NIFTY RESISTED NEAR 19600; 19253 SUPPORT IN SIGHT

 

NIFTY RESISTED NEAR 19600; 19253 SUPPORT IN SIGHT

 

WORLD MARKETS

 

After a positive start owing to Nvidia’s strong quarterly results, U.S. indices saw a sustained downward move through the session to end lower by 1.1%-1.9%, as markets braced for a key speech from Federal Reserve Chairman Jerome Powell at the Jackson Hole.

 

Nvidia reported quarterly earnings and revenue that exceeded lofty analyst expectations. The company also raised its guidance. The stock however closed just 0.1% higher.

 

Data showed the number of Americans filing new claims for unemployment benefits fell last week.

 

U.S. 10-year treasury yield rose 4 bps to 4.241%. Dollar index jumped 0.6% to 103.99. Gold inched up 0.1% to $1917 per ounce.

 

Brent and WTI crude fell 0.2% each to $83.03 and $78.73 a barrel respectively.

 

In Europe, FTSE rose 0.2% but DAX and CAC fell 0.7% and 0.4% respectively.

 

AT HOME

 

After gaining 0.7% in the initial trade, benchmark indices reversed and plunged a percent from the top to end lower by three tenth of a percent, snapping a 3-day winning streak. Sensex settled at 65252, down 180 points while Nifty lost 57 points to finish at 19386. Nifty mid-cap index rose quarter of a percent, extending the winning streak to fourth straight day and hitting fresh record high. Small-cap index, after hitting a record intraday high, reversed to end lower by 0.4%. Nifty Healthcare index was the top loser among the sectoral indices, down 0.8%, followed by 0.6% lower PSU Bank, Pharma and Oil & Gas indices. IT and FMCG indices were the top gainers, up 0.6% and 0.3% respectively.

 

FIIs net bought stocks worth Rs 1525 cr but net sold index futures and stock futures worth Rs 439 cr and 847 cr respectively. DIIs were net buyers to the tune of Rs 5797 cr.

 

Rupee appreciated 11 paise to end at 82.58/$.

 

OUTLOOK

 

Today morning, Nikkei and Hang Seng are down 1.8% and 0.9% respectively while Shanghai is off 0.2%. GIFT Nifty is suggesting around 90 points lower start for our market.

 

In yesterday's report we had said that a crossover of 19472, the top made Wednesday, would confirm a "Buy" on the hourly chart, after which, 19600-19650 would be next target area for Nifty. We had also said that 19350 wass the immediate support on the hourly chart, below which, 19253, the low made last week, would be next important support to eye.

 

Nifty, after touching a high of 19584, slipped to end at 19386 and is set to open near 19300 today.

 

A lower start today would take the benchmark close to 19253 bottom made last week; 19584, the top made yesterday, would now act as immediate hurdle.

 

For Banknifty, 45000 is the immediate hurdle above which 45700-45800 would be next target area; 44000 is the immediate support on hourly chart.

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