Share Market News Today | Sensex, Nifty, Share Prices LIVE: Dalal Street remained in the firm grip of bears on Wednesday ahead of the US Fed meet. S&P BSE Sensex fell 329 points or 0.57% to settle at 57,788, while NSE Nifty 50 was down 103 points or 0.60% to close at 17,221. Broader markets mirrored the fall. Entering the weekly Futures & Options expiry session, SGX Nifty was up with gains, hinting at a positive to flat start for the day’s trade. Global cues were largely positive as Dow Jones, S&P 500, and the NASDAQ index closed with gains on Wednesday and KOSPI, KOSDAQ, TOPIX, and Nikkei 225 were up with gains. Chinese stock markets were in red.
The US Federal Reserve on Wednesday announced that it will end its bond-buying program in March of next year as it gears up to fight inflation. The US Fed officials expect three interest rate hikes in the coming year, bringing the pandemic-era low-interest-rate period to a close. Central banks across the globe have kept interest rates to near zero since the pandemic began in March 2020. The US Federal Reserve was not expected to stop the bond-buying program this early. Wall Street reacted positively to the Fed’s comments with the Dow Jones gaining 1.08% while S&P 500 closed 1.63% higher. NASDAQ zoomed 2.15%.
We believe, the Nifty has undergone a strong base formation around 16800-17000 zone after completing price-wise correction of 10% from life highs of 18600. Currently, index is approaching maturity of time-wise correction as we approach the 9th week of correction, that makes us believe, index would gradually resolve out of upper band of consolidation placed at 17500 and eventually head towards psychological mark of 18000 in coming weeks. Therefore, any dip from here on should be capitalised as incremental buying opportunity to accumulate quality stocks. Our projection of target of 18000 is confluence of: a) 61.8% retracement of entire decline since October high (18600-16782) is placed at 16900 b) Implicated target of past two weeks consolidation (17500-16900) is placed around 18000.
~ ICICI Direct
“Fed decided to taper the bond tapering with double pace and end it in early 2022 and faster rate hikes. However, their bullishness about the US economy and employment has comforted the traders. These factors will definitely put a pressure on Gold prices but it’s expected to be in sideways zone as the fear of Omicron is still riding the markets. Buy Zone Above – 48100 for the target of 48350 Sell Zone Below – 47900 for the target of 47600,” said Ravi Singh,Vice President & Head of Research, ShareIndia.
“Even though the Nifty has opened with a gap up, it is imperative for it to close above 17500-17600 for an uptrend to emerge. Until then it would be sideways with a downward bias. 17100-17150 is the support patch that needs to hold as a break that would signal the resumption of the bear trend,” said Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments.
“The Nifty volatility skew is less than 3, plus the India VIX increased, indicating trader sentiment is bearish. As long as the index below 17410 on a closing basis, the index eventually heads to challenge its high put OI of 17000 over the short-term, as market's cost-of-carry is down on the back of fresh short additions. The Nifty weekly highest Call base is still placed at 17400-17500, which remains an immediate hurdle. The highest Put base is still placed at 17150-17200, which remains support. For the coming session, the trading spot band is between 17410 and 17160, which means further upsides are likely once the immediate resistances of 17410 are taken out and weakness could emerge if the supports of 17160 are broken.”
~ Raushan Kumar, Derivative Analyst, IIFL Securities
Domestic markets started Thursday’s session in the green amid positive global cues. Bank Nifty regained 37,000.
Over the last few weeks, the Nifty has been in correction mode. The downtrend was confirmed when the support of 17613 was broken. On the daily chart, we see that Nifty remains in a downtrend despite the bounces seen recently. The index continues to make lower tops and lower bottoms for the last few weeks, barring the recent brief move above the swing high of 17490. The 20 day SMA also continues to trade below the 50 day SMA, indicating a negative moving average crossover. Weekly momentum readings like the 14-week RSI are in decline mode.
Sensex regains 58,100 in pre-open session, Nifty 50 hovers around 17,250.
Domestic markets are likely to follow global cues on Thursday and move north based on the US Fed outcome. Meanwhile, on the charts, Nifty 50 is close to the support levels. “For the coming session, initial support will be seen around 17170 which is 61.8% of the recent up move followed by trend line support around 17100-17050 range. If the market manages to show recovery from the mentioned support zones, then we could see short covering which could lead the markets higher,” said Ruchit Jain, Trading Strategist, 5paisa.
Nifty 50 index opened flattish on Wednesday but failed to surpass 17350 zones and drifted towards 17200 zones in the last hour of the session. It showed signs of meekness as it could not surpass its key hurdle of 17350 levels and finally closed with losses of around 100 points. It formed a Bearish candle on a daily scale and closed below its 100 SMA.
Nifty closed down after a promising morning session, selling off ahead of the crucial US Fed meet later in the day. In the process, it closed below the upgap created on Dec 08 and nullified the effect of the near doji formation on the previous day. Nifty could open sharply higher or lower on Dec 16 based on the outcome of the US Fed meet. 17054-17405 could be the band for the Nifty over the next few sessions, a breach of which could lead to accelerated move in that direction.
~ Deepak Jasani, Head of Retail Research, HDFC Securities
“Expect some respite for bulls if 17,193 is not broken in the first hour, we may see short covering. If we cross 17,375 decisively by today/tomorrow, expect market weakness to be over. Bank Nifty breakout level placed at 37,050 while crucial support is placed at 36,700,” said Rahul Sharma, Director & Head – Research, JM Financial.
SGX Nifty was sitting in the green on Thursday morning, hinting at a positive start to the day's trade. SGX Nifty was up more than 80 points.
Share Market Today | Sensex, Nifty, BSE, NSE, Share Prices, Stock Market News Live Updates
