Markets may begin the day in red

10 Nov 2022 , 08:46 AM

Indian equity markets may start the day today in red. Other Asian markets have also started the day in red today. US inflation data will come later in the data. Oil prices have gone down because of increase in probability of global economic recession. Republican party has emerged as the largest party in both House of Representatives and Senate after the US mid-term elections. Stocks of Eicher Motors, Zomato, Apollo Hospitals etc may show price movement. These companies will declare their September quarter results today.

US markets saw a big day of profit booking ,yesterday ,before CPI data and amidst US midterm election results . Dow Jones fell over 640 points. Nasdaq tumbled 263 points. Bond yields closed near 4.09%. US dollar index gained to close near 110.4. Walt Disney led the indices lower, falling over 13.5%, on weaker than expected results.
 
Asian markets have opened weak today, following overnight cues from US markets. Japanese ‘Nikkei’ is leading the fall.  Weaker ‘Yen’ and profit booking in commodity stocks is being seen. Energy stocks are leading the decline.

 Nifty saw a day of swings, yesterday, as it hit fresh 10-month highs near 18300.  Bank Nifty hit fresh new all-time highs at 41948. Coal India, Adani Ports, ITC & Hero Motors led the gainers.  Hindalco, Power Grid, Divi’s Lab led the losers. PNB, Bank of Baroda led the bank gainers. ICICI bank saw profit booking. Mid-caps saw profit booking. Nifty Midcap 50 index closed lower by 0.74%.

Technical View: Nifty likely to find support at around 18050. 18450 is likely to act as resistance. Bank Nifty is likely to find support at around 41200. 42300 is likely to act as resistance on the upside. 
 
TRADING call (1-2 days) :Sell Axis bank November future @ 868-873. Stop loss: 887.3. Target: 852

Derivative call- time period:(1 month) Sell ICICI bank November future @ 910-915. Stop loss: 930. Target: 893.