NIFTY ACHIEVES 10285 TARGET; 10360 NEXT

NIFTY ACHIEVES 10285 TARGET; 10360 NEXT

WORLD MARKETS                             

US indices, led by energy and tech stocks, gained 0.2%-0.5%, shrugging off a terror incident ahead of Wednesday's US Fed decision.

Brent crude rose 2% to $64.69 and WTI settled 1% higher at $57.99 to reach their highest levels in more than two years on news that Britain's Forties Pipeline would be shut.

European markets, except a 0.8% higher FTSE, ended with cuts of 0.1%-0.4%.

AT HOME

Benchmark indices gained about six tenth of a percent in today's trade to extend winning streak to third straight day. Sensex gained 205 points to settle at 33456 while Nifty finished at 10322, up 57 points. BSE mid-cap and small-cap indices gained 0.4% and 0.2% respectively. BSE IT and Teck indices climbed 1% and 0.9% respectively to become top gainers among sectoral indices while Oil & Gas and Energy indices were the top losers, down 0.2% each.

FIIs net sold stocks worth Rs 186 cr but net bought index futures and stock futures worth Rs 110 cr and 54 cr respectively. DIIs were net buyers to the tune of Rs 109 cr.

Rupee appreciated 9 paise to end at 64.36/$.

OUTLOOK

Today, Asian markets are trading little changed and SGX Nifty is suggesting a flattish start for our market.

Readers would recall that after Nifty took out the immediate hurdle of 10160, we had given upside targets of 10285 followed by 10370. Nifty yesterday climbed 57 points to settle at 10322, achieving the first target and moving towards the second.

10360, where a trendline adjoining tops made in November is placed, continue to be next target as well as resistance to eye.

Immediate support on the hourly chart has moved up to 10170, with the stop-loss of which, trading longs should be held on to.

CPI for November and IIP for October will be released today. CPI is expected to inch up to 4.20% from October's 3.58% level. IIP is expected to ease to 3% from previous month's 3.8% level.

Fed begins its two-day meeting today. Markets are expecting an interest rate hike and will watch out for FOMC members' views on the outlook for the U.S. economy.