Stock markets began the new trading week with a mildly positive bias on Monday, owing to positive cues from the Asian bourses. However, they saw minor dips from early morning’s high, which was then followed by a consolidation for the remaining part of the day.
Stock markets began the new trading week with a mildly positive bias on Monday, owing to positive cues from the Asian bourses. However, they saw minor dips from early morning’s high, which was then followed by a consolidation for the remaining part of the day. The Nifty settled flat in a dull session today, tracking mixed domestic data and not-so-favourable global markets. Sentiment was downbeat from the beginning in reaction to the latest GDP estimates and anxiety ahead of the earnings season. However, the FM’s statement on double digit growth in tax collection figures during April-December 2016 over the corresponding period last year capped the downside in the index.
Eventually, the Nifty ended the session tad below the 8250 mark. It closed the day 7.75 points down at 8236.05, while the Sensex ended at 26726.55, down by 32.68 points.
Watch This Also:
“We suggest keeping a close watch on the earning announcements and management guidance for further cues. As of now, 8300 is acting as hurdle in the Nifty and needs some decisive trigger for a further up move. Traders should limit their positions only to quality stocks and keep them hedged at least before their result announcements,” said Jayant Manglik, President, Retail Distribution, Religare Securities Ltd.
Sameet Chavan, Chief Analyst-Technical & Derivatives, Angel Broking, said, “Today’s session was just an extension of Friday’s breather. We saw consolidation happening in a small range of merely 35 points, which is as good as ‘No Action Day’ for our market. However, similar to previous few days, strong activity was seen in selective individual counters, which we expect to continue in days to come. Hence, traders are advised to keep focusing on stock-specific moves with a positive bias.”
As far as levels for the Nifty are concerned, the immediate resistance is placed at 8306.85, which is likely to be surpassed quite soon. On the other hand, 8223-8180 are likely to provide decent support to the benchmark index.