NIFTY TESTS 21500 SUPPORT; 21650 IS THE IMMEDIATE HURDLE

 

NIFTY TESTS 21500 SUPPORT; 21650 IS THE IMMEDIATE HURDLE

 

WORLD MARKETS

 

U.S. indices surged 0.6%-2.2% with Nasdaq on the top as technology stocks bounced back from recent sell-off.

 

Nvidia surged 6.4% to reach an all-time high. Boeing tempered the Dow’s gains, falling 8%, following the temporary grounding of dozens of Boeing 737 Max 9 aircraft for inspections, after a section of an Alaska Airlines fuselage blew out.

 

Oil prices tumbled after Saudi Aramco on Sunday sharply lowered the price of Arab Light Crude to Asian customers by $2 per barrel. U.S. 10-year treasury yield fell 2 bps to 4.032%. Dollar index fell 0.2% to 102.28. Gold fell 0.9% to $2028 per ounce.

 

WTI crude February contract plunged 4.1% to settle at $70.77 a barrel and Brent futures contract for March fell 3.4% to settle at $76.12 a barrel.

 

European markets gained 0.1%-0.7%.

 

AT HOME

 

Benchmark indices tumbled nine tenth of a percent each for their worst day in 3-weeks. Sensex settled at 71355, down 670 points while Nifty lost 198 points to finish at 21513. Nifty mid-cap and small-cap indices fell 1.1% and 0.6% respectively. Except 0.1% higher Realty and Media indices, all the NSE sectoral indices ended in red, with PSU Bank and FMCG indices being the top losers, down 2.5% and 1.7% respectively.

 

FIIs net bought stocks worth Rs 16 cr but net sold index futures and stock futures worth Rs 1419 cr and 2754 cr respectively. DIIs were net buyers to the tune of Rs 157 cr.

 

Rupee appreciated 1 paise to end at 83.14/$.

 

OUTLOOK

 

Today morning, Asian markets are trading with gains of 0.2%-1.2% and GIFT Nifty is suggesting more than 100 points gap-up start for our market.

 

In yesterday's report we had said that 21760, the 78.6% retracement level of the recent 21834-21500 fall, is the immediate hurdle while 21500, the low made last week, which coincided with the 38.2% retracement level of the 20976-21834 upmove seen since 21st December, is the immediate support.

 

Nifty, after touching a high of 21834, reversed and plunged all the way to 21492 before closing at 21513. The benchmark is set to open near 21600 today.

 

21625-21650 is the immediate resistance zone for Nifty, upon crossover of which, 21763, the top made yesterday, would be next upside level to eye; 21492, the low made yesterday, is the immediate support, upon breach of which, hurdle, with the stop-loss of which, 21400, followed by 21300, the 50% and 61.8% retracement levels of the recent 48636-47481 fall, are the next downside levels to eye.

 

For Banknifty, 47387, the low made yesterday, coincided with a trendline adjoining recent bottoms and hence is the immediate support to eye, upon breach of which, 34-DMA, placed around 46700, would be next downside level to eye; 48000 is the immediate hurdle.

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21834 ABOVE 21760; 21500 IS IMMEDIATE HURDLE

 

21834 ABOVE 21760; 21500 IS IMMEDIATE HURDLE

 

WORLD MARKETS

 

U.S. indices ended modestly higher on Friday after digesting strong nonfarm payroll and weak services data for December.

 

The U.S. economy added 216,000 jobs in December, much more than the expected 170,000. The unemployment rate was steady from November at 3.7%, compared with expectations of a rise to 3.8%, while average earnings rose 0.4% on a monthly basis, against forecasts of a 0.3% gain. December’s ISM services index came in at 50.6%, below the estimate of 52.5% and November’s 52.7% level.

 

U.S. 10-year treasury yield rose 5 bps to 4.05%. Dollar index was little changed at 102.43. Gold inched up 0.1% to $2045 per ounce.

 

Brent crude futures rose 1.8% to $79.01 a barrel, while WTI futures rose 2.5% to $73.97.

 

In Europe, FTSE and CAC fell 0.4% while DAX fell 0.1%. Euro zone December inflation climbed to 2.9% y-o-y from 2.4% the previous month, though came in just below a 3% forecast.

 

For the week, U.S. indices fell 0.6%-3.2%, snapping 9-week winning streak. The dollar gained 1.1%, its best weekly rise since mid-July.

