17870-17970 CONTINUES TO BE THE RESISTANCE ZONE; 17650-17600 CONTINUES TO BE SUPPORT AREA

 

17870-17970 CONTINUES TO BE THE RESISTANCE ZONE; 17650-17600 CONTINUES TO BE SUPPORT AREA

 

WORLD MARKETS

 

US indices fell 0.6%-1.7% amid corporate profit worries.

 

Chipotle fell 5% while Lumen Technologies nosedived 21% after disappointing results.

 

US 10-year treasury yield fell 6 bps to 3.613%. Dollar index inched up 0.1% to 103.47. Gold inched up 0.2% to $1875 per ounce.

 

Oil gained for the third consecutive day with Brent up 1.7% at $85.09 a barrel and WTI up 1.7% to $78.47 a barrel.

 

In Europe, FTSE and DAX rose 0.3% and 0.6% respectively while CAC fell 0.2%.

 

AT HOME

 

Sensex and Nifty rose 0.6% and 0.8% respectively to close at the highest level in two weeks. Sensex settled at 60663, up 377 points while Nifty added 150 points to finish at 17871. Nifty mid-cap and small-cap indices gained 0.9% and 0.8% respectively. All the NSE sectoral indices ended higher, with Metal index being the top gainer, up 3.8%, followed by 1.5% higher IT index.

 

FIIs net sold stocks worth Rs 737 cr but net bought index futures and stock futures worth Rs 1266 cr and 1924 cr respectively. DIIs were net buyers to the tune of Rs 941 cr.

 

Rupee appreciated 21 paise to end at 82.49/$.

 

RBI's Monetary Policy Committee voted 4-2 in favour of 25 bps repo rate hike, taking the rate to 6.50%. The "withdrawal of accommodation to ensure that inflation remains within the target going forward, while support growth" was maintained. RBI estimated FY23-24 GDP growth to be at 6.4% while raised FY23 number to 7% from 6.8%. Retail inflation forecast for FY23 was lowered to 6.5% from 6.7% while pegging it as 5.3% for next fiscal.

 

OUTLOOK

 

Today morning, Shanghai and Hang Seng are up 0.6% and 0.4% respectively while Nikkei is down half a percent. SGX Nifty is suggesting a marginally lower start for our market.

 

In yesterday's report we had said that 17650-17600 continued to be immediate support zone on the hourly chart while 17870-17970 continued to be immediate resistance zone.

 

Nifty rose to touch a high of 17898 before closing at 17871.

 

17870-17970 continues to be immediate resistance zone for Nifty, upon crossover of which, 18201, the top made last week, would be next upside target; 17650-17600 continues to be immediate support zone on the hourly chart.

 

For Banknifty, 42015, the top made on Budget day, continues to be upside level to eye; On the way down, 40700-40600 is the immediate support area, below which, 39420, the low made last week, would be bigger support to eye.

17650-17600 CONTINUES TO BE SUPPORT AREA; 17870-17970 IS THE RESISTANCE ZONE

 

17650-17600 CONTINUES TO BE SUPPORT AREA; 17870-17970 IS THE RESISTANCE ZONE

 

WORLD MARKETS

 

US indices climbed 0.8%-1.9% as Fed Chair Powell acknowledged that inflation is declining, raised hopes that the central bank may soon pause its rate hikes.

 

US 10-year treasury yield rose 3 bps to 3.677%. Gold inched up 0.3% to $1872 per ounce. Dollar index eased 0.3% to 103.34.

 

Brent crude futures rose 3.8% to $84.09 a barrel, while WTI futures rose 0.4% to $77.47 per barrel.

 

In Europe, FTSE rose 0.4% but DAX and CAC fell 0.2% and 0.1% respectively.

