Indian equity markets may see another day in Green today

22 Mar 2023 , 09:06 AM

Indian equity markets may see another day in Green today. Global cues are positive today. US markets closed strongly in the green yesterday. This indicates that market expectations are very strong regarding US Federal Reserve going for a 25-basis point hike today.

US markets saw another strong day yesterday. Oversold equities saw buying before the Federal Reserve meeting on interest rates today. Consensus now is that it will go for a 25-basis point hike today and rate cuts will start happening from June onwards. Dow Jones gained 316 points. Nasdaq gained 184 points. US dollar index slipped further to 103.

Asian markets have opened in the green today.  Japanese ‘Nikkei’ is trading higher by over 450 points in early trade. The other big gainers are Taiwan & Hang Seng indices.  Technology stocks are staging strong comeback. Weakness in US dollar bodes well for Asian equities as ETF flows get stronger.

Nifty saw a day of gains yesterday 2nd day running.  Reliance led the gainers with over 3.2% move. The index climbed 119 points. Bank Nifty was the star as it closed higher by almost 530 points. HDFC Life, Reliance and Bajaj twins led the gainers. Profit booking was seen in Power Grid, HUL & Britannia. Mid-caps also saw gains. Nifty Next 100 closed higher by 0.70%.

Technical View: Nifty is likely to find support at around 17000. 17350 is likely to act as resistance. Bank Nifty is likely to find support at around 39300. 40400 is likely to act as resistance on the upside.

Trading call:(1-14 days): BUY DLF March future @ 367-370. Stop loss: 360.5. Target: 376. 

Derivative call-time period: (1 months):  BUY Federal Bank March future @ 129-130. Stop loss:  126.9. Target: 132.5.