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Indian markets reversed gains after a volatile session.
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On the second day of the week, the Indian stock market started trading with a bullish trend. As expected, the market continued its upward trend as supportive global cues led to a positive start which was further fuelled by the buying in index majors.
Consequently, markets touched a new high largely led by healthy buying in IT and tech counters. However, volatility is still high on the stock-specific front. The indian equity benchmarks moved significantly higher amid heightened volatility, mainly driven by buying in banking, financial and IT stocks amid positive cues from global markets.
The benchmarks made gap-up opening, as traders got some support with Finance Minister Nirmala Sitharaman’s statement that the fiscal measures taken by the government have resulted in positive growth of 0.4 per cent in the third quarter of the current financial year.
On the global front, European markets were trading higher as Euro zone government bond yields dipped across the board, helping ease worries around inflation and higher interest rates. We are bullish on the market although after the sharp correction, we are concerned about the valuation of the market.
In addition, the Fed's move to maintain low interest rates and high liquidity will also ease market sentiment, although there is a possibility of consolidation or further correction in the overall market amid a softer trend.
Technically, we feel that the Nifty needs to cross the level of 15202 points, and the trend continues to be profit booking on every rise and the next range to be watched out for is around 15008 to 15272 points and this can be achieved in the short term. The immediate support for the Nifty future are placed around 15088 and 15008 points.
Nifty Future has resistance at 15202 – 15232 Point; above which other resistance levels are at 15272 – 15303 Point with highly Volatile Trend,
Nifty Future has Downside support levels are at 15088 – 15008 Point; below15008 Point, other support levels are at 14970 – 14909 Point.
I am positive for the next bullish trend only above @ 15272 Point but be with the trend. Let the market decide further moves.
As we are saying from many days, Buying is suggested in falls only...and it’s still a better strategy in the given Scenario, regarding Long term positions, it is preferable to remain cautious now...!!
If Nifty Future crosses @ 15272 Point, again then the upper side target is quite high and it may touch @ 15303 Point in the short term.
Bank Nifty Future has resistance at 36133 – 36360 Point; above which other resistance levels are at 36360 – 36606 Point with highly Volatile Trend,
Bank Nifty Future has Downside support levels are at 35808 – 35676 Point; below35676 Point, other support levels are at 35505 – 35373 Point.
I am positive for the next bullish trend only above @ 36360 Point but be with the trend. Let the market decide further moves.
As we are saying from many days, Buying is suggested in falls only...and it’s still a better strategy in the given Scenario, regarding Long term positions, it is preferable to remain cautious now...!!
If Bank Nifty Future crosses @ 36360 Point, again then the upper side target is quite high and it may touch @ 36606 Point in the short term.
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