 

AT HOME

 

Sensex and Nifty fell 0.4% and 0.2% respectively, extending yesterday's half a percent cut. Sensex settled at 60286, down 220 points while Nifty lost 43 points to finish at 17721. Nifty mid-cap index was little changed while small-cap index slipped 0.7%. Nifty FMCG and Auto indices dipped 1.2% and 1% respectively, becoming top losers among the sectoral indices while Realty and Bank indices were the top gainers, up 0.9% and 0.3% respectively.

 

FIIs net sold stocks and stock futures worth Rs 2560 cr and 240 cr respectively but net bought index futures worth Rs 89 cr. DIIs were net buyers to the tune of Rs 640 cr.

 

Rupee appreciated 3 paise to end at 82.70/$.

 

OUTLOOK

 

Today morning, Asian markets are trading with cuts of 0.1%-0.6% but SGX Nifty is suggesting around 20 points higher start for our market.

 

In yesterday's report we had said that 17650-17600 continued to be immediate support zone on the hourly chart while 17870-17970 was the immediate resistance zone.

 

Nifty, after touching a low of 17652, rebounded to close at 17721.

 

17650-17600 continues to be immediate support zone on the hourly chart, below which, 17353, the low made on Budget day, would be next downside level to eye; 17870-17970 continues to be immediate resistance zone.

 

For Banknifty, 42015, the top made on Budget day, is the upside level to eye; On the way down, 40700-40600 is the immediate support area, below which, 39420, the low made last week, would be bigger support to eye.

 

RBI's Monetary Policy Committee will announce it's interest rate decision today and is widely expected to deliver 25 bps repo rate hike.

17650-17600 IS THE SUPPORT AREA; 17870-17970 IS THE RESISTANCE ZONE

 

17650-17600 IS THE SUPPORT AREA; 17870-17970 IS THE RESISTANCE ZONE

 

WORLD MARKETS

 

US indices fell 0.1%-1% with Nasdaq leading the losses as as bond yields rose and pressured growth stocks.

 

US 10-year treasury yield rose 12 bps to 3.644%. Dollar index rose 0.6% to 103.62. Gold inched up 0.1% to $1867 per ounce.

 

Brent futures for April delivery rose 1.3% to $80.99 a barrel and WTI gained 1% to $74.11 per barrel.

 

In Europe, FTSE and DAX fell 0.8% each while CAC dipped 1.3%.

 

AT HOME

 

Benchmark indices fell half a percent each, giving away a third of big gains made on Friday. Sensex settled at 60506, down 335 points while Nifty lost 89 points to finish at 17764. Nifty mid-cap and small-cap indices however gained 1% and 0.5% respectively. Nifty Metal index tumbled 2.2%, becoming top loser among the sectoral indices, followed by 0.6% lower IT index. Nifty Media and FMCG indices were the top gainer, up 0.8% and 0.6% respectively.

 

FIIs net sold stocks, index futures and stock futures worth Rs 1218 cr, 2190 cr and 65cr respectively. DIIs were net buyers to the tune of Rs 1203 cr.

 

Rupee depreciated 90 paise to end at 82.73/$.

 

OUTLOOK

Today morning, Hang Seng is up a percent while Nikkei and Shanghai are up 0.2% each. SGX Nifty is suggesting around 40 points higher start for our market.

 

In yesterday's report we had said that 17972, the top made on the Budget day, continued to be immediate hurdle, while 17650-17600 was the immediate support zone on the hourly chart.

 

Nifty fell to 17698 before closing at 17764.

 

17650-17600 continues to be immediate support zone on the hourly chart, below which, 17353, the low made on Budget day, would be next downside level to eye; 17870-17970 is the immediate resistance zone.

 

For Banknifty, 42015, the top made on Budget day, is the immediate hurdle, upon crossover of which, 43078, the top made on 24th Jan., would be the next upside target to eye; On the way down, 40600 is the immediate support on the hourly chart, below which, 39420, the low made last week, would be bigger support to eye.

 

Bharti Airtel and Adani Ports will report their quarterly earnings today.

