NIFTY OUTLOOK CMP 25884.8
As discussed yesterday, market behaviour remained on expected lines. Intensified selling pressure dragged Nifty to our support level of 25863, making a day low of 25857.50.
Back-to-back bearish candles on the daily chart indicate continuation of bearish sentiment. This southward movement may find support around 25837 – 25789. If Nifty fails to hold these zones, it may slip further towards 25741 – 25693.
On the upside, 25933 – 25981 will act as immediate resistance. A sustained breakout above these levels may push Nifty towards 26030 – 26075.
Macros
- Dollar Index: 99.605
- S&P 500 VIX: 18.56 (-9.55%)
- Brent Crude: 62.05 USD
- US 10Y Bond Yield: 4.005%
Note:
Rate-cut probability has further risen to 84.4% compared to just 30% last week. VIX has cooled sharply from 23 to 18, the Dollar Index has slipped below 100, and Brent crude remains at 62 USD. All indicators reflect supportive global sentiment, clearly visible in US equities. A weaker US dollar also provides relief to emerging markets.
There is also some positive news flow on the Russia–Ukraine front, improving overall global sentiment.
In India, yesterday’s late-day sell-off from 26032 to 25862 was likely due to expiry adjustments. Nifty has now entered the key support zone of 25800–25700.
By Ashok Bhandari (RA)
SEBI Regd. No. INH00019549
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