21500-21450 IS THE IMMEDIATE SUPPORT ZONE

 

21500-21450 IS THE IMMEDIATE SUPPORT ZONE

 

WORLD MARKETS

 

Dow rose 0.4% while S & P 500 and Nasdaq fell 0.1% and 0.8% respectively ahead of latest Federal Reserve decision on interest rates.

 

Fed is expected to leave interest rates unchanged on Wednesday and markets will focus on any clues from Fed Chairman Jerome Powell on the likelihood of a rate cut in March.

 

Data yesterday showed U.S. job openings unexpectedly rose in December while U.S. consumer confidence increased to a two-year high in January.

 

The International Monetary Fund raised its 2024 growth forecast for the global economy by 0.2% to 3.1% on unexpectedly strong growth in the U.S. and stimulus in China.

 

U.S. 10-year treasury yield fell 4 bps to 4.034%. Dollar index was flat at 103.42. Gold rose 0.2% to $2037 per ounce.

 

WTI crude future rose 1.4% to $77.82 a barrel and Brent future rose 0.6% to settle at $82.87.

 

In Europe, FTSE and CAC gained half a percent each while DAX rose 0.2%. Eurozone GDP was flat in the fourth quarter against the previous three months, mainly because of strong growth in Portugal and Spain and a modest increase in Italy, while the German economy shrank in the final three months of 2023.

 

AT HOME

 

Benchmark indices tumbled a percent, giving away more than half of yesterday's mammoth gains. Sensex settled at 71140, down 801 points while Nifty lost 215 points to finish at 21522. Nifty mid-cap index fell 0.4% while small-cap index rose a fifth of a percent, extending the winning streak to fourth straight day and hit fresh record high. Nifty Consumer Durables and FMCG indices were the top losers among the sectoral indices, down 1.6% and 1% respectively while PSU Bank index was the top gainer, up 1%, followed by 0.4% higher Media and Realty indices each.

 

FIIs net sold stocks, index futures and stock futures worth Rs 1971 cr, 228 cr and 382 cr respectively. DIIs were net buyers to the tune of Rs 1003 cr.

 

Rupee appreciated 2 paise to end at 83.11/$.

 

L & T's third quarter revenue beat estimate but margin was a significant miss. Order inflow remained strong. Dr Reddy's beat estimates led by strong U.S. sales.

 

IMF hiked India's FY24 GDP growth forecast from 6.3% to 6.7%.

 

OUTLOOK

 

Today morning, Asian markets are trading with cuts of 0.6%-1.2% and GIFT Nifty is suggesting a marginally lower start for our market.

 

In yesterday's report we had said that 21912, the 78.6% retracement levels of the recent 22124-21137 fall, was the next upside levels to eye while 21500 was the immediate support on the hourly chart.

 

Nifty, after touching a high of 21813, reversed and plunged all the way to 21501 before closing at 21522.

 

21500-21450 is the immediate support zone on the hourly chart, upon breach of which, 21137, the bottom made last week, would be next downside level to eye; 21912, the 78.6% retracement level of the recent fall from all-time high, continues to be next upside target.

 

For Banknifty, 46580, the top made last week, is the next upside level to eye; 44430, the low made last week, is the immediate support.

 

Maruti and Sun Pharma will report their quarterly earnings today.

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21912 NEXT; 21500 IS IMMEDIATE SUPPORT

 

21912 NEXT; 21500 IS IMMEDIATE SUPPORT

 

WORLD MARKETS

 

U.S. indices gained 0.6%-1.1%, with the Dow and S & P 500 hitting fresh record highs as Wall Street looked toward several mega-cap tech earnings reports and the Federal Reserve’s rate policy decision.

 

U.S. 10-year treasury yield fell 7 bps to 4.076%. Dollar index was flat at 103.46. Gold inched up 0.8% to $2033 per ounce.

 

Oil prices fell after a court in Hong Kong on ordered the liquidation of China Evergrande, the world’s most indebted property developer. Brent futures fell 1.4% to settle $82.40 a barrel, while WTI dropped 1.6% to $76.78 a barrel.

