18400 CONTINUES TO BE UPSIDE LEVEL TO EYE; 17967 CONTINUES TO BE IMMEDIATE SUPPORT

 

18400 CONTINUES TO BE UPSIDE LEVEL TO EYE; 17967 CONTINUES TO BE IMMEDAITE SUPPORT

 

WORLD MARKETS

 

US markets were shut yesterday for New Year Holiday.

 

In Europe, FTSE was shut while DAX and CAC surged 1% and 1.9% respectively. The S&P Global Eurozone Manufacturing PMI rose to 47.8 in December from the previous month's level of 47.1, its highest reading for three months.

 

AT HOME

 

New year started on a positive note as benchmark indices rose half a percent each. Sensex settled at 61167, up 327 points while Nifty added 92 points to finish at 18197. Nifty mid-cap and small-cap indices rose 0.9% and 0.7% respectively. Nifty Metal index climbed 2.4%, becoming top gainer among the sectoral indices, followed by 1.2% higher Media index. Healthcare and Pharma indices were the top losers, down 0.4% each.

 

FIIs net sold stocks and index futures worth Rs 213 cr and 717 cr respectively but net bought stock futures worth Rs 520 cr. DIIs were net buyers to the tune of Rs 743 cr.

 

Rupee depreciated 2 paise to end at 82.74/$.

 

India's December Manufacturing PMI improved to 57.8 from 55.7 month-on-month.

 

 

OUTLOOK

 

Markets in Japan and New Zealand are closed for public holidays. Hang Seng and Shanghai are trading with cuts of 1.2% and 0.3% respectively. SGX Nifty is suggesting nearly 100 points lower start for our market.

 

In yesterday's report we had said that 34-DMA, placed around 18400, continued to be next upside target/resistance to eye; 17967 continues to be immediate support, with the stop-loss of which, trading longs can be held on to.

 

Nifty, after touching a low of 18086, rebounded to end at 18197. The benchmark is set to open near 18100 today.

 

34-DMA, placed around 18400, continues to be next upside target/resistance to eye; 17967 continues to be immediate support, with the stop-loss of which, trading longs can be held on to.

 

For Banknifty, 43600, the 78.6% retracement level of the recent 44151-41569 fall, is the next upside target, above which, 44151, the top made in Mid-December, would be the next level to eye. 42500 is the immediate support on the hourly chart, with the stop-loss of which, trading longs can be held on to.