21860, 21530 ARE NEXT SUPPORTS; 22350 IMMEDIATE HURDLE

 

21860, 21530 ARE NEXT SUPPORTS; 22350 IMMEDIATE HURDLE

 

WORLD MARKETS

 

Dow inched up 0.1% while S & P 500 and Nasdaq fell 0.2% and 0.5% respectively as tech stocks cooled off.

 

U.S. 10-year treasury yield rose 4 bps to 4.19%. Dollar index fell 0.1% to 102.79. Gold rose 0.8% to $2175 per ounce.

 

Oil futures jumped after Ukraine struck refineries in Russia. WTI crude futures rose 2.8% to $79.72 a barrel while Brent futures added 2.6% to settle at $84.03 a barrel.

 

In Europe, FTSE and CAC rose 0.3% and 0.6% respectively while DAX was little changed. Britain’s economy returned to growth in January after entering a shallow recession in the second half of 2023. Eurozone industrial production decreased by 3.2% in January from the previous month.

 

AT HOME

 

Sensex and Nifty tumbled 1.2% and 1.5% respectively for their worst session since 23rd January. Sensex lost 906 points to settle at 72761 while Nifty finished at 21997, down 338 points. Nifty mid-cap index nosedived 4.4% for it's worst day since 24th February 2022 and closed at the lowest level since 28th December 2023. Small-cap index collapsed 5.3%, it's worst day since 24th February 2022 as well and closed at the lowest level after 1st December 2023. Except 0.05% higher FMCG index, all the NSE sectoral indices ended in red, with Metal and Media indices being the top losers, down 5.7% and 5.6% respectively.

 

FIIs net sold stock and index futures worth Rs 4595 cr and 1382 cr respectively but net bought stock futures worth Rs 4828 cr. DIIs were net buyers to the tune of Rs 9094 cr.

 

Rupee depreciated 11 paise to end at 82.86/$.

 

OUTLOOK

 

Today morning, Nikkei is down 0.3% while Hang Seng and Shanghai are up quarter of a percent each. GIFT Nifty is suggesting around 50 points lower start for our market.

 

In yesterday's report we had said that 22224, the low made last week, continued to be immediate support while 22526, the top made Monday, continued to be immediate hurdle.

 

Nifty broke 22224 and plunged all the way to 21905 before closing at 21997.

 

21860, followed by 21530, the bottoms made on 29th and 14th February respectively, are the next downside levels to eye; 22350 is the immediate hurdle on the hourly chart.

 

For Banknifty, 46600, the 61.8% retracement level of the recent 45661-48161 upmove, is the next support; 47600 is immediate hurdle.