 

In Europe, FTSE and DAX ended marginally in the red while CAC inched up 0.1%.

 

AT HOME

 

Benchmark indices climbed 1.8% each, posting their best percentage gain after 4th December 2023. Sensex settled at 71941, up 1240 points while Nifty added 385 points to finish at 21737. Nifty mid-cap and small-cap indices jumped 1.6% and 1.5% respectively, with the latter posting highest ever close.

Except 0.1% lower FMCG index, all the NSE sectoral indices ended higher, with Oil & Gas index on the top, up 5.2%, followed by 2.4% higher PSU Bank index.

 

FIIs net bought stocks, index futures and stock futures worth Rs 110 cr, 1137 cr and 8144 cr respectively. DIIs were net buyers to the tune of Rs 3221 cr.

 

Rupee depreciated 1 paise to end at 83.13/$.

 

ITC delivered a soft quarter as Cigarette volumes remain muted even as profit beat estimate. Bajaj Finance numbers beat estimates as AUM growth comes at 35% and profit growth stood at 20%.

 

OUTLOOK

 

Today morning, Nikkei is up 0.4% but Hang Seng and Shanghai are down 2% and 0.6% respectively. GIFT Nifty is suggesting nearly 100 points gap-up start for our market.

 

In yesterday's report we had said that 21550 continued to be immediate hurdle on the hourly chart, upon crossover of which, 21750 and 21912, the 61.8% and 78.6% retracement levels of the recent 22124-21137 fall, would be next upside levels to eye.

 

Nifty crossed 21550 and surged all the way to 21763 before closing at 21737 and is set to open above 21800 today.

 

21912, the 78.6% retracement levels of the recent 22124-21137 fall, is the next upside levels to eye; 21500 is the immediate support on the hourly chart, with the stop-loss of which, trading longs can be held on to.

 

For Banknifty, 46580, the top made last week, is the next upside level to eye; 44430, the low made last week, around which 200-DMA is also placed, is the immediate support.

 

L & T and Dr Reddy's will report their quarterly earnings today.

Investment in securities market is subject to market risk.

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

21550 CONTINUES TO BE IMMEDIATE HURDLE; 21137 IMMEDIATE SUPPORT

 

21550 CONTINUES TO BE IMMEDIATE HURDLE; 21137 IMMEDIATE SUPPORT

 

WORLD MARKETS

 

On Thursday, U.S. indices gained 0.2%-0.6% with the S & P 500 and Nasdaq extending the winning streak to sixth straight session as data indicated continued economic growth.

 

U.S. GDP grew at a rate of 3.3% in the fourth quarter, much higher than the 2% expectation and underscoring continued economic resiliency despite interest rate hikes from the Federal Reserve. Core personal consumption expenditures price index — which the Federal Reserve monitors for longer-term inflation trends — rose by 2.7% on an annual basis, down from 5.9% a year ago.

 

Tesla shares plunged more than 12% after the electric vehicle maker posted disappointing fourth-quarter results and warned of lower vehicle volume growth for 2024. On the other hand, IBM jumped more than 9% after posting adjusted earnings and revenue that beat predictions.

 

On Friday, Dow inched up 0.2% while S & P 500 and Nasdaq fell 0.1% and 0.4% respectively, snapping a six-day winning streak.

 

December’s personal consumption expenditures price index, the Fed’s preferred inflation reading, rose 0.2% last month and was up 2.9% from a year ago, excluding food and energy. That’s compared to respective increases of 0.2% and 3% anticipated.

 

U.S. 10-year treasury yield rose 2 bps to 4.14%. Dollar index was flat at 103.47.  Gold eased 0.1% to $2018 per ounce.

 

WTI March contract gained 0.8% to settle at $78.01 a barrel and Brent future settled at $83.55 a barrel, up 1.4%.

 

In Europe, CAC and FTSE surged 2.3% and 1.4% respectively while DAX rose 0.3%.

 

For the week, U.S. indices gained 0.7%-1.1%. Crude oil surged 6.3% for its best week since September 1.

