TRAIL STOP-LOSS TO 17370

 

TRAIL STOP-LOSS TO 17370

 

WORLD MARKETS

 

Dow and S & P 500 fell 0.4% and 0.2% respectively while Nasdaq rose quarter of a percent. S & P 500 closed at its lowest level since 2020.

 

Stocks had got off to a positive start after Chicago Fed President Charles Evans said he was getting nervous that the central bank was tightening too, far too fast.

 

US 10-year treasury yield rose 2 bps to 3.947%. Dollar index inched up 0.1% to 114.19. Gold rose 0.4% to $1628.56 per ounce.

 

Brent crude rose 2.6% to $86.27 and WTI crude ended the day 2.3% higher at $78.50 per barrel.

 

European markets fell 0.3%-1.3%.

 

AT HOME

 

After falling nearly half a percent in the morning, benchmark indices recouped most of the losses to end just marginally in the red. Sensex settled at 57107, down 38 points while Nifty lost 9 points to finish at 17007. Nifty mid-cap and small-cap indices gained 0.1% and 0.2% respectively. BSE Oil & Gas index rose 1.2%, becoming top gainer among the sectoral indices, followed by 0.9% higher Energy index. Bankex and Capital Goods indices were the top losers, down 0.8% and 0.7% respectively.

 

FIIs net sold stocks and index futures worth Rs 2824 cr and 990 cr respectively but net bought stock futures worth Rs 1463 cr. DIIs were net buyers to the tune of Rs 3505 cr.

 

Rupee appreciated 4 paise to end at 81.58/$.

 

OUTLOOK

 

Today morning, Asian markets are trading with cuts of 0.6%-2% and SGX Nifty is suggesting around 160 points lower start for our market.

 

In yesterday's report we had said that 16978, the low made Monday, which coincided with 200-DMA, was the immediate support, below which, 16880-16800 would be the next support area to eye. We had also said that 17600 was the immediate resistance on the hourly chart, with the stop-loss of which, trading shorts could be held on to.

 

Nifty, after touching a low of 16942, closed at 17007. The benchmark is set to open below 16900 today.

 

16880-16800 continues to be next support area; Immediate hurdle on the hourly chart would move to 17370 after today's gap-down opening, with the stop-loss of which, trading shorts can be held on to.

 

37943, the low made on 29th August, continues to be next support for Banknifty, below which, 37250, the low made in August, would be the downside level to eye; 39700 is the immediate hurdle.