19850 NEXT; TRAIL STOP-LOSS TO 19470

 

19850 NEXT; TRAIL STOP-LOSS TO 19470

 

WORLD MARKETS

 

U.S. indices gained 0.1%-0.5%, with the Dow clinching fourth consecutive winning session.

 

October’s producer price index, which measures wholesale prices, fell by 0.5% to mark its biggest monthly drop since April 2020. U.S. retail sales fell for the first time in seven months in October, though the fall was less than expected.

 

U.S. 10-year treasury yield rose 8 bps to 4.533%. Dollar index rose 0.3% to 104.39. Gold fell 0.2% to $1959 per ounce.

 

Brent futures settled down 1.6% at $81.18 a barrel and WTI fell 2% to $76.66.

 

European markets gained 0.2%-0.9%, on the back of more encouraging inflation data. In Britain, data showed inflation last month eased to 4.6%, its slowest pace in two years and was below a forecast of 4.8%.

 

AT HOME

 

Sensex and Nifty surged 1.14% and 1.19% respectively for their best day since June and March 2023 respectively and closed at the highest level in nearly a month. Sensex settled at 65675, up 742 points while Nifty added 232 points to finish at 19675. Nifty mid-cap and small-cap indices climbed 1% and 1.3% respectively, with the former posting second highest close ever while the latter hit fresh record high. All the NSE sectoral indices ended higher, with Realty and IT indices on the top, up 3% and 2.6% respectively.

 

FIIs net bought stocks, index futures and stock futures worth Rs 550 cr, 347 cr and 4732 cr respectively. DIIs were net buyers to the tune of Rs 610 cr.

 

Rupee appreciated 19 paise to end at 83.14/$.

 

India's goods trade deficit increased to $31.46 bn in October compared to $26.3 bn in the same month last year. 

 

OUTLOOK

 

Today morning, Hang Seng is down more than a percent while Nikkei and Shanghai are down 0.4% each. GIFT Nifty is suggesting around 30 points higher start for our market.

 

In yesterday's report we had said that 19633, the 78.6% retracement level of the recent 19850-18837 fall, followed by 19850, the top made in mid-October, were the next upside targets to eye while 19400-19350 was the immediate support zone, with the stop-loss of which, trading longs could be held on to.

 

Nifty surged to touch a high of 19693 before closing at 19675.

 

19850, the top made in mid-October, is the next upside target to eye; 19470 is the immediate support, with the stop-loss of which, trading longs can be held on to.

 

For Banknifty, 44710, the top made in October, is the next upside levels to eye; 43750 is the immediate support on the hourly chart, with the stop-loss of which, trading longs can be held on to.

Investment in securities market is subject to market risk.

Please check https://www.prudentbroking.com/Disclaimert.aspx for detailed disclaimer.