 

AT HOME

 

After falling a percent, benchmark indices recouped half of the losses in last half an hour to end lower by half a percent. Sensex settled at 70700, down 360 points while Nifty lost 101 points to finish at 21352. Nifty mid-cap index fell 0.4% but small-cap index rose half a percent. Nifty IT and Healthcare indices were the top losers among the sectoral indices, down 1.6% and 1.3% respectively while Realty and Media indices were the top gainers, up 0.7% and 0.2% respectively.

 

FIIs net sold stocks, index futures and stock futures worth Rs 2144 cr, 6995 cr and 11149 cr respectively. DIIs were net buyers to the tune of Rs 3475 cr.

 

Rupee ended unchanged at 83.12/$.

 

For the week, Sensex and Nifty fell 1% each, extending the losing streak to second straight week.

 

For the January derivative series, Nifty fell 2%.

 

OUTLOOK

 

Today morning, Hang Seng and Nikkei are up 1.4% and 0.9% respectively while Shanghai is flat. GIFT Nifty is suggesting around 135 points gap-up start for our market.

 

In Thursday's report we had said that 21550 continued to be immediate hurdle on the hourly chart, while on the way down, 21137, the low made Wednesday, was the immediate support.

 

Nifty fell to end at 21352 but is set to open near 21450 today.

 

21550 continues to be immediate hurdle on the hourly chart, upon crossover of which, 21750 and 21912, the 61.8% and 78.6% retracement levels of the recent 22124-21137 fall, would be next upside levels to eye; 21137, the bottom made last week, is the immediate support.

 

For Banknifty, 45500 is the immediate hurdle on the hourly chart, upon crossover of which, 46580, the top made last week, would be next upside level to eye; 44430, the low made during the week, around which 200-DMA is also placed, is the immediate support, upon breach of which, 43700, where a trendline adjoining bottoms made in March and October 2023 is placed, would be next downside level to eye.

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21550 CONTINUES TO BE IMMEDIATE HURDLE

 

21550 CONTINUES TO BE IMMEDIATE HURDLE

 

WORLD MARKETS

 

Dow fell 0.3% while S & P 500 and Nasdaq rose 0.1% and 0.4% respectively, extending the winning streak to fifth straight session as Netflix led a broader rally among technology names.

 

Netflix shares surged more than 10% after earnings beat and its total subscriber count hit an all-time high of 260.8 million. Dow was hurt by declines of more than 2% in Verizon and 3M a day after each reported earnings.

 

Data showed U.S. business activity picked up in January and a measure of inflation eased.

 

U.S. 10-year treasury yield rose 5 bps to 4.18%. Dollar index fell 0.3% to 103.25. Gold fell 0.8% to $2013 per ounce.

 

WTI contract for March gained 1% to settle at $75.09 a barrel and Brent futures March contract gained 0.6% to settle at $80.04 a barrel.

 

European markets gained 0.6%-1.6%. PMI) surveys showed the euro zone economy’s downturn eased somewhat in January, although it remained sluggish. U.K. PMI figures rose in January to their highest level in seven months.

 

China’s central bank announced a deep cut to bank reserves, in a move that will inject about $140 billion of cash into the banking system.

 

AT HOME

 

Benchmark indices surged a percent each, snapping a 2-day losing streak and recouping two-third of yesterday's hefty losses. Sensex settled at 71060, up 690 points while Nifty added 215 points to finish at 21453. Nifty mid-cap and small-cap indices climbed 1.8% and 1.7% respectively. Except 0.2% lower Private Bank index, all the NSE sectoral indices ended higher, with Media and Metal indices being the top gainers, up 3% each.

 

FIIs net sold stocks worth Rs 6935 cr but net bought index futures and stock futures worth Rs 884 cr and 6282 cr respectively. DIIs were net buyers to the tune of Rs 6013 cr.

 

Rupee appreciated 3 paise to end at 83.12/$.

 

Bajaj Auto and TVS Motors delivered strong earnings in third quarter. Tata Steel's operational performance beat estimates. Tech Mahindra's revenue growth beat estimates.

