STAY LONG WITH THE STOP-LOSS OF 8185

STAY LONG WITH THE STOP-LOSS OF 8185

WORLD MARKETS

US indices soared 3.2%-3.6% as President Donald Trump followed last week's massive fiscal stimulus package by extending his stay-at-home guidelines, leaving markets hopeful the economic impact of the coronavirus could still be contained.

Johnson & Johnson said human testing of its experimental vaccine for the coronavirus will begin by September and it could be available for emergency use authorization in early 2021.

WTI crude slipped 6.6% to $20.09 per barrel and  Brent fell 8.7% to  $22.76, their lowest levels in 18 years as demand continues to evaporate, and as OPEC+ production cuts expire beginning April 1.

Main European markets gained 0.6%-1.9%.

AT HOME

Week started on a weak note as benchmark indices tumbled four and a half percent, with the Nifty breaking four-day winning streak. Sensex settled at 28440, down 1375 points while Nifty lost 379 points to finish at 8281. BSE mid-cap and small-cap indices outperformed, losing 2.1% and 1.8% respectively. Except 1.1% and 0.7% higher Healthcare and FMCG indices respectively, all the BSE sectoral indices ended in red with Realty and Finance indices being the top losers, down 7% each.

FIIs net sold stocks and index futures worth Rs 4364 cr and 967 cr respectively but net bought stock futures worth Rs 2012 cr. DIIs were net buyers to the tune of Rs 3550 cr.

Rupee depreciated 76 paise to end at 75.65/$.

OUTLOOK

China's official manufacturing PMI in March came in at 52, up from a record low of 35.7 hit in February and defying expectation of a contraction.

Today morning Asian markets are trading with gains of 0.6%-2.7% and SGX Nifty is suggesting about 150 points higher start for our market.

In yesterday's report we had said that 9038, the top made last week, would now be the immediate hurdle to eye, while 8180 was the immediate support on the hourly chart, with the stop-loss of which, trading longs could be held on to.

Nifty plunged to touch a low of 8244 before closing at 8281 and is set to open above 8400 today. 

9039, the top made on Friday, continues to be immediate hurdle to eye.

8185 continues to be immediate support on hourly chart, with the stop-loss of which, trading longs should be held on to.