 

17972 IS THE IMMEDIATE HURDLE; 17650-17600 IMMEDIATE SUPPORT AREA

 

17972 IS THE IMMEDIATE HURDLE; 17650-17600 IMMEDIATE SUPPORT AREA

 

WORLD MARKETS

 

US indices fell 0.4%-1.6% on Friday after solid jobs report raised fears that the Federal Reserve could keep hiking interest rates.

 

Nonfarm payrolls surged by 517,000 jobs last month much higher than the expected 185000. The unemployment rate hit more than a 53-1/2-year low of 3.4%. December data was revised higher to show 260,000 jobs added instead of the previously reported 223,000.

 

US 10-year treasury yield jumped 13 bps to 3.526%. Dollar index rose 1.2% to 102.99. Gold plunged 2.5% to $1865 per ounce.

 

Brent crude futures fell 3% to $79.74 a barrel and WTI crude futures fell 3.4% to $73.22 a barrel.

 

In Europe, FTSE and CAC rose nearly a percent each but DAX fell 0.2%. The composite PMI showed euro zone business activity returned to growth in January for the first time in six months,

 

AT HOME

 

Benchmark indices surged a percent and half, their biggest gain since 11th November. Sensex settled at 60841, up 910 points while Nifty added 243 points to finish at 17854. Nifty mid-cap and small-cap indices however fell 0.2% and 0.4% respectively. Nifty PSU Bank and Financial Services indices surged 3.1% and 2.4% respectively, becoming top gainers among the sectoral indices while Pharma and Oil & Gas indices were the top losers, down 1% and 0.9% respectively.

 

FIIs net sold stocks worth Rs 932 cr but net bought index futures and stock futures worth Rs 2344 cr and 1042 cr respectively. DIIs were net buyers to the tune of Rs 1265 cr.

 

Rupee appreciated 34 paise to end at 81.83/$.

 

OUTLOOK

 

Today morning, Nikkei is up nearly a percent but Hang Seng and Shanghai are down 1.6% and 0.4% respectively. SGX Nifty is suggesting around 60 points lower start for our market.

 

In Friday's report we had said that 17972, the top made on the budget day, continued to be important immediate hurdle, while 17300-17200 continued to be important support area.

 

Nifty rose to touch a high of 17870 before closing at 17854.

 

17972, the top made on the Budget day, around which 34-DMA is also placed, continues to be immediate hurdle, upon crossover of which, 18201, the top made last to last week, would be next upside target; On the way down, 17650-17600 is the immediate support zone on the hourly chart, below which, 17353, the low made last week, would be next downside level to eye.

 

For Banknifty, 42015, the top made last week, is the immediate hurdle, upon crossover of which, 43078, the top previous week, would be the next upside target to eye; On the way down, 40600 is the immediate support on the hourly chart, below which, 39420, the low made last week, would be bigger support to eye.

 

17972 IS IMMEDIATE HURDLE; 17300-17200 IMPORTANT SUPPORT AREA

 

17972 IS IMMEDIATE HURDLE; 17300-17200 IMPORTANT SUPPORT AREA

 

WORLD MARKETS

 

Dow, dragged lower by Merck shares, fell 0.1% but S & P 500 and Nasdaq, on the back of technology rally led by Meta, surged 1.5% and 3.2% respectively.

 

Meta surged 23% for its best day since 2013 after reporting a fourth-quarter beat on revenue and announcing a $40 billion stock buyback.

 

Weekly jobless claims stood at 183,000, lower than the expected print of 195,000. Factory orders rose 1.8%, lower than the 2% estimate.

 

US 10-year treasury yield fell 3 bps to 3.395%. Dollar index rose 0.6% to 101.739. Gold dipped 1.9% to $1912 per ounce.

 

Brent crude futures settled 1.04% lower at at $81.98 a barrel and WTI settled at $75.77 a barrel, down 0.84%.