 

OUTLOOK

 

Today morning, Nikkei is down 0.8% while Hang Seng and Shanghai are up 0.3% and 0.8% respectively. GIFT Nifty is suggesting a modestly lower start for our market.

 

In yesterday's report we had said that 20870, the 38.2% retracement level of the 18837-22124 upmove seen since late October, is the next downside level to eye while 21550 is the immediate hurdle on the hourly chart, with the stop-loss of which, trading shorts can be held on to.

 

Nifty, after touching a low of 21137, rebounded to end at 21453.

 

21550 continues to be immediate hurdle on the hourly chart, a crossover of which, is required for a fresh upmove. If that happens, 21750-21850 would be next target area. On the way down, 21137, the low made yesterday, is the immediate support, upon breach of which, 20870, the 38.2% retracement level of the 18837-22124 upmove seen since late October, would be the next downside level to eye.

 

For Banknifty, 44490, the low made yesterday, which roughly coincided with 200-DMA, is the immediate support to eye; 45800 is immediate hurdle.

 

ACC and JSW Steel will report their quarterly earnings today.

Investment in securities market is subject to market risk.

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

20870 IS NEXT SUPPORT; 21550 IMMEDIATE HURDLE

 

20870 IS NEXT SUPPORT; 21550 IMMEDIATE HURDLE

 

WORLD MARKETS

 

Dow, dragged down by weak earnings, fell quarter of a percent and snap 3-day winning streak but S & P 500 and Nasdaq rose 0.3% and 0.4% respectively.

 

Dow was pressured by an 11% decline in 3M following disappointing guidance. Johnson & Johnson fell 1.6% after reporting earnings.  Lockheed Martin slipped more than 4% following a weak outlook for full-year earnings per share. D.R. Horton dropped more than 9% after the homebuilder missed forecast for per-share earnings. On the other hand, United Airlines rose more than 5% after reporting strong fourth-quarter results.  Verizon and Procter & Gamble gained more than 6% and 4%, respectively, following the companies’ financial reports.

 

U.S. 10-year treasury yield rose 3 bps to 4.132%. Dollar index rose 0.2% to 103.53. Gold rose 0.4% to $2029 per ounce.

 

Yen fell after Bank of Japan maintained its ultra-easy policy and signaled an April exit from negative interest rates.

 

WTI contract for March lost 0.5% to settle at $74.37 a barrel and Brent contract for March fell 0.6% to settle at $79.55 a barrel.

 

In Europe, FTSE was little changed while DAX and CAC fell a third of a percent each.

 

AT HOME

 

Benchmark indices tumbled a percent and half to close at the lowest level in in more than a month. Sensex settled at 70370, down 1053 points while Nifty lost 333 points to finish at 21238. Nifty mid-cap and small-cap indices nosedived 3.1% and 2.9% respectively for their worst cut since 20th December, 2023. Except 1.8% and 1.7% higher Healthcare and Pharma indices respectively, all the NSE sectoral indices ended lower, with Media index suffering the worst cut, down 12.9%, followed by 5.3% lower Realty index.

 

FIIs net sold stocks and index futures worth Rs 3115 cr and 186 cr respectively but net bought stock futures worth Rs 659 cr. DIIs were net buyers to the tune of Rs 214 cr.

 

Rupee depreciated 8 paise to end at 83.15/$.

 

Axis Bank reported an operationally weak third quarter.

 

OUTLOOK

 

Today morning, Hang Seng and Shanghai are up 1.5% and 0.4% respectively while Nikkei is down 0.6%. GIFT Nifty is suggesting around 60 points higher start for our market.

 

In yesterday's report we had said that 21850 continued to be immediate hurdle, while 21285, the low made last week, continued to be important immediate support.

 

Nifty, after touching a high of 21750 in the initial trade, reversed and plunged all the way to 21192 before closing at 21238.

 

20870, the 38.2% retracement level of the 18837-22124 upmove seen since late October, is the next downside level to eye; 21550 is the immediate hurdle on the hourly chart, with the stop-loss of which, trading shorts can be held on to.

 

200-DMA, placed around 44700, is the next support for Banknifty; 45900 is immediate hurdle.

