STAY LONG WITH THE STOP-LOSS OF 14740

 

STAY LONG WITH THE STOP-LOSS OF 14740

 

WORLD MARKETS

 

Nasdaq surged 1% while S & P 500 and Dow rose 0.4% and 0.2% respectively as technology stock climbed.

 

Jobless claims for the week ended April 3 totaled 744,000, well above the expectation for 694,000.

 

Fed Chair Powell, in a virtual event presented by the International Monetary Fund, called the recovery from the pandemic “uneven”, signaling a more robust recovery is needed. He also said that the rise in inflation this year was likely to prove temporary.

 

10-year treasury yield eased to 1.61%. Dollar index fell 0.35% to 92.091, its lowest since March 23. Spot gold rose 1.11% to $1,756.56 per ounce.

 

Brent crude eased 47 cents, or 0.7%, to $62.70 a barrel while U.S. oil settled 17 cents, or 0.28%, lower at $59.60 per barrel.

 

European markets gained 0.2%-0.8%. German industrial orders rose in February on the back of strong domestic demand.

 

AT HOME

 

After rising more than a percent, benchmark indices gave away most of the gains in late noon plunge to end just modestly higher. Sensex settled at 49746, up 84 points while Nifty added 54 points to finish at 14873. Nifty mid-cap and small-cap indices rose 0.5% and 1.2% respectively. BSE Metal and Basic Materials indices soared 4.4% and 3% respectively, becoming top gainers among the sectoral indices while Power index was the top loser, down 1%, followed by 0.6% lower Utilities index and Bankex.

 

FIIs net bought stocks and index futures worth Rs 111 cr and 262 cr respectively but net sold stock futures worth Rs 56 cr. DIIs were net buyers to the tune of Rs 553 cr.

 

Rupee depreciated 11 paise to end at 74.58/$.

 

OUTLOOK

 

Today morning, Nikkei is up 0.6% while Hang Seng and Shanghai are off 0.6% each. SGX Nifty is suggesting a flattish start for our market.

 

In yesterday's report we had reiterated the view that 14883, the top made last week, continued to be immediate hurdle, upon crossover of which, 15051 would be the next upside level to eye.

 

Nifty crossed 14883 hurdle and surged all the way to 14984, but eased from there to end at 14873.

 

15051 and 15336, the tops made on 16th March and 12th March respectively, continue to be next upside levels to eye.

 

14740 is the immediate support on the hourly chart, with the stop-loss of which, trading longs can be held on to.