 

European markets gained 0.8%-2.2%. Bank of England announced hiked interest rates by 50 basis points, as widely expected. ECB too hiked rate by 50 bps.

 

AT HOME

 

Sensex ended 0.4% higher while Nifty ended marginally in the red after a choppy session. Sensex settled at 59932, up 224 points while Nifty ended 6 point lower at 17610. Nifty mid-cap and small-cap indices gained 0.2% and 0.6% respectively. Nifty Metal and Oil & Gas indices tumbled 4.4% and 2% respectively, becoming top losers among the sectors indices while FMCG and IT indices climbed 2.3% and 1.8% respectively, becoming top gainer.

 

FIIs net sold stocks, index futures and stock futures worth Rs 3065 cr, 2464 cr and 323 cr respectively. DIIs were net buyers to the tune of Rs 2371 cr.

 

Rupee depreciated 25 paise to end at 82.17/$.

 

OUTLOOK

 

Today morning, Nikkei is up 0.7% but Hang Seng and Shanghai are down 1.3% and 0.7% respectively. SGX Nifty is suggesting a marginally higher start for our market.

 

In yesterday's report we had said that 17972, the top made budget day, was the important immediate hurdle, while 17300-17200 continued to be important support area.

 

Nifty, after touching a low of 17445, rebounded to end at 17610.

 

17972, the top made on the budget day, around which 34-DMA is also placed, continues to be important immediate hurdle, a crossover of which is required for a fresh upmove. On the way down, 17300-17200 continues to be important support area, as 17300 is where 200-DMA is placed while 17200 is the 78.6% retracement level of the 16747-18887 upmove.

 

For Banknifty, 39500-39400 is immediate support zone, below which, 200-DMA, placed around 38800, would be next downside level to eye; 42015, the top made on the budget day, is the immediate hurdle.

 

SBI, ITC and Divi's Lab will report their quarterly earnings today.

 

17972 IS IMMEDIATE HURDLE; 17300-17200 IMPORTANT SUPPORT AREA

 

17972 IS IMMEDIATE HURDLE; 17300-17200 IMPORTANT SUPPORT AREA

 

WORLD MARKETS

 

Dow was flat but S & P 500 and Nasdaq jumped 1% and 2% respectively after Fed delivered a smaller rate hike of 25 bps and Fed Chairman Jerome Powell acknowledged inflation is falling.

 

Data from ADP showed U.S. private payrolls rose by 106,000 last month, far less than expected. ISM manufacturing PMI for January came in at 47.4%, below the 48.4% reading for December and less than the 48% estimate.

 

US 10-year treasury yield fell 9 bps to 3.42%. Dollar index dipped 0.9% to 101.17, it's lowest level in 9-months. Gold jumped 1.1% to $1950 per ounce.

 

Oil plunged after U.S. government data showed big builds in crude oil, gasoline and distillate inventories and OPEC and its allies stuck to their output policy. Brent as well as WTI crude futures settled down 3.1% at $82.84 and $76.41 a barrel respectively.

 

In Europe, FTSE and CAC fell 0.1% each but DAX rose 0.4%.

 

AT HOME

 

After rising 1.8% as budget was getting announced, benchmark indices nosedived 3.4% from the top post 1 pm and then rebounded a percent and half in last half an hour to end with modest changes. Sensex settled at 59708, up 158 points while Nifty ended lower by 45 points at 17616. Nifty mid-cap and small-cap indices fell 0.9% and 1.2% respectively. Except 1.1% and 0.9% higher FMCG and IT indices respectively, all the NSE sectoral indices ended lower, with PSU Bank and Metal indices leading the losses, down 5.7% and 4.5% respectively.

 

FIIs net bought stocks, index futures and stock futures worth Rs 1785 cr, 798 cr and 244 cr respectively. DIIs were net buyers to the tune of Rs 529 cr.

 

Rupee ended flat at 81.92/$.

