The local equity markets continue to trade in positive terrain in Today’s session amid hopes of a quick economic revival post unlock and expectation of large number of adult population vaccinated in 2021. Traders were also encouraged as the arrival of monsoon in the country ahead of the schedule is going to boost agricultural production in the country and is expected to add to turnaround in the economy.
Monsoon has arrived into parts of Gujarat, Madhya Pradesh, Chhattisgarh, Odisha, and remaining areas of Maharashtra, Telangana, Andhra Pradesh six days ahead of schedule. However, upside remain limited as US think-tank has observed that India’s domestic challenges due to COVID-19 crisis have become a threat to its regional and global ambitions.
Nifty futures opened at 15809.00 points against the previous close of 15751.25 and opened at a low of 15760.10 points. Nifty Future closed with an average movement of 95.70 points and a rise of around 69.90 points and 15821.15 points .. !!!
On the NSE, the midcap 100 index will rise 0.22% and smallcap 100 index is closing rise 0.54%. Speaking of various sectoral indices, the NSE saw gains in metal, IT, pharma and auto stocks, while all other sectoral indices closed lower.
At the start of intra-day trading, August gold opened at Rs.49283, fell from a high of Rs.49399 points to a low of Rs.49068, with a decline of 70 points, a trend of around Rs.49128 and July Silver opened at Rs.72249, fell from a high of Rs.72789 points to a low of Rs.72249, with a decline of 358 points, a trend of around Rs.72357..!!
The stock market is solely focused on the future. Hopes of a quick economic revival post unlock and expectation of large number of adult population vaccinated in 2021, are keeping markets excited. Q4 FY21 earnings have been encouraging, even after adjusting for the low base of March 2020.
The broader market is very healthy. It is very likely that the top 10 heavyweights of the Sensex, which have been dormant for some time, will begin to participate. Already RIL has resumed its up move after a six month lull. This will add to the strength of Indian equities.
Technically, the important key resistances are placed in Nifty future are at 15888 levels, which could offer for the market on the higher side. Sustainability above this zone would signal opens the door for a directional up move with immediate resistances seen at 15909 – 16006 levels. Immediate support is placed at 15737 – 15676 levels.