Nifty 8475/Sensex 27375/ Bank Nifty 19023
44 Advances / 07 Declines/ 0 Unchanged
Markets surge for the second straight day; Nifty ends above 8400 mark
Indian equity indices sustained their uptrend for the second day of F&O expiry week, as sentiment stayed positive on optimism ahead on Union Budget 2017 to be unveiled next week.
The Supreme Court paved the way for presentation of the Union Budget on February 1, as it dismissed a plea seeking its postponement in view of Assembly elections in five states. Investors are hoping for a budget that delivers some incentives to support an economy, which has been hit by India's shock move to ban higher-value banknotes.
Further, the government is likely to set fiscal deficit target in the range of 3.3-3.4 percent of GDP for the financial year 2017-18 in the upcoming Budget. A high-level committee the government had set up to review fiscal responsibility rules has recommended a framework to allow greater fiscal space for the government to spend more on development. Besides, positive trade in Asian markets coupled with the appreciation in rupee value against the dollar added to the optimistic sentiments.
Indian rupee strengthened by 7 paise to 68.14 against the dollar on Tuesday on increased selling of the US currency by exporters and banks. Some support also came from SBI’s research report Ecowrap, which has said that the Government is likely to make sweeping recast of direct taxes in the ensuing Budget to give a boost to the economy following demonetization.
On the global front, Asian markets ended mostly higher on Tuesday as higher commodity prices on a weaker dollar helped investors shrug off renewed concerns about protectionist policies under new US President Donald Trump.
The US President Trump promised a “very major” border tax and signed an executive order formally withdrawing the United States from the Trans-Pacific Partnership free-trade deal, and signaling his intention to renegotiate NAFTA 'at the appropriate time. Further, Chinese shares ended higher, but pared some of the earlier gains as investors were reluctant to stake out fresh positions ahead of the country's biggest holiday starting this week. However, Japanese market ended lower, hit by a firmer yen following better-than-expected Japanese manufacturing PMI print for January.
Back home, the benchmark got off to a positive opening, in tandem with the cautiously optimistic sentiments prevailing in Asian markets. Thereafter, the frontline indices slowly but steadily started gathering steam and surged by around half a percent by late morning trades. The bourses further capitalized on the momentum and spurted in afternoon trades on the back of broad based bottom fishing in undervalued stocks.
FII Activity (24th January 2017)
The FIIs as per Tuesday’s data were net sellers in equity and debt segments both, according to data released by the NSDL.
In equity segment, the gross buying was of Rs 4313.87 crore against gross selling of Rs 4575.95 crore. Thus, FIIs stood as net sellers of Rs 262.08 crore in equities.
In the debt segment, the gross purchase was of Rs 436.20 crore with gross sales of Rs 498.59 crore. Thus, FIIs stood as net sellers of Rs 62.39 crore in debt.
Key Results
Alembic Pharmaceuticals Ltd
Arvind Ltd
Ashok Leyland Ltd
Blue Star Ltd
Cholamandalam Investment & Finance Company Ltd
Coromandel International Ltd
Exide Industries Ltd
IDFC Bank Ltd
IIFL Holdings Ltd
Indiabulls Real Estate Ltd
Indian Bank
IRB Infrastructure Developers Ltd
K P R Mill Ltd
Kirloskar Oil Engines Ltd
Kotak Mahindra Bank Ltd
Maruti Suzuki India Ltd
Oberoi Realty Ltd
Raymond Ltd
Supreme Industries Ltd
Tata Elxsi Ltd
UPL Ltd
VRL Logistics Ltd
Wipro Ltd
Now what to expect??
Nifty Future Levels
Above 8450…Rally continues and made high of 8488
Now what to expect??
Nifty future…Looks positive and could touch its resistance level of 8520.
Break and close above 8520 will take it to 8580—8620 and then to 8700+ mark in days.
Support intact at 8380---8320
Trade with levels only.
Bank Nifty Future Levels
Bank nifty took its support level of 18800 and bounced back sharply.
Now what to expect??
Support at 18800 and resistance at 19300
Looks positive and could touch its resistance level of 19300.
Break and sustain above 19300 will take it to 19550—19800 and then to 20000+ mark in days to come.
Looks weak on close below 18800 only
Trade with levels only.
Today will have expiry in equity segment and expect high volatility. So traders can trade safely with levels only.
More will update during market hours!!
