18000-18050 BELOW 18133; 18500-18550 IS THE RESISTANCE ZONE

 

18000-18050 BELOW 18133; 18500-18550 IS THE RESISTANCE ZONE

 

WORLD MARKETS

 

US indices surged 1.5%-1.6%, following strong consumer confidence data and upbeat earnings from Nike and FedEx.

 

Consumer confidence for December jumped to the highest level since April.

 

Nike surged 12% after beating expectations for quarterly earnings and revenue. FedEx gained 3.4% after reporting earnings per share that beat estimates.

 

US 10-year treasury yield fell 2 bps to 3.664%. Dollar index fell 0.7% to 103.97. Gold eased  0.2% to $1814 per ounce.

 

Oil rose after data showed a larger-than-expected draw in U.S. crude stockpiles. Brent crude futures for February delivery rose 2.8% to $82.20 a barrel and WTI futures gained 2.7% to $78.29.

 

European markets climbed 1.5%-2%.

 

AT HOME

 

After gaining half a percent in the initial trade, benchmark indices nosedived a percent and half from the top to end lower by a percent and closed at the lowest level in a month. Sensex settled at 61067, down 635 points while Nifty lost 186 points to finish at 18199. Nifty mid-cap and small-cap indices tumbled 1.6% and 2.2% respectively. Nifty Media and PSU Bank indices were the top losers among the sectoral indices, down 3% and 2.8% respectively while Healthcare and Pharma indices surged 2.7% and 2.4% respectively, becoming top gainers.

 

FIIs net sold stocks and index futures worth Rs 1119 cr and 585 cr respectively but net bought stock futures worth Rs 201 cr. DIIs were net buyers to the tune of Rs 1757 cr.

 

Rupee depreciated 5 paise to end at 82.81/$.

 

OUTLOOK

 

Today morning, Asian markets are trading with gains of 0.2%-2% with Hang Seng on the top. SGX Nifty is suggesting around 70 points higher start for our market.

 

In yesterday's report we had said that 18500-18550 continued to be immediate resistance zone while 18133, the low made on 21st November, continued to be next support.

 

Nifty, after touching a high of 18473, reversed and plunged all the way to 18162 before closing at 18199.

 

18133, the bottom made on 21st November, continues to be next support below which, 18000-18050 would be next support area; 18500-18550 continues to be resistance zone.

 

For Banknfity, upon breach of 42363, i.e. the low made yesterday, 42000-41900 would be next support area; 43600 is the immediate hurdle.