gains.

ISM manufacturing index for June rose to 57.8 from 54.9 in May.

Dollar index rose more than half a percent to 96.20, following the data.

Oil continued its pullback rally, with WTI up 2.2% at $47.07 and Brent up 1.9% to $49.68 a barrel.

European markets climbed 0.9%-2%. Euro zone's factory sector grew faster than expected in June, improving to 57.4 - up from 57.0 in May.

AT HOME

Benchmark indices soared 1% each, registering largest single day gain since 25th May, 2017. Sensex climbed 300 points to settle at 31222 while Nifty finished at 9615, up 94 points. BSE mid-cap and small-cap indices added 1.1% each. All the BSE sectoral indices ended in green with FMCG index leading the tally, up 3.4%, followed by 1.9% higher Telecom index.

FIIs net sold stocks and index futures worth Rs 805 cr and 533 cr respectively but net bought stock futures worth Rs 1051 cr. DIIs were net buyers to the tune of Rs 954 cr.

Rupee depreciated 30 paise to end at an over one-month low of 64.88/$.

Bajaj Auto June sales fell 23% to 244878 units. TVS Motors however reported 11% rise at 268638 units. Hero Motocorp too registered 14% growth at 6.24 lac units.

OUTLOOK

North Korea today launched a missile, with Japan saying it appeared to have landed in Japan's exclusive economic zone (EEZ).

Except a 0.2% lower Shanghai, other Asian markets are trading with gains of upto 0.4% and SGX Nifty is suggesting a flattish start for our market.

In yesterday's report we had mentioned that 9576, the top made on Thursday, is now the immediate hurdle, above which 9710 would be the next big hurdle to eye.

Nifty, led by ITC, took out this hurdle in the first hour itself and surged all the way to 9624 before closing at 9615.

9710, the top made in June, continues to be next big hurdle to eye. Immediate support on hourly chart is placed at 9525, with the stop-loss of which, trading longs should be held on to.

U.S. markets will be closed on Tuesday for Independence Day.