17350 IS THE IMPORTANT SUPPORT TO EYE; 17850 IS IMMEDIATE HURDLE

 

17350 IS THE IMPORTANT SUPPORT TO EYE; 17850 IS IMMEDIATE HURDLE

 

WORLD MARKETS

 

US indices rose 0.3%-0.7%, with the S & P 500 snapping a 4-day losing streak.

 

Weekly jobless claims unexpectedly fell 3,000 to a seasonally-adjusted 192,000. US GDP increased at a revised 2.7% annualized rate in 2022′s fourth-quarter, down from 2.9% reported last month. The fourth-quarter Personal Consumption Expenditures (PCE) price index rose 3.7%, from the first reading of 3.2%, while the core PCE climbed to 4.3%, from the initial estimate of 3.9%.

 

US 10-year treasury yield fell 4 bps to 3.883%. Dollar index inched up 0.1% to 104.585. Gold fell 0.1% to $1822 per ounce.

 

Brent as well as WTI crude futures rose 2% each to to $82.21 and $75.39 a barrel respectively.

 

In Europe, FTSE fell 0.3% but DAX and CAC gained 0.5% and 0.25% respectively.

 

AT HOME

 

Benchmark indices ended lower by quarter of a percent, extending the losing streak to fifth straight day. Sensex settled at 59605, down 139 points while Nifty lost 43 points to finish at 17511. Nifty mid-cap and small-cap indices fell 0.2% and 0.1% respectively. Nifty Realty and Media indices were the top losers among the sectoral indices, down 1.8% each while PSU Bank and Metal indices were the top gainers, up 0.5% and 0.4% respectively.

 

FIIs net sold stocks, index futures and stock futures worth Rs 1417 cr, 1246 cr and 615 cr respectively. DIIs were net buyers to the tune of Rs 1586 cr.

 

Rupee appreciated 12 paise to end at 82.73/$.

 

OUTLOOK

 

Data from Japan showed core inflation rose 4.2% in January, the highest in 41 years.

 

Today morning, Nikkei is up 1.2% but Hang Seng and Shanghai are down 1% and 0.2% respectively. SGX Nifty is suggesting around 60 points higher start for our market.

 

In yesterday's report we had said that 17520 was the immediate support, upon breach of which, 17353, the low made on budget day, would be next downside level to eye; We had also advised holding on to short positions with the stop-loss of 17900.

 

Nifty fell to 17455 before closing at 17511.

 

17350, the low made on budget day, is the next downside level to eye; 17850 is the immediate hurdle on the hourly chart, with the stop-loss of which, trading shorts can be held on to.

 

For Banknifty, 39500-39400 is the next support area; 40850 is the immediate resistance, with the stop-loss of which, trading shorts can be held on to.