TRAIL STOP-LOSS TO 13400

 

TRAIL STOP-LOSS TO 13400

 

WORLD MARKETS

 

After a positive start, Dow and S & P 500 saw a sustained downward move through the session to end with cuts of 0.6% and 0.4% respectively as fears of additional Covid-19 restrictions offset the optimism around a vaccine rollout. Nasdaq however gained half a percent.

 

New York City Mayor Bill warned that the city could experience a “full shutdown” soon. So far, in the US, more than 300,000 coronavirus-related deaths have been confirmed and over 16 million cases have been reported.

 

Meanwhile, U.S. began to roll out a coronavirus vaccine designed by Pfizer and BioNTech to distribution centers across the country and the first dose of the vaccine was administered in New York City.

 

Brent crude rose 32 cents, or 0.6%, to $50.29 a barrel, while WTI crude rose 42 cents, or 0.9%, to $46.99 a barrel.

 

Dollar index fell 0.24% to 90.544. Spot gold fell 0.6% to $1,827.55 per ounce.

 

In Europe, except 0.2% lower FTSE, other indices gained 0.3%-0.8%. UK health secretary said London will be placed on England’s toughest tier of Covid-19 restrictions. Germany will go into a full lockdown over the Christmas period. Meanwhile, Euro zone industrial production increased by 2.1% in October from the previous month.

 

Britain and the EU agreed on Sunday to keep negotiating over a Brexit trade deal but U.K. Prime Minister Boris Johnson still warned businesses to be ready for a “no-deal” exit on Dec. 31 when the transition period ends.

 

AT HOME

 

After a gap-up opening, benchmark indices tumbled nearly a percent from the top of the day, but recouped most of the losses in late noon session to end higher by a third of a percent, hit fresh record highs. Sensex settled at 46253, up 154 points while Nifty added 44 points to finish at 13558. Nifty mid-cap and small-cap indices rose 0.8% and 0.7% respectively. BSE Capital Goods and Oil & Gas indices were the top gainers among the sectoral indices, rising 2.1% and 2% respectively whereas Realty and Auto indices were the top losers, down 1% each.

 

FIIs net bought stocks worth Rs 2264 cr but net sold index futures and stock futures worth Rs 812 cr and 250 cr respectively. DIIs were net sellers to the tune of Rs 1721 cr.

 

Rupee appreciated 7 paise to end at 73.58/$.

 

India’s retail inflation stood at 6.93% in November, compared to 7.61% in October, mainly due to reduction in prices of some food items.

 

India's November WPI inflation came in at 1.55%, up from 1.48% in October.

 

OUTLOOK

 

Today morning, Asian markets are trading with cuts of 0.3%-0.9% and SGX Nifty is suggesting around 30 points lower start for our market.

 

In yesterday's report we had said that 13700 continued to be next upside target and that 13300 continued to be immediate support, with the stop-loss of which, trading longs should be held on to.

 

Nifty, after touching a high of 13597 in the initial trade, eased to end at 13558.

 

13700 continues to be next upside target.

 

13400, where a double bottom on the hourly chart is made, would now act as the immediate support, with the stop-loss of which, trading longs should be held on to.