 

Bajaj Auto, TVS Motors, Tata Steel and Tech Mahindra will report their quarterly earnings today.

Investment in securities market is subject to market risk.

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

21850 CONTINUES TO BE IMMEDIATE HURDLE; 21285 IMPORTANT SUPPORT

 

21850 CONTINUES TO BE IMMEDIATE HURDLE; 21285 IMPORTANT SUPPORT

 

WORLD MARKETS

 

U.S. indices gained 0.2%-0.4% with the Dow Jones Industrial Average surpassing 38,000 for the first time ever and S & P 500 hit fresh record highs.

 

U.S. 10-year treasury yield fell 2 bps to 4.109%. Dollar index inched up 0.1% to 103.36. Gold fell 0.4% to $2021 per ounce.

 

The WTI futures contract for February gained 2.4% to settle at $75.19 a barrel. The Brent contract for March rose 1.9% to settle at $80.06 a barrel.

 

Main European markets gained 0.4%-0.8%

 

China kept its loan prime rates unchanged, as expected.

 

AT HOME

 

In the special trading session on Saturday, after rising nearly half a percent at the open, Sensex and Nifty saw a sustained downward movement through the session to end lower by 0.4% and 0.2% respectively. Sensex settled at 71423, down 260 points while Nifty lost 50 points to finish at 21571. Nifty mid-cap and small-cap indices however gained 0.5% and 0.2% respectively, extending the winning streak to second straight day and the former hitting fresh record high.

 

For the week, Sensex and Nifty fell 1.6% and 1.5% respectively in the long, six-session, trading week, marking the biggest cut in nearly 3-months.

 

ICICI Bank's third quarter numbers beat estimates but NII hits 5-quarter low. Cipla reported a top-down beat

 

OUTLOOK

 

Today morning, Asian markets are trading with gains of 0.5%-3% with Hang Seng on the top. GIFT Nifty is suggesting around 150 points higher start for our market.

 

In Saturday's report we had said that 21850 continued to be immediate hurdle, while 21285, the low made on Thursday, continues to be important immediate support.

 

Nifty, after touching a high of 21720, reversed to end at 21571. The benchmark is set to open near 21600 today.

 

21850 continues to be immediate hurdle, upon crossover of which, 22124, the top made last week, would be next upside level to eye; 21285, the low made last week, continues to be important immediate support.

 

For Banknifty, 45430, the low made Thursday, which roughly coincided with 20-week moving average, is the immediate support, upon breach of which, 34-week moving average, placed around 45000, would be next downside level to eye; 47500 is immediate hurdle.

 

Axis Bank, Havells, Pidilite and United Spirits will report their quarterly earnings today.

21850 IMMEDIATE HURDLE; 21285 IS IMMEDIATE SUPPORT

 

21850 IMMEDIATE HURDLE; 21285 IS IMMEDIATE SUPPORT

 

WORLD MARKETS

 

U.S. indices surged 1%-1.7%, with the Dow and S & P 500 hitting record highs.

 

The University of Michigan’s Survey of Consumers showed a 21.4% y-o-y jump to reach its highest level since July 2021.

 

U.S. 10-year treasury yield fell 2 bps to 4.126%. Dollar index fell 0.2% to 103.24. Gold rose a third of a percent to $2029 per ounce.

 

In Europe, FTSE ended marginally in the green while DAX and CAC fell 0.1% and 0.4% respectively.

 

Brent crude futures fell 10 cents to $79 a barrel, while WTI futures fell 10 cents to $73.98.

 

AT HOME

 

Benchmark indices rose seven tenth of a percent each, snapping a 3-day losing streak. Sensex settled at 71683, up 496 points while Nifty added 160 points to finish at 21622. Nifty mid-cap and small-cap indices surged 1.5% and 1.1% respectively. Nifty Oil & Gas and Metal indices climbed 1.7% and 1.4% respectively, becoming top gainers among the sectoral indices while Media and Private Bank indices were the top losers, down 1% and 0.3% respectively.

