22325, 22500 ARE UPSIDE LEVELS TO EYE; 22000 IS IMMEDIATE SUPPORT

 

22325, 22500 ARE UPSIDE LEVELS TO EYE; 22000 IS IMMEDIATE SUPPORT

 

WORLD MARKETS

 

U.S. indices surged 1.2%-3%, with the S & P 500 and Nasdaq notching best day in more than a year, after chip giant Nvidia reported much stronger-than-expected quarterly results, lifting the broader market and tech sector.

 

Nvidia soared 16.4% to an all-time high after the chip company said total revenue rose a whopping 265% from a year ago — driven by its booming artificial intelligence business.

 

Jobless claims unexpectedly fell last week, while U.S. business activity cooled in February, with a measure of prices paid for inputs falling to the lowest level in nearly 3-1/2 years. Existing home sales increased 3.1% in January to a seasonally adjusted annual rate of 4.00 million units, the highest level since last August.

 

U.S. 10-year treasury yield inched up 1 bps to 4.327%. Dollar index was flat at 103.94. Gold fell 0.1% to $2024 per ounce.

 

WTI crude futures gained 0.9% to settle at $78.61 a barrel and Brent futures added 0.8% to settle at $83.67 a barrel.

 

European markets gained 0.3%-1.5%. Euro zone business activity showed some improvement in February, with manufacturing contracting but the services sector returning to growth, preliminary data showed.

 

AT HOME

 

After falling eight tenth of a percent in the morning, benchmark indices reversed these losses in noon session to end higher by three tenth of a percent. Nifty in fact made fresh record high. Sensex settled at 73158, up 535 points while Nifty added 162 points to finish at 22217. Nifty mid-cap and small-cap indices gained 1% and 0.7% respectively. Nifty IT and Auto indices were the top gainers among the sectoral indices, up 1.9% and 1.6% respectively while Bank and Financial Services indices were the top losers, down 0.2% and 0.1% respectively.

 

FIIs net sold stocks and stock futures worth Rs 1410 cr and 1368 cr respectively but net bought index futures worth Rs 1362 cr. DIIs were net buyers to the tune of Rs 1824 cr.

 

Rupee appreciated 13 paise to end at 82.84/$.

 

OUTLOOK

 

Today morning, Nikkei is shut for a holiday while Hang Seng and Shanghai are up 0.4% each. GIFT Nifty is suggesting around 60 points higher start for our market.

 

In yesterday's report we had said that 22250, the top made Wednesday, was the immediate hurdle, while 22000-21975 was the immediate support zone, upon breach of which, 20 and 34-DMAs, placed around 21800 and 21750 respectively, would be next downside level to eye.

 

Nifty, after touching a low of 21875, rebounded to touch a high of 22252 before closing at 22217.

 

22325 is the next immediate target above which, 22500 would be next target; 22000 is the immediate support on intraday chart, below which, 21875, the low made yesterday, would be bigger support.

 

For Banknifty, 47736, the 78.6% retracement levels of the 48636-44429 fall, continues to be next upside levels to eye; 46426, the low made yesterday, is immediate support.

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