Nifty 9,126/Sensex 29,518/ Bank Nifty 21,110
23 Advances / 28 Declines/ 0 Unchanged
Indian benchmarks snap two days winning streak; Nifty ends below 9,150 mark
Indian equity markets commenced the week on a sluggish note as the benchmarks showcased an unenthusiastic performance on Monday and settled with moderate cuts of over quarter percent. Marketmen turned cautious over the Centre's future reform policies in view of appointment of Yogi Adityanath as the Chief Minister of the country's most populous state. The MP from Gorakhpur, who lacks administrative experience, was unanimously elected the BJP legislature party leader at a meeting of the newly elected MLAs, in a move that took many by surprise. Sentiments remained subdued with a report that the all India Consumer Sentiments Index, measured by the BSE and CMIE, has hit a one-year low at 92.25 compared to 99.65 a year ago. This comes even as the wholesale price index based inflation jumped up to a 39-month high of 6.55%. However, losses remained capped with the report that the Cabinet approved four bills to implement a planned Goods and Services Tax (GST) bills, paving the way for Prime Minister Narendra Modi to implement the landmark tax reform from July. The four bills are likely to be taken up by Parliament this week and a separate state GST bill in state assemblies later. Some support also came with the report that the implementation of GST is likely to be fiscally neutral and its impact on inflation is expected to be less than 20 basis points. Further, India has begun the process of dismantling some of the last remaining controls in the foreign direct investment (FDI) framework. The department of economic affairs (DEA) has floated a draft Cabinet note for inter-ministerial consultation to scrap the Foreign Investment Promotion Board (FIPB), in line with a plan announced by finance minister Arun Jaitley in his February 1 budget.
On the global front, Asian markets ended mixed on Monday as oil extended losses on supply concerns and the G20 finance ministers meeting in Germany during the weekend failed to agree on a commitment to keep global trade free and open. Further, Chinese stocks edged higher, as gains among energy stocks offset declines in the realty sector. China's property market picked pace in February despite the government announcing a raft of measures to temper speculative demand, data showed on Saturday. Meanwhile, European stock markets declined in early trade, as investors prepare for key inflation and private sector activity data later in the week.
Back home, the benchmark got off to a sedate opening tracking the dismal leads prevailing in Asian markets following Wall Street's declines and the G20's decision to drop a pledge to avoid trade protectionism. Thereafter, the indices traded in tight range below neutral line with moderate losses for most part of the session. Finally, the NSE's 50-share broadly followed index Nifty, took a cut of over quarter percent to settle below the crucial 9,150 support level, while Bombay Stock Exchange's Sensitive Index, Sensex slipped by over hundred points and closed above the psychological 29,500 mark. The market breadth on the BSE was pessimistic, as there were 1354 shares on the gaining side against 1443 shares on the losing side, while 226 shares remained unchanged.
FII’s Activity 20-March-17
The FIIs as per Monday’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 11445.07 crore against gross selling of Rs 9845.05 crore. Thus, FIIs stood as net buyers of Rs 1600.02 crore in equities.
In the debt segment, the gross purchase was of Rs 1512.13 crore with gross sales of Rs 1175.91 crore. Thus, FIIs stood as net buyers of Rs 336.22 crore in deb
Now what to expect next??
Nifty Levels
Support at 9050 and Resistance at 9218---9248.
Looks positive and could touch its resistance level of 9218---9248. Further upside rally will see only close above 9248 mark else could touch its support level of 9050 again.
Fresh selling can be initiated below 9050 mark.
Bank Nifty Levels
Support at 21000 and resistance at 21500
Looks positive and could touch its Resistance level of 21500 will see upside in it, else could touch its Support level of 21000.
Today's Top Pick
LICHOUSING
Yesterday we have seen sharp upside move in Lic Housing Finance from lower levels and we will expect rally to remain continue.
Support at 580 and Resistance at 591
Above 591 will see upside rally till 602---605+++ mark.
Looks weak only if close below 580
More will update soon!!