 

FIIs net sold stocks and index futures worth Rs 3690 cr and 1057 cr respectively but net bought stock futures worth Rs 4795 cr. DIIs were net buyers to the tune of Rs 2638 cr.

 

Rupee appreciated 6 paise to end at 83.06/$.

 

OUTLOOK

 

In yesterday's report we had said that 21285, the bottom made yesterday, was the important immediate support while 21850 continued to be immediate hurdle.

 

Nifty rose to close at 21622.

 

21850 continues to be immediate hurdle, upon crossover of which, 22124, the top made during the week, would be next upside level to eye; 21285, the low made on Thursday, continues to be important immediate support.

 

For Banknifty, 45430, the low made Thursday, which roughly coincided with 20-week moving average, is the immediate support, upon breach of which, 34-week moving average, placed around 45000, would be next downside level to eye; 47500 is immediate hurdle.

 

ICICI Bank and Kotak Mahindra Bank will report their quarterly earnings today.

Investment in securities market is subject to market risk.

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

21285 IS IMMEDIATE SUPPORT; 21850 IMMEDIATE HURDLE

 

21285 IS IMMEDIATE SUPPORT; 21850 IMMEDIATE HURDLE

 

WORLD MARKETS

 

U.S. indices rose 0.5%-1.4% with the Dow snapping a 3-day losing streak and Nasdaq on the top as Apple shares surged.

 

Apple shares advanced 3.3% after Bank of America upgraded the stock to buy. Semiconductor stocks surged after Taiwan Semiconductor Manufacturing Co, the world’s largest chipmaker, posted an earnings and revenue beat for the fourth quarter.

 

Initial Jobless Claims for the week ended Jan. 13 came in at 187,000, down 16000 from the previous period and stronger than the estimated 208,000 figure. Single-family homebuilding took a breather in December after a recent stretch of gains.

 

U.S. Congress passed a bill to avert a partial government shutdown and keep the federal government funded through March 1 and March 8.

 

U.S. 10-year treasury yield rose 4 bps to 4.146%. Dollar index was little changed at 103.42. Gold rose 0.8% to $2023 per ounce.

 

Brent crude futures gained 1.6% to $79.13 a barrel and WTI futures rose 2.1% to $74.10.

 

European markets gained between 0.2%-1.1%. The accounts from the European Central Bank’s December meeting showed policymakers appeared fairly confident that inflation was heading back to target, but saw risks that still warranted steady policy and high borrowing costs.

 

AT HOME

 

After falling more than a percent, benchmark indices recouped more than half of the losses to end lower by about half a percent. Sensex settled at 71186, down 313 points while Nifty lost 110 points to finish at 21462. This was the third consecutive negative session for both the indices. Nifty mid-cap and small-cap indices fell 0.1% and 0.2% respectively. Nifty Consumer Durables and Financial Services indices were the top losers among the sectoral indices, down 1.7% and 1% respectively while Pharma and PSU Bank indices were the top gainers, up 1% and 0.8% respectively.

 

FIIs net sold stocks, index futures and stock futures worth Rs 9902 cr, 2508 cr and 1873 cr respectively. DIIs were net buyers to the tune of Rs 5977 cr.

 

Rupee appreciated 2 paise to end at 83.12/$.

 

OUTLOOK

 

Today morning, Nikkei and Hang Seng are up 1.6% and 0.6% respectively while Shanghai is off 0.2%. GIFT Nifty is suggesting a modestly higher start for our market.

 

In yesterday's report we had said that 34-DMA, placed around 21350, was the important support to eye while 21850 was the immediate hurdle.

 

Nifty, after touching a low of 21285, rebounded to end at 21462.

 

21285, the bottom made yesterday, is the important immediate support to eye; 21850 continues to be immediate hurdle.

 

For Banknifty, 45430, the low made yesterday, which roughly coincided with 20-week moving average, is the immediate support, upon breach of which, 34-week moving average, placed around 45000, would be next downside level to eye; 47500 is immediate hurdle.

 

Reliance Industries, HUL and Ultratech Cement will report their quarterly earnings today.

Investment in securities market is subject to market risk.

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