 

AT HOME

 

Benchmark indices ended higher by a fourth of a percent each, extending the winning streak to second straight session. Sensex settled at 72026, up 178 points while Nifty added 52 points to finish at 21710. Nifty mid-cap and small-cap indices rose 0.2% and 0.6% respectively, both hitting fresh record highs. Nifty It index climbed 1.3%, becoming top gainer among the sectoral indices, followed by 0.4% higher Auto and Realty indices. Healthcare index was the top loser, down 0.6%, followed by 0.4% lower PSU Bank index.

 

FIIs net bought stocks and index futures worth Rs 1697 cr and 485 cr respectively but net sold stock futures worth Rs 575 cr. DIIs were net sellers to the tune of Rs 3498 cr.

 

Rupee appreciated 8 paise to end at 83.15/$.

 

For the week, Sensex fell 0.3% while Nifty was a tad lower.

 

India’s real GDP growth in 2023-24 estimated at 7.3%, compared to 7.2% a year ago, as per the first advance estimates of national income released by the National Statistical Office (NSO).

 

OUTLOOK

 

In Friday's report we had said that 21700 continued to be immediate hurdle, upon crossover of which, 21834, the top made on Monday, would be next resistance to eye while 21500, the low made Wednesday, was the immediate support.

 

Nifty touched a high of 21750 before closing at 21710.

 

Today morning, Nikkei is shut while Hang Seng and Shanghai are down 1.4% and 0.9% respectively. GIFT Nifty is suggesting around 30 points lower start for our market.

 

21760, the 78.6% retracement level of the recent 21834-21500 fall, is the immediate hurdle, upon crossover of which, 21834, the top made last week, would be next upside target to eye. On the way down, 21500, the low made last week, which coincided with the 38.2% retracement level of the 20976-21834 upmove seen since 21st December, is the immediate support.

 

For Banknifty, 48390, the 78.6% retracement level of the recent 48636-47481 fall, is the immediate hurdle, upon crossover of which, 48636, the top made on 28th December, would be next upside level to eye. On the way down, 47822, the low made on Friday, is the immediate support, upon breach of which, 47481, the low made during the week, would be bigger support to eye.

Investment in securities market is subject to market risk.

Please check https://www.prudentbroking.com/Disclaimert.aspx for detailed disclaimer.

21834 ABOVE 21700; 21500 IS IMMEDIATE SUPPORT

 

21834 ABOVE 21700; 21500 IS IMMEDIATE SUPPORT

 

WORLD MARKETS

 

Dow ended little changed while S & P 500 and Nasdaq fell 0.3% and 0.6% respectively. The S&P 500 and Nasdaq Composite declined for their fourth and fifth straight negative session, respectively.

 

Data from ADP showed private payrolls increased by 164,000 jobs last month as against the expected increase of 115000 and marking the largest monthly increase since August. Weekly jobless claims dropped by 18,000 to 202,000 as against expected figure of 216000.

 

U.S. 10-year treasury yield rose 8 bps to 4%. Dollar index was flat at 102.42. Gold inched up 0.1% to $2043 per ounce.

 

WTI crude future fell 0.7% to $72.19 a barrel while Brent future fell 0.8% to settle at $77.59 a barrel.

 

Main European markets gained half a percent each. French consumer prices rose 3.7% year-on-year in December, a slight rise from 3.5% in November. In Germany, CPI inflation rose to 3.7% in December, as expected, from 3.2% a month earlier.  UK net borrowing in November was the highest in nearly seven years. UK Services PMI showed Britain’s services firms grew more strongly in December than initially thought and optimism hit a seven-month high. Euro zone composite PMI showed a continuation of the contraction in output that began in June.

 

AT HOME

 

Benchmark indices climbed seven tenth of a percent each, snapping a 2-session losing streak. Sensex settled at 71447, up 490 points while Nifty added 141 points to finish at 21658. Nifty mid-cap and small-cap indices surged 1.7% and 1% respectively, both hitting fresh record highs. All the NSE sectoral indices ended higher, with Realty index on the top, up 6.8%, followed by 1.5% higher Financial Services index.

 

FIIs net bought stocks and index futures worth Rs 1513 cr and 122 cr respectively but net sold stock futures worth Rs 525 cr. DIIs were net sellers to the tune of Rs 1387 cr.

 

Rupee appreciated 5 paise to end at 83.23/$.

