20-DMA LANDS SUPPORT AROUND 18100; 18330 IS IMMEDIATE HURDLE

 

20-DMA LANDS SUPPORT AROUND 18100; 18330 IS IMMEDIATE HURDLE

 

WORLD MARKETS

 

US indices fell 0.1%-1.1% with Nasdaq leading the losses amid fears that China may again ramp up Covid restrictions after reporting first deaths from Covid since May over the weekend.

 

Shares of Disney surged 6.3% after the company announced that former CEO Bob Iger would return to the helm.

 

US 10-year treasury yield were little changed at 3.833%. Dollar index jumped 0.75% to 107.77. Gold fell 0.7% to $1738 per ounce.

 

Oil prices rebounded from early losses on after Saudi Arabia denied a report it was discussing an increase in oil supply with OPEC and its allies. Brent crude futures for January settled 17 cents lower at $87.45. WTI crude futures for December fell 35 cents to $79.73 a barrel.

 

European markets fell 0.1%-1.3%.

 

AT HOME

 

Benchmark indices slipped eight tenth of a percent, extending the losing streak to third straight day. Sensex settled at 61144, down 518 points while Nifty lost 147 points to finish at 18159. Nifty mid-cap index was little changed while small-cap index rose 0.24%. Nifty IT and Realty indices were the top losers among the sectoral indices, down 1.6% and 1.3% respectively while PSU Bank index was the top gainer, up 1.4%, followed by 0.25% higher Media index.

 

FIIs net sold stocks and index futures worth Rs 1594 cr and 761 cr respectively but net bought stock futures worth Rs 194 cr. DIIs were net buyers to the tune of Rs 1263 cr.

 

Rupee depreciated 15 paise to end at 81.84/$.

 

OUTLOOK

 

Today morning, Nikkei is up 0.9% while Hang Seng and shanghai are modestly lower. SGX Nifty is suggesting around 40 points higher start for our market.

 

In yesterday's report we had said that 18209, the low made last week, is the immediate support on the hourly chart, upon breach of which, 20-DMA, placed around 18050, would be the next support.

 

Nifty broke 18209 and plunged all the way to 18133 before closing at 18159.

 

20-DMA, which has moved up to 18080, continues to be downside support to eye; 18330 is the immediate hurdle on the hourly chart, upon crossover of which, 18442, the top made last week, would be next resistance.

 

For Banknifty, 42000 continues to be immediate support; 43000-43200 continues to be target area.