22180 IS IMMEDIATE HURDLE; 21883 IMMEDIATE SUPPORT

 

22180 IS IMMEDIATE HURDLE; 21883 IMMEDIATE SUPPORT

 

WORLD MARKETS

 

U.S. indices fell 0.3%-0.4% yesterday.

 

New home sales came in at 662,000, below the 675,000 estimate and 0.3% down from January’s figure of 664,000 sales.

 

U.S. 10-year treasury yield rose 4 bps to 4.247%. Dollar index fell 0.2% to 104.22. Gold rose 0.3% to $2171 per ounce.

 

WTI and Brent crude futures rose 1.6% each to $81.95 and $86.57 a barrel respectively.

 

In Europe, FTSE fell 0.2%, CAC was flat while DAX rose 0.3%.

 

AT HOME

 

Sensex and Nifty gained 0.3% and 0.4% respectively, extending the winning streak to third straight day and closing at the highest level after 14th March. Sensex settled at 72831, up 190 points while Nifty added 85 points to finish at 22096. Nifty mid-cap and small-cap indices gained 0.6% each. Except 2.3% lower IT index, all the NSE sectoral indices ended higher, with Realty and Auto indices being the top gainers, up 1.8% and 1.7% respectively.

 

FIIs net sold stocks worth Rs 3310 cr but net bought index futures and stock futures worth Rs 1433 cr and 5919 cr respectively. DIIs were net buyers to the tune of Rs 3764 cr.

 

Rupee depreciated 28 paise to end at 83.43/$.

 

For the week, Sensex and Nifty gained 0.2% and 0.3% respectively.

 

OUTLOOK

 

Today morning, Hang Seng and Nikkei are modestly higher while Shanghai is down 0.3%. GIFT Nifty is suggesting nearly 50 points lower start for our market.

 

In Friday's report we had said that 22080, was the immediate hurdle, upon crossover of which, 22215 and 22350, the 61.8% and 78.6% retracement levels of the recent 22526-21710 fall, would be next upside levels to eye while 21710, was the immediate support.

 

Nifty, after making a low of 21883, rebounded to touch a high of 22180 before closing at 22096.

 

22180, the top made on Friday, roughly coincided with 20-DMA, and hence is the immediate hurdle to eye. Above 22180, next upside target to eye would be 22351, the 78.6% retracement level of the recent 22526-21710 fall; On the way down, 21883, the low made on Friday, is the immediate support, upon breach of which, 21710, the bottom made last week, would be bigger support to eye.

 

For Banknifty, 46990, the top made last week, roughly coincided with 20-DMA, and hence is the immediate hurdle to eye. Above it, 47270 and 47662, the 61.8% and 78.6% retracement levels of recent 48161-45828 fall, would be next upside levels to eye. On the way down, 46500 is the immediate support on the hourly chart, below which, 45828, the low made during the week, would be bigger support to eye.