 

OUTLOOK

 

Today morning, Nikkei is up 0.4% while Hang Seng and Shanghai are flat. GIFT Nifty is suggesting a marginally lower start for our market.

 

In yesterday's report we had said that 20-DMA, placed around 21350, was the next downside level to eye while 21700 was the immediate hurdle, upon crossover of which, 21834, the top made on Monday, would be next resistance to eye.

 

Nifty surged to touch a high of 21685 before closing at 21658.

 

21700 continues to be immediate hurdle, upon crossover of which, 21834, the top made on Monday, would be next resistance to eye; 21500, the low made Wednesday, is the immediate support.

 

For Banknifty, 48636, the top made last week, is the next upside level to eye. 47481, the low made Wednesday, is immediate support.

Investment in securities market is subject to market risk.

Please check https://www.prudentbroking.com/Disclaimert.aspx for detailed disclaimer.

21350 IS NEXT SUPPORT; 21700 IMMEDIATE HURDLE

 

21350 IS NEXT SUPPORT; 21700 IMMEDIATE HURDLE

 

WORLD MARKETS

 

Dow and S & P fell 0.8% each while Nasdaq tumbled 1.2%. Nasdaq fell for the fourth consecutive day while S & P 500 had it's third straight negative session.

 

Minutes from that Fed’s December meeting indicated that many officials seemed satisfied with the recent progress made on the inflation front, and deem cuts appropriate at some point in 2024. However, the minutes also suggested that the Fed intends to maintain a restrictive stance in the short-term as uncertainties linger.

 

ISM manufacturing PMI increased to 47.4 last month after being unchanged at 46.7 for two straight months.  It was the 14th consecutive month that the PMI has stayed below 50, which indicates contraction in manufacturing. Monthly Job Openings and Labor Turnover Survey showed November jop openings dropped 62,000 to 8.790 million.

 

U.S. 10-year treasury yield fell 1 bps to 3.92%. Dollar index rose 1.1% to 102.45. Gold fell 0.8% to $2041 per ounce.

 

Oil rose more than 3% as the U.S. warned Houthi militants against further attacks in the Red Sea and OPEC pledged to remain united in supporting prices. WTI crude future gained 3.3% to settle at $72.70 a barrel and Brent future rose 3.1% to $78.25 a barrel.

 

European markets fell 0.5%-1.6%.

 

AT HOME

 

Sensex and Nifty slipped 0.8% and 0.7% respectively, extending the losing streak to second straight session. Sensex settled at 71356, down 535 points while Nifty lost 148 points to finish at 21517. Nifty mid-cap index gained 0.3% while small-cap index ended flat.  Nifty IT and Meal indices tumbled 2.5% and 1.8% respectively, becoming top losers among the sectoral indices while Realty and PSU Bank indices were the top gainers, up 1.2% each.

 

FIIs net sold stocks, index futures and stock futures worth Rs 666 cr, 619 cr and 2833 cr respectively. DIIs were net sellers to the tune of Rs 863 cr.

 

Rupee appreciated 4 paise to end at 83.28/$.

 

India’s HSBC Manufacturing PMI fell to 18-month low of 54.9 in December.

 

OUTLOOK

 

Today morning, Shanghai is up 0.2% but Hang Seng and Nikkei are down 0.4% and 1% respectively. GIFT Nifty is suggesting a modestly higher start for our market.

 

In yesterday's report we had said that upon breach of 21555, 20-DMA, placed around 21300, would be next downside level to eye while 21834, the top made on Monday, was the immediate hurdle.

 

Nifty fell to 21500 before closing at 21517.

 

20-DMA, placed around 21350, is the next downside level to eye; 21700 is the immediate hurdle, upon crossover of which, 21834, the top made on Monday, would be next resistance to eye.

 

For Banknifty, 47300 is the next support; 48200 is immediate hurdle.

Investment in securities market is subject to market risk.

Please check https://www.prudentbroking.com/Disclaimert.aspx for detailed disclaimer.

21300 BELOW 21555; 21834 IS IMMEDIATE HURDLE

 

21300 BELOW 21555; 21834 IS IMMEDIATE HURDLE

 

WORLD MARKETS

 

Dow inched up 0.1% while S & P 500 and Nasdaq fell 0.6% and 1.6% respectively on the first trading day of 2024.

