Nifty 9173/ Sensex 29,647/ Bank Nifty 21620
23 Advances / 28 Declines/ 0 Unchanged
D-Street extends gains for third straight session; Nifty ends above 9150 mark
The final day of March series F&O expiry turned out to be a good session for the Indian equity indices as they managed to settle with gains of over quarter a percent. Sentiments were buoyant after Lok Sabha passed 4 GST-related laws, marking another step towards the rollout of the single national tax on July 1. The unified tax regime is expected to boost economic growth by about 0.5 percentage points in its first year of implementation. While the model law is available, few fundamental aspects, such as the states where tax has to be paid by service providers having multiple offices, treatment of current excise incentives, offset of tax already paid on transition stock, etc, are still unclear. The four bills, passed by the lower house, would now be presented before the upper house of parliament. Further, inventors got some confidence with Union Minister Arjun Ram Meghwal's statement that the Insolvency and Bankruptcy Code is a key economic reform that will facilitate the ease of doing business. The code provides for a market determined, time-bound mechanism for orderly resolution of insolvency, wherever possible, and ease of exit, wherever required. Meanwhile, Aviation stocks gained traction after India's Minister of State for Aviation Jayant Sinha said the government will provide Rs 2.05 billion ($31.57 million) financial support to boost airline travel between smaller cities. Further, some auto stocks including Hero MotoCorp recovered from steep losses after the country's top court banned sale of new vehicles with older Euro III fuel technology from April 1. A bench of justices Madan B Lokur and Deepak Gupta on Wednesday said that health of millions of citizens was more important that commercial interests of manufacturers and directed the government not allow registration of polluting BS-III vehicles after March 31.
On the global front, Asian stock markets ended mostly lower on Thursday, led by a slide in Chinese shares on investor concerns about liquidity. China's central bank refrained from open market operations for a fifth straight day, effectively siphoning money from the banking system. Further, Japanese shares ended sharply lower, dragged down by financials after US Treasury yields fell on reports that ECB officials are wary of altering their dovish message before June. Meanwhile, European markets were trading mixed in early trade as investors mulled implications of Britain formally beginning the process of leaving the European Union. The reaction to Britain formally triggering the Brexit process on Wednesday was fairly muted from European shares, with the FTSE 100 index also ending higher as sterling weakened. As Britain embarked on a path of tough negotiations, all eyes turned to the government's White Paper, in which it will set out plans to convert European Union laws into domestic legislation.
Back home, after getting a positive start, the local benchmarks traded in tight range for most part of the session and ended the session with moderate gains. Finally, the NSE's 50-share broadly followed index Nifty, got buttressed by over quarter a percent to settle above the crucial 9,150 support level, while Bombay Stock Exchange's Sensitive Index- Sensex accumulated over one hundred points and closed above the psychological 29,600 mark. Moreover, broader markets managed a touch better than the larger peers as the BSE's midcap and smallcap indices settled with gains of 0.39% and 0.95% respectively. The market breadth remained optimistic, as there were 1739 shares on the gaining side against 984 shares on the losing side, while 232 shares remained unchanged.
FII’s Activity 30-March-17
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 9353.32 crore against gross selling of Rs 8673.26 crore. Thus, FIIs stood as net buyers of Rs 680.06 crore in equities.
In the debt segment, the gross purchase was of Rs 3013.44 crore with gross sales of Rs 1980.54 crore. Thus, FIIs stood as net buyers of Rs 1032.90 crore in debt.
Now what to expect next??
Nifty Levels
Support at 9050 and Resistance at 9218--9248.
Above 9155 will see upside rally till 9218---9248 mark. More and more upside rally will see only weekly close above 9248 else it could test its support level of 9050 again.
Trade in a range with levels only.
Bank Nifty Levels
We recommended buying in Bank Nifty around 21140 mark. It skyrocketed and made a high of 21696
Now what to expect???
Above 21700 will see more upside rally till 21880---21950 and then to 22200+++ mark.
Immediate support at 21400 while major support at 20800.
Today's Top Pick
NBCC
Support at 164 and resistance at 173
Trend looks positive and could touch its resistance level of 173. Above 173 it could test 181---184 else it can test its support level of 164 again.
Looks weak only below 164 mark.
More will update soon!!
