TRAIL STOP-LOSS TO 19450

 

TRAIL STOP-LOSS TO 19450

 

WORLD MARKETS

 

U.S. indices gained 0.2%-0.9%, with the Dow rising for the sixth straight day and notching its highest close of the year.

 

U.S. 10-year treasury yield fell 2 bps to 3.811%. Dollar index fell 0.1% to 99.88. Gold was little changed at $1954 per ounce.

 

Brent and WTI crude fell 1.7% each to $78.50 and $74.15 a barrel respectively, second straight day of losses for both contracts.

 

European markets fell 0.2%-1.1%

 

China’s GDP grew 6.3% y-o-y in the second quarter, compared with forecasts of 7.3%.

 

AT HOME

 

It was a buoyant start to the week as benchmark indices climbed eight tenth of a percent each, extending the winning streak to third consecutive day and hit fresh record highs. Sensex settled at 66589, up 529 points while Nifty added 147 points to finish at 19711. Nifty mid-cap and small-cap indices rose 0.3% and 0.9% respectively. Except 0.3% and 0.03% lower Auto and Realty indices respectively, all the NSE sectoral indices ended higher, with Media and PSU Bank indices leading the tally, up 3.2% and 2.2% respectively.

 

FIIs net bought stocks, index futures and stock futures worth Rs 73 cr, 218 cr and 41 cr respectively. DIIs were net buyers to the tune of Rs 64 cr.

 

Rupee appreciated 13 paise to end at 82.04/$.

 

HDFC reported NII growth of 21.1% while Net Interest Margin stood at 4.1%. Profit After Tax grew at 30%, highest in 14-quarter. Gross NPA ratio inched up to 1.17% from 1.12% sequentially while net NPA ratio inched up to 0.3% from 0.27%.

 

LTI Mindtree reported soft quarter which was in-line with estimate. Constant Currency revenue grew at 0.1%. Margins expanded to 16.7%. Deal win was robust at $1.4 bn.

 

OUTLOOK

 

Today morning, Nikkei is up 0.3% while Hang Seng and Shanghai are down 1.8% and 0.5% respectively. GIFT Nifty is suggesting around 50 points higher start for our market.

 

In yesterday's report we had said that 19750 continued to be next upside target while 19400 was the immediate support on the hourly chart, with the stop-loss of which, trading longs could be held on to.

 

Nifty surged to 19731 before closing at 19711 and is set to open near 19750 today.

 

Upon crossover of 19750, 20071, which is the Fibonacci extension level of the entire setup since the 15183 bottom made in June 2022, would be the next major target to eye; 19500-19450 is the immediate support area, with the stop-loss of which, trading longs can be held on to.

 

For Banknifty, 45655, the top made on 4th July, is the immediate upside target, above which, 45800 would be next target; 44900-44850 is the immediate support area.

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