11240-11056 CONTINUES TO BE IMMEDIATE RANGE

11240-11056 CONTINUES TO BE IMMEDIATE RANGE

WORLD MARKETS

Nasdaq climbed 1.7% while S & P 500 and Dow rose 0.7% and 0.4% respectively on the back of surge in technology stock, US government stimulus efforts and progress over coronavirus vaccine.

Apple, Amazon, Facebook and Alphabet, all due to report earnings this week, were among the top gainers of the S&P 500.

After the market closed, U.S. Senate Majority Leader Mitch McConnell unveiled the Republican coronavirus relief plan, which would include relief for jobless Americans, another direct payment to individuals of up $1,200, more Paycheck Protection Program small business loan funds, among other provisions.

U.S. drugmaker Pfizer and German biotech firm BioNTech said they began their late-stage human trial for a potential coronavirus vaccine. Biotech firm Moderna also said it began its late-stage coronavirus vaccine trial.

Brent crude rose 7 cents to settle at $43.41 per barrel, while WTI crude settled 31 cents, or 0.75%, higher at $41.60 per barrel.

In Europe, DAX ended flat while FTSE and CAC fell 0.3% each. British government imposed a two-week quarantine on anyone returning from Spain. Germany's Ifo business climate index climbed more than expected to 90.5 in July from an upwardly revised 86.3 in June.

Earlier, data showed China’s industrial profit soared in June as the economy looks to bounce back from coronavirus-induced shutdowns.

AT HOME

Sensex and Nifty ended lower by 0.6% and 0.5% lower after rangebound but choppy session, extending the losing streak to second straight day. Sensex settled at 37934, down 194 points while Nifty lost 62 points to finish at 11131. BSE mid-cap and small-cap indices tumbled 1% each. BSE Bankex and Finance indices tumbled 3.6% and 2.4% respectively, becoming top losers among the sectoral indices while IT and Teck indices were the top gainers, up 2.4% and 1.8% respectively.

FIIs net sold stocks and stock futures worth Rs 453 cr and 148 cr respectively but net bought index futures worth Rs 500 cr. DIIs were net sellers to the tune of Rs 978 cr.

Rupee ended unchanged at 74.83/$.

OUTLOOK

Today morning, Asian markets are trading with gains of 0.4%-0.9% and SGX Nifty is suggesting around 60 points higher start for our market.

In yesterday's report we had said that 11244, the upper end of the gap created by gap-down opening on 6th March, continued to be immediate hurdle while 11056, the bottom made on Wednesday, continued to be immediate support, with the stop-loss of which, trading longs should be held on to.

Nifty, after touching a low of 11087, closed at 11131 and is set to open near 11200 today.

11244, the upper end of the gap created by gap-down opening on 6th March, continues to be immediate hurdle. Above 11244, 11390, the top made on 5th March, would be the next target/hurdle.

11056, the bottom made on Wednesday, continues to be immediate support, with the stop-loss of which, trading longs should be held on to.