Nifty 8778/Sensex 28301/ Bank Nifty 20243
37 Advances / 14 Declines/ 1 Unchanged
Benchmarks settle near intraday high levels; Sensex surpasses 28,300 mark
Indian equity benchmarks traded with traction and settled near intraday high levels with a gain of over half a percent on Thursday, with key gauges surpassing their crucial 28,300 (Sensex) and 8,750 (Nifty) levels. Traders took encouragement with report that India’s exports continued to grow for the fifth straight month, expanding by 4.32 percent to $ 22.11 billion in January against $ 21.19 billion in the same month of 2016. Imports also rose, by 10.70 percent to $ 31.95 billion, during the month under review. Some support also came after Fed Chair Janet Yellen, who in her second day of economic testimony before Congress, offered no additional insight on the timing of the central bank's next rate hike.
Moreover, investors closely watched GST Council meet scheduled on February 18 and assembly elections in five states that will end on March 8. The performance of Prime Minister Narendra Modi’s party in ongoing state elections will determine if the trickle of foreign money returning to Indian stocks turns into a gush.
On the global front, European markets were trading in red, as investors offload positions in risky assets amid expectations that the Federal Reserve could raise interest rates more aggressively than expected following upbeat U.S. economic data. Asian markets ended mixed, as traders opted to take profit off the table at higher levels.
Back home, there was broad based buying witnessed in the markets and apart from the blue chips, the broader markets too participated strongly in the rally. On the sectoral front, IT stocks remained on buyers’ radar after the industry body NASSCOM said that restrictions on H-1B visas in the US and the impact of Brexit are threatening to disrupt the growth trajectory of India’s information technology sector. Buying in realty stocks too aided sentiments on reports that private equity investments in the real estate sector increased by 26 percent during 2016 and touched a nine-year high of nearly Rs 40,000 crore.
Stocks related to oil & gas sector remained in focus, as the Cabinet Committee of Economic Affairs approved the award of 31 contract areas under the Discovered Small Field (DSF) Bid Round 2016. The government expects to monetise 40 million tonnes of oil and 22 billion cubic metres (BCM) of gas reserves over 15 years through the awarding of contracts.
In scrip specific development, State Bank of India (SBI) and three of its listed associates rallied with Cabinet approval for a proposal to merge the five subsidiaries with the parent, which will create a mammoth bank with 23,000 branches. SBI, State Bank of Bikaner & Jaipur (SBBJ), State Bank of Travancore (SBT) and State Bank of Mysore (SBM) ended in green, while the rest two associate banks - State Bank of Patiala and State Bank of Hyderabad - are unlisted.
Back home, the local benchmarks got off to a soft start as the indices showed signs of consolidation in early trade. Thereafter, the key indices failed to show any kind of fervor due to lack of encouraging leads. The selling pressure accentuated in the noon trades as investors took to across the board risk aversion. However, the bourses recovered from the lows of the day but could not succeed in minimizing the huge losses by the end of trading session.
FII Activity (16th Feb 2017)
The FIIs as per Thursday’s data were net buyers in equity and debt segments both, according to data released by the NSDL.
In equity segment, the gross buying was of Rs 5551.14 crore against gross selling of Rs 5297.52 crore. Thus, FIIs stood as net buyers of Rs 253.62 crore in equities.
In the debt segment, the gross purchase was of Rs 1060.08 crore with gross sales of Rs 814.33 crore. Thus, FIIs stood as net buyers of Rs 245.75 crore in debt.
Now what to expect next??
Nifty Future Levels
Nifty unable to breach its support level of 8720 and bounced back sharply.
Now what to expect??
Support at 8720 and resistance at 8850.
Looks positive and could touch its resistance level of 8850, Weekly close above 8850 we’ll sharp upside rally in it, else could touch its support level of 8720 again.
Looks weak only below 8720
Bank Nifty Future Levels
Bank Nifty has support at 19900 and resistance at 20400---20650.
Trend looks positive and could touch its resistance level of 20400--20650, further upside rally will see on close above 20650 else could touch its support level of 19900
Looks weak only below 19900
Yesterday... We had given BTST in Bajaj Finance, VEDL, Havells, Hexaware and L&TFH
Let see what will happen today... SGX Nifty is in green at 7.30 AM. So we are hoping for the best.
More levels and updates will provide during market hours
More will update soon!!