 

Apple shares slid more than 3% after Barclays downgraded the company to an underweight rating. On the other hand, the Dow rose as stocks like Johnson & Johnson and Merck strengthened.

 

U.S. 10-year treasury yield rose 7 bps to 3.935%. Dollar index jumped 0.8% to 102.22 for its biggest daily percentage gain since Mar. 15, 2023. Euro slid 0.9% after data showed euro zone factory activity contracted in December for an 18th straight month. Gold fell 0.2% to $2059 per ounce.

 

WTI crude for February lost 1.8% to settle at $70.38 a barrel while the brent contract for March shed 1.5% to trade at $75.89. Crude prices had jumped more than 2% earlier in the trading session after Iran deployed a destroyer to the Red Sea without elaborating on the details of the warship’s mission.

 

In Europe, FTSE and CAC fell 0.2% each while DAX inched up 0.1%.

 

AT HOME

 

After falling nearly nine tenth of a percent, Sensex and Nifty recouped nearly half of the losses to end lower by 0.5% and 0.4% respectively. Sensex settled at 781892, down 379 points while Nifty lost 76 points to finish at 21665. Nifty mid-cap and small-cap indices fell a fifth of a percent each, snapping a 7-session winning streak.  Nifty Pharma and Healthcare indices climbed 2.5% and 1.9% respectively, becoming top gainers among the sectoral indices while Auto index was the top loser, down 1.4%, followed by 1.2% lower IT and Private Bank indices.

 

FIIs net bought stocks and stock futures worth Rs 1602 cr and 288 cr respectively but net sold index futures worth Rs 395 cr. DIIs were net sellers to the tune of Rs 1959 cr.

 

Rupee depreciated 8 paise to end at 83.32/$.

 

OUTLOOK

 

Today morning, Nikkei is shut while Hang Seng is down a percent and Shanghai is marginally higher. GIFT Nifty is suggesting around 75 points lower start for our market.

 

In yesterday's report we had said that 22000 continued to be next upside target for Nifty while 21650-21600 was the immediate support area, with the stop-loss of which, trading longs could be held on to.

 

Nifty, after touching a low of 21555, rebounded to end at 21665. The benchmark is set to open near 21600 today.

 

A breach of yesterday's low, i.e. 21555 would confirm a "Sell" on the hourly chart. 20-DMA, placed around 21300, would be next downside level to eye if that happens; 21834, the top made on Monday, is the immediate hurdle, upon crossover of which, 22000 would be next upside level to eye.

 

For Banknifty, 47300-47200 is the next support area; 48200 is immediate hurdle.

Investment in securities market is subject to market risk.

Please check https://www.prudentbroking.com/Disclaimert.aspx for detailed disclaimer.

 

TRAIL STOP-LOSS TO 21600

 

TRAIL STOP-LOSS TO 21600

 

WORLD MARKETS

 

U.S. and European markets were closed yesterday for New Year’s Day.

 

AT HOME

 

After rising half a percent, benchmark indices gave away all the gains in last half an hour plunge to end little changed. Sensex settled at 72271, up 31 points while Nifty added 10 points to finish at 21741. Nifty mid-cap and small-cap indices gained 0.6% and 0.5% respectively, extending the winning streak to seventh straight day and hitting fresh record highs. Nifty Media index climbed 1.8%, becoming top gainer among the sectoral indices, followed by 0.8% higher Oil & Gas and PSU Bank indices. Financial Services, Auto and Bank indices were the top losers, down 0.1% each.

 

FIIs net sold stocks, index futures and stock futures worth Rs 856 cr, 285 cr and 1315 cr respectively. DIIs were net buyers to the tune of Rs 410 cr.

 

Rupee depreciated 3 paise to end at 83.24/$.

 

OUTLOOK

 

Official data showed China’s manufacturing PMI contracted further in December 2023.

 

Today morning, Shanghai is flat while Hang Seng and Nikkei are down 0.9% and 0.2% respectively. GIFT Nifty is suggesting a modestly lower start for our market.

 

In yesterday's report we had said that 22000 continues to be next upside target for Nifty while 21475 continued to be immediate support, with the stop-loss of which, trading longs could be held on to.

 

Nifty, after touching a high of 21834, slipped to end at 21741.

 

22000 continues to be next upside target for Nifty; 21650-21600 is the immediate support area, with the stop-loss of which, trading longs can be held on to.