 

OUTLOOK

 

Today morning, Asian markets are trading with gains of 0.1%-0.7% but SGX Nifty is suggesting around 70 points lower start for our market.

 

In yesterday's report we had said that 17300-17200 continued to be next support area for Nifty while 17900 continued to be immediate hurdle on the hourly chart, above which, 18200, the top made last week, would be the next resistance to eye.

 

Nifty, after touching a high of 17972, plunged all the way to 17353 before closing at 17616.

 

17972, the top made yesterday, around which 34-DMA is also placed, is the important immediate hurdle, a crossover of which is required for a fresh upmove. On the way down, 17300-17200 continues to be important support area, as 17300 is where 200-DMA is placed while 17200 is the 78.6% retracement level of the 16747-18887 upmove.

 

For Banknifty, 39500-39400 is immediate support zone, below which, 200-DMA, placed around 38800, would be next downside level to eye; 42015, the top made yesterday, is immediate hurdle.

 

ALL EYES ON BUDGET

 

ALL EYES ON BUDGET

 

WORLD MARKETS

 

US indices gained 1.1%-1.7% on the back of strong earnings and encouraging labour cost data.

 

The Employment Cost Index, a measure of wage increases, rose 1% last quarter, it's smallest advance since the fourth quarter of 2021 and followed a 1.2% gain in the July-September period. House price growth slowed considerably in November, with a 9.2% increase in the month.

 

Shares of General Motors, Exxon Mobil and PulteGroup jumped on the back of strong earnings.

 

US 10-year treasury yield fell 3 bps to 3.512%. Dollar index fell 0.2% to 102.09. Gold rose 0.3% to $1928 per ounce.

 

Brent futures rose 1% to $85.46 a barrel and WTI futures rose 1.3% to $78.87.

 

In Europe, FTSE fell 0.2% while DAX and CAC were little changed.  Euro zone economy grew 0.1% in the last quarter of 2022, beating estimates of a 0.1% contraction. On the flip side, German retail sales showed a surprise fall in December.

 

AT HOME

 

After falling more than half a percent in first hour, benchmark indices recouped all the losses and some more to end marginally higher. Sensex settled at 59550, up 49 points while Nifty added 13 points to finish at 17662. Nifty mid-cap and small-cap indices surged 1.6% and 2.9% respectively. BSE Utilities index jumped 2.2%, becoming top gainer among the sectoral indices, followed by 2.1% higher Industrials and Telecommunications indices.

 

FIIs net sold stocks, index futures and stock futures worth Rs 5440 cr, 1616 cr and 248 cr respectively. DIIs were net buyers to the tune of Rs 4506 cr.

 

Rupee depreciated 42 paise to end at 81.92/$.

 

OUTLOOK

 

Today morning, Asian markets are trading with gains of upto half a percent and SGX Nifty is suggesting around 60 points higher start for our market.

 

In yesterday's report we had said that 17300-17200 was the next support area for Nifty while 17900 was the immediate hurdle on the hourly chart, with the stop-loss of which, trading shorts can be held on to.

 

Nifty, after touching a low of 17537, rebounded to end at 17662.

 

17300-17200 continues to be next support area for Nifty as 17300 is where 200-DMA is placed while 17200 is the 78.6% retracement level of the 16747-18887 upmove; 17900 continues to be immediate hurdle on the hourly chart, above which, 18200, the top made last week, would be the next resistance to eye.

 

Finance Minister will present her last full budget before the 2024 elections today. In terms of big numbers to watch out, fiscal deficit for FY24 is expected at 5.9% of GDP, with gross and net borrowing pegged at Rs. 15.7 trillion and Rs. 11.3 tn respectively. In terms of tax proposals, markets would watch out for any changes to rationalise capital gains tax regime and measures to make new tax regime more attractive. In terms of growth measures, market is expecting increased spend for infrastructure which will include road, railway, defence, power, green energy, electric vehicle among others. Increase in social spending ahead of big election will boost FMCG stocks.