The key benchmark indices started the day on a firm note but soon slipped into
red for a brief period and again regained the positive terrain in early trade.
Intraday volatility continued as the market recovered after slipping into red once
again to hit fresh intraday low in morning trade. The market alternately swung
between gains and losses in mid-morning trade. The market slumped to hit
fresh intraday low in early afternoon trade. Key benchmark indices extended
intraday losses to hit their lowest level in more than two weeks in early
afternoon trade as European stocks fell in early trade. The market trimmed
losses in late trade with the Sensex and Nifty closing down by 0.5% each.
The mid-cap index closed up by 0.2%, while the small-cap index remained flat.
Among the front runners, Maruti Suzuki, Reliance Communications, HDFC,
Bharti Airtel and DLF gained 1–3%, while BHEL, Jaiprakash Associates,
Hindalco Industries, Wipro and Reliance Infrastructure lost 2–5%. Among
mid caps, Marico, CRISIL, Akzo Nobel
5–7%, while SKS Microfinance, IRB Infrastructure, Sobha Developers, Indiabulls
Real Estate and IOB lost 4–8%.
Markets Today
The trend deciding level for the day is 18,457/5,553 levels. If NIFTY trades
above this level during the first half-an-hour of trade then we may witness a
further rally up to 18,554–18,676/5,585-5,624 levels. However, if NIFTY
trades below 18,457/5,553 levels for the first half-an-hour of trade then it may
correct up to 18,334–18,237/5,515-5,483 levels.
The indices have closed in the lower end of the intraday range as the bulls were unable to offer follow up support at higher levels during the session. The intraday range specified for the Nifty between the 5650 / 5400 held as the Nifty trended within these levels, thereby validating our intraday levels. The coming session is likely to witness resistance at the 5595 levels on advances. Support is likely at the 5500 levels. The bullish pivot for the session is likely at the 5550 levels above which the Nifty must stay throughout the session. The bearish pivot is at the 5540 levels below which declines may occur. Traders must watch these levels for signs of trend determination in the coming session.
The daily candle chart of the Nifty shows a smaller bodied bearish candle which indicates the bears displaying strength at higher levels for now. The downward sloping trendline is again a formidable resistance for the bulls to overcome. Being the derivatives expiry day, the possibility of a small bounce led by routine short covering should not be ruled out. The Nifty (spot) must stay above the 5550 levels sustainably with volumes and open interest expansion to rally intraday on Thursday. On the flip side, sustaining below the 5540 levels may trigger a fresh bout of declines.
The market internals indicate a lower turnover due to the lack of retail participation. The number of trades were lower and the average ticket size per trade was lower, which indicates poor trader participation. The capitalisation of the market was lower in line with a bearish session. The put call ratios indicate the bears squaring up their shorts on declines.
More on http://www.bazaaredge.com/blog
Disclaimer : This report is for the personal information of the authorized recipient and does not construe to be any investment, legal or taxation advice to you. And not soliciting any action based upon it. The report is based upon information that we consider reliable, but we do not represent that it is accurate or complete, and it should not be relied upon such. We or any of its affiliates or employees shall not be in any way responsible for any loss or damage that may arise to any person from any inadvertent error in the information contained in this report
----------------------------------------------
The message was checked by Zillya! Antivirus 1.1.2942.0, bases 2.0.0.707 - No viruses detected
No comments:
Post a Comment