22562 CONTINUES TO BE NEXT TARGET; 22250-22200 IS THE SUPPORT ZONE

 

22562 CONTINUES TO BE NEXT TARGET; 22250-22200 IS THE SUPPORT ZONE

 

WORLD MARKETS

 

Dow fell 0.1% while S & P 500 and Nasdaq ended marginally in the green.

 

Tesla missed expectations on both lines in the latest quarter but stock climbed 12% after the company announced a renewed push into “more affordable” electric vehicle models. Boeing, after initially popping on first-quarter results, reversed to end 2.9% lower.

 

U.S. 10-year treasury yield rose 4 bps to 4.644%. Dollar index inched up 0.1% to 105.82. Gold fell 0.3% to $2315 per ounce.

 

WTI crude futures fell 0.7% to $82.81 while Brent futures fell 0.4% to $88.02 a barrel/

 

European markets fell 0.1%-0.4%.

 

AT HOME

 

Benchmark indices rose a fifth of a percent each, extending the winning streak to fourth straight session. Sensex settled at 73852, up 114 points while Nifty added 34 points to finish at 22402. Nifty mid-cap and small-cap indices gained 0.8% and 0.4% respectively. Nifty Metal and Healthcare indices climbed 2.7% and 1.3% respectively, becoming top gainers among the sectoral indices while IT and Media indices were the top losers, down 0.8% and 0.3% respectively.

 

FIIs net sold stocks and index futures worth Rs 2512 cr and 310 cr respectively but net bought stock futures worth Rs 3208 cr. DIIs were net buyers to the tune of Rs 3810 cr.

 

Rupee appreciated 2 paise to end at 83.32/$.

 

HUL met muted estimates in Q4 even as revenue and profit decline. Axis Bank beat estimates on all parameters. Profit surged nearly 30%, margins expanded by 160 bps and asset quality improves.

 

RBI has barred Kotak Mahindra Bank from onboarding new customers online and issuing fresh credit cards.

 

OUTLOOK

 

HUL met muted estimates in Q4 even as revenue and profit decline. Axis Bank beat estimates on all parameters. Profit surged nearly 30%, margins expanded by 160 bps and asset quality improves. LTI Mindtree's revenue and margin came below estimate.

 

Today morning, Nikkei is down nearly 2%, Shanghai is marginally in the red while Hang Seng is marginally higher. GIFT Nifty is suggesting around 60 points lower start for our market.

 

In yesterday's report we had said that 22562, the 78.6% retracement level of the recent 22775-21777 fall, continues to be next upside level to eye while 22200-22150 continued to be immediate support zone.

 

Nifty, after touching a high of 22476, eased to end at 22402.

 

22562, the 78.6% retracement level of the recent 22775-21777 fall, continues to be next upside level to eye; 22250-22200 is the immediate support zone, with the stop-loss of which, trading longs can be held on to.

 

For Banknifty, 48527, the 78.6% retracement level of the recent 49057-46579 fall, followed by 49057, the top made on 10th April, are the next upside levels to eye; 47600-47500 is the immediate support area.

 

Bajaj Finance, Indusind Bank and Nestle will report their quarterly earnings today.

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