 

For Banknifty, 48636, the top made last week, is the immediate hurdle, upon crossover of which, 49300-49500, would be next target area; 47800-47750 is the immediate support zone, upon breach of which, 47200 would be the next downside level to eye.

Investment in securities market is subject to market risk.

Please check https://www.prudentbroking.com/Disclaimert.aspx for detailed disclaimer.

22000, 22200 ARE NEXT UPSIDE LEVELS TO EYE; 21475 IS IMMEDIATE SUPPORT

 

22000, 22200 ARE NEXT UPSIDE LEVELS TO EYE; 21475 IS IMMEDIATE SUPPORT

 

WORLD MARKETS

 

Dow was little changed while S & P 500 and Nasdaq fell 0.3% and 0.6% respectively on the last day of calendar 2023.

 

U.S. 10-year treasury yield rose 2 bps to 3.866%. Dollar index rose 0.2% to 101.38. Gold fell 0.1% to $2063 per ounce.

 

The WTI crude contract for February shed 0.2% to settle at $71.65 a barrel while Brent contract for March lost 0.1%, to settle at $77.04.

 

European markets gained 0.1%-0.3%.

 

For the week, Dow, S & P 500 and Nasdaq gained 0.8%, 0.3%, and 0.1% respectively, all extending the winning streak to ninth consecutive week. S & P 500 had its best win streak since 2004 while Dow and Nasdaq had their longest weekly winning streaks since 2019. In Europe, FTSE and DAX rose 0.5% and 0.3% respectively while CAC fell a third of a percent. Asian markets gained between 0.8%-1.8%. WTI crude fell 2.8%. Dollar index fell 0.3%. Gold rose half a percent.

 

For the year, Dow and S & P 500 gained 13.7% and 24% respectively. Nasdaq surged 43.4% for its best year since 2020. In Europe, Germany's DAX rose nearly 20% while France’s CAC 40 and the U.K.’s FTSE 100 have gained 16.4% and 3.64%, respectively. In Asia, China’s SSE COMPOSITE index is down 3.7% for the year, while the Hang Seng has plunged 14% in 2023. Japan’s Nikkei 225 wrapped up the year with gains of over 28%, making it Asia’s top-performing market.

 

U.S. 10-year treasury yield ended at same level as at the beginning of the year. Dollar index fell 2%, snapping a 2-year winning streak. Gold surged 13.2% to clinch its first positive year in three. U.S. crude oil closed out the year more than 10% lower.

 

AT HOME

 

Benchmark indices eased a fifth of a percent each on the last day of the year, snapping a 5-day winning streak. Sensex settled at 72240, down 170 points while Nifty lost 47 points to finish at 21731. Nifty mid-cap and small-cap indices however gained 0.8% and 0.6% respectively, extending the winning streak to sixth straight session, hitting fresh record highs. Nifty Auto and FMCG indices gained 1.1% and 0.8% respectively, becoming top gainers among the sectoral indices while Oil & Gas and PSU Bank indices were the top losers, down 1% and 0.6% respectively.

 

FIIs net bought stocks and index futures worth Rs 1459 cr and 300 cr respectively but net sold stock futures worth Rs 1502 cr. DIIs were net buyers to the tune of Rs 554 cr.

 

Rupee depreciated 4 paise to end at 83.21/$.

 

For the week, Sensex and Nifty gained 1.6% and 1.8% respectively. For the month Sensex and Nifty surged 7.8% and 7.9% respectively for their biggest monthly gain since July 2022. For calendar 2023, Sensex and Nifty climbed 18.7% and 20% respectively, extending the winning streak to eighth consecutive year.

 

OUTLOOK

 

Today morning, GIFT Nifty is suggesting around 75 points lower start for our market.

 

In Friday's report we had said that 22000 was the next upside level to eye while immediate support on the hourly chart had moved up to 21475, with the stop-loss of which, trading longs could be held on to.

 

Nifty fell to 21676 before closing at 21731.

 

22000 continues to be next upside target for Nifty; 21475 continues to be immediate support, with the stop-loss of which, trading longs can be held on to.

 

For Banknifty, 49300-49500 is the next target area. 47800-47750 is the immediate support zone, upon breach of which, 47200 would be the next downside level to eye. Meanwhile, trading longs can be held on to with the stop-loss of which, trading longs can be held on to.

Investment in securities market is subject to market risk.

Please check https://www.prudentbroking.com/Disclaimert.aspx for detailed disclaimer.