22795 ABOVE 22586; 22200-22175 IS THE SUPPORT ZONE

 

22795 ABOVE 22586; 22200-22175 IS THE SUPPORT ZONE

 

WORLD MARKETS

 

Dow fell half a percent while S & P 500 and Nasdaq rose 0.1% and 0.6% respectively. Nasdaq hit a fresh record high powered by gains in Nvidia and other tech companies.

 

JPMorgan declined 4.5% as CEO Jamie Dimon signaled during the bank’s annual investment meeting that his retirement may be sooner than previously stated.

 

Atlanta Fed President Raphael Bostic said it will take a while for the Federal Reserve to be confident that inflation is on track back to its goal. Fed Vice Chair Philip Jefferson said it is too early to tell whether the recent slowdown in the disinflationary process will be long lasting.

 

U.S 10-year treasury yield rose 2 bps to 4.449%. Dollar index rose 0.1% to 104.62. Gold rose 0.4% to $2425 per ounce.  

 

WTI crude futures fell 0.3% to $79.80 a barrel while Brent futures fell 0.3% to $83.71.

 

In Europe, DAX and CAC gained 0.4% each while FTSE was little changed.

 

AT HOME

 

Benchmark indices gained three tenth of a percent each, rising for the fifth day in last six. Sensex settled at 73917, up 253 points while Nifty added 62 points to finish at 22466. Nifty mid-cap and small-cap indices surged 0.9% and 1.6% respectively, with the former extending the winning streak to sixth straight session and hitting fresh record highs. Nifty Consumer Durables index soared 2.8%, becoming top gainer among the sectoral indices, followed by 1.7% higher Auto and Realty indices. Pharma and Healthcare indices were the sole losers, down 0.1% each.

 

FIIs net bought stocks, index futures and stock futures worth Rs 1617 cr, 134 cr and 144 cr respectively. DIIs were net buyers to the tune of Rs 1556 cr.

 

Rupee appreciated 1650 paise to end at 83.3350/$.

 

OUTLOOK

 

Today morning, Nikkei is up 0.2% while Hang Seng and Shanghai are down 1% and 0.3% respectively. GIFT Nifty is suggesting around 60 points higher start for our market.

 

In Saturday's report we had said that 22586, the 78.6% retracement level of the recent 22795-21821 fall, was the next upside level to eye.

 

Nifty, after touching a high of 22520, closed at 22502. The benchmark is set to open near 22550 today.

 

22586, the 78.6% retracement level of the recent 22795-21821 fall, continues to be next upside level to eye, upon crossover of which, 22795, the top made on 3rd May, would be next target; 22200-22175 is the immediate support zone on the hourly chart, with the stop-loss of which, trading longs can be held on to.

 

For Banknifty, 48644 and 48958, the 50% and 61.8% retracement levels of the recent 49975-47313 fall, are the next upside levels to eye; 47350 is the immediate support.

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