17150 IS THE IMMEDIATE SUPPORT; 17490 IMMEDIATE HURDLE

 

17150 IS THE IMMEDIATE SUPPORT; 17490 IMMEDIATE HURDLE

 

WORLD MARKETS

 

Dow and S & P 500 fell 0.7% each while Nasdaq slipped 1.2% on Friday as media reports suggested that U.S. officials expect a Russia attack in a few days and that President Joe Biden is expected to move more U.S. troops closer to Ukraine.

 

New York Fed President John Williams said he didn’t see “any compelling reason to take a big step at the beginning,” but the central bank could decide later to speed up.

 

US 10-year treasury yield dipped nearly 4 bps to 1.93%. Dollar index rose 0.3% 96.10. Gold ended flat at $1898 per ounce.

 

Brent crude futures advanced 57 cents, or 0.6%, to $93.54 while WTI crude futures settled 69 cents, or 0.75%, lower at $91.07 per barrel.

 

European markets fell 0.3%-1.5%.

 

AT HOME

 

After rising about four tenth of a percent, benchmark indices slipped six tenth of a percent from the top to end with modest cuts. Sensex lost 59 points to settle at 57832 while Nifty finished at 17276, down 28 points. Nifty mid-cap and small-cap indices fell 0.9% and 1.1% respectively. BSE Realty and Oil & Gas indices were the top losers among the sectoral indices, down 1.2% and 1.1% respectively whereas Capital Goods index and Bankex were the top gainers, up 0.4% and 0.3% respectively.

 

FIIs net sold stocks worth Rs 2530 cr but net bought index futures and stock futures worth Rs 729 cr and 483 cr respectively. DIIs were net buyers to the tune of Rs 1929 cr.

 

Rupee appreciated 45 paise to end at 74.66/$.

 

OUTLOOK

 

Today morning, Asian markets are trading with cuts of upto 0.7% and SGX Nifty is suggesting around 100 points lower start for our market.

 

In Friday's report we had said that 17250-17200 was the immediate support zone on the hourly chart while 17490, the top made Wednesday, continued to be immediate hurdle.

 

Nifty, after touching a low of 17219, closed at 17276 and is set to open below 17200 today.

 

17150, the 50% retracement level of the recent 16809-17490 upmove, is the immediate support, upon breach of which, 17070 and 16955, the 61.8% and 78.6% retracement levels of this upmove, would be next downside levels to eye; 17490, the top made last week, continues to be immediate hurdle.

 

For Banknifty, 36651, the low made last week, is the immediate support, upon breach of which, 36375, the bottom made on 24th January, would be the next downside level to eye; 38461, the top made last week, is the immediate hurdle.