17155 IS THE IMMEDIATE HURDLE; 16850 IMMEDIATE SUPPORT

 

17155 IS THE IMMEDIATE HURDLE; 16850 IMMEDIATE SUPPORT

 

WORLD MARKETS

 

US markets were shut on Friday for Christmas holiday.

 

In Europe, markets in Germany, Italy and Switzerland were closed to mark the Christmas holiday. FTSE was flat while CAC fell 0.3%.

 

Gold fell 0.4% to $1802 per ounce.

 

Brent crude fell 1.1% to $75.88 a barrel snapping a 3-day winning streak.

 

AT HOME

 

Sensex and Nifty slipped 0.3% and 0.4% respectively, snapping 3-day winning streak. Sensex settled at 57124, down 190 points while Nifty lost 68 points to finish at 17003. Nifty mid-cap and small-cap indices tumbled 1% and 0.5% respectively. Except 0.7% and 0.5% higher IT and Teck indices respectively, all the BSE sectoral indices ended in red, with Power and Utilities indices leading the losses, down 2% each.

 

FIIs net sold stocks worth Rs 715 cr but net bought index futures and stock futures worth Rs 70 cr and 395 cr respectively. DIIs were net sellers to the tune of Rs 43 cr.

 

Rupee appreciated 21 paise to end at 75.02/$.

 

For the week, Sensex inched up 0.2% while Nifty was little changed.

 

OUTLOOK

 

Hang Seng is shut today, Nikkei is down 0.2% while Shanghai is up 0.2%. SGX Nifty is suggesting around 35 points lower start for our market.

 

In Friday's report we had said that 20-DMA, placed around 17140, continues to be upside level to eye, upon decisive crossover of which, 34-DMA, placed around 17400, would be the next major target as well as resistance to eye.

 

Nifty, after touching a high of 17155, slipped to end at 17003.

 

17155, the top made Friday, which coincided with 20-DMA, is the immediate hurdle to eye, upon crossover of which, 34-DMA, placed around 17400, would be the bigger hurdle to negoitate; On the way down, 16850 is the immediate support on the hourly chart.

 

For Banknifty, 35535, the upper end of the gap created by Monday's gap-down opening, is the immediate hurdle, a crossover of which is required for a fresh upmove. If that happens, 20-DMA, placed around 36000, would be the next upside level to eye; 34390, the low made Tuesday, is the immediate support, below which, 34018, the low made on Monday would be